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Legislation News - August 2001


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Memorandum to ACA Board of Governors, House of Delegates and Other Interested Parties 
From Gary Cuneo ACA Executive Vice President 
Re: ACA Weekly Report: Special Edition 
August 18, 2001

This will be a special report regarding ACA's important legislation addressing our status as secondary practitioners under medicare and ACA's position regarding the efforts of the ICA in promoting their own legislative program in this area. Included in this report are following items:

*Why It's Important to Support and Not to Undermine the Watkins Bill *The Muse Report Will Help *Other Information Regarding the Muse Report

WHY IT'S IMPORTANT TO SUPPORT AND NOT TO UNDERMINE THE WATKINS BILL
As you may know, Representative Wes Watkins (R-Oklahoma), a long-time chiropractic supporter and member of the House Ways & Means Committee with jurisdiction over the federal Medicare program, has introduced H.R. 902, the "Chiropractic Patient's Freedom of Choice Act." This legislation, known as the "Watkins bill," was developed by the American Chiropractic Association (ACA) and introduced in the House of Representatives by Representative Watkins at the ACA's request.

The Watkins bill would grant doctors of chiropractic "full physician" status under Medicare, and would allow doctors of chiropractic to be reimbursed for services that they are licensed to provide under state law, which are covered services under Medicare. The enactment into law of the provisions contained in the Watkins bill would significantly expand doctors' ability to receive reimbursement for the services they provide in addition to the correction of a subluxation under the Medicare program.

Obviously, enactment of the Watkins bill provision would accomplish a significant part of ACA's long-standing goal of mandating the inclusion of chiropractic care in all federal health care programs on a basis that allows doctors of chiropractic to provide the full range of services they are authorized to provide under state law and helps doctors of chiropractic achieve a "parity" status.

Enactment of the Watkins bill will not be easy, and no one in the chiropractic profession should underestimate the difficulty in advancing this critical legislative initiative. To successfully advance this legislation will require the enthusiastic and unified support -- including grassroots support -- of the entire chiropractic profession.

Regrettably, support for the Watkins bill is now being undermined by the recent actions of the International Chiropractors Association (ICA). Detracting from a unified effort to advance the Watkins bill, the ICA has caused to be introduced in the 2001 U.S. House of Representatives a
second, competing legislative proposal known as H.R. 2284. This proposal was recently introduced by Representative John Lewis (D-Georgia).

Unfortunately, the Lewis bill is inferior to the Watkins Bill, in that it would not confer full physician status on doctors of chiropractic and would limit those services under Medicare for which a doctor of chiropractic could be reimbursed. The Lewis bill would only allow reimbursement for "certain chiropractic examination procedures."

It should be noted that the ICA's recent introduction of the Lewis bill occurred months after the well-publicized introduction of the Watkins bill and well after the ACA's issuance of grassroots bulletins calling for action in support of the Watkins bill. Why is the ICA now seeking to cloud the issue by introducing a limited Medicare bill? Why create a situation, which, in the very least, confuses members of Congress and serves to dilute an effort (well underway) to advance a "full physician status" bill -- a proposal that would clearly benefit the entire profession? And why help create a situation where "competing" proposals produce a congressional excuse for inaction?

ICA claims that they consulted with members of Congress and were told that it would not pass an open-ended benefit expansion for chiropractic services based on state scope. We are disappointed they would accept the view that we should not be treated as other physicians under Medicare. We are sure that they didn't talk to members of Congress in both the House and Senate that approved legislation that includes chiropractic in the military, since DoD relies on state law to determine the permitted scope of practice.

The ACA's role and position regarding this matter is clear. Our proposal (Watkins bill) moves doctors of chiropractic toward parity with other physicians and seeks to uphold for doctors of chiropractic the reimbursement for services typically reflected under state law. We do not seek, nor support, any limitations on the practice or reimbursement rights of doctors of chiropractic. We do not believe that what is good for the entire profession should be subordinated to the narrow views or tactical maneuvers of any organization that would place self-promotion and publicity above the worthy goal of achieving concrete and positive results on Capitol Hill.

The ACA respectfully urges all doctors of chiropractic, chiropractic patients and chiropractic organizations to aggressively work for the passage of the Watkins bill (H.R. 902) and to unify their efforts in support of this endeavor. We specifically urge the ICA to immediately cease any efforts to advance or promote any less preferable or less-comprehensive approach to Medicare reform than that which is embodied in the Watkins bill provisions. If, during the legislative process, some modifications to the Watkins bill prove necessary, then let the chiropractic profession negotiate with Congress from a high watermark position of strength - and not from a weakened position where the profession's ideal legislative proposal has already been compromised and undermined.

If you have any questions about this matter, please do not hesitate to contact ACA's Department of Government Relations at (703) 276-8800.

MUSE REPORT WILL HELP
The Congressional Budget Office (CBO) has long been a serious detriment to chiropractic proposals. CBO is responsible for determining the potential cost to the government of any legislative proposal and its "score" is
relied on by congressional leaders in determining whether a measure will fit within a federal budget. Many a legislative proposal from many industries have been "non starters" because of their projected cost. CBO is independent of congressional pressure as it is composed of bureaucrats who are responsible to no one and, therefore, hold a tremendous amount of power. CBO has caused this profession particular heartburn because it had in the past no reliable federal figures regarding our experience in Medicare beyond the use of the manual manipulation of the spine. Therefore, in projecting our cost in a particular bill, CBO has established its own model that has exaggerated the cost. As an example, our successful legislation that eliminated the x-ray requirement was scored at $1.2 billion dollars over 10 years. While I think we can all argue that the costs were exaggerated, these were the figures that Congress used in determining the passage of the bill. As it turned out, the legislation was placed into effect two years later, lowering the CBO score to $600,000.

We have a few things going for us this year that might make a difference. First, the results of the DOD pilot program that showed the cost effectiveness of chiropractic has to be considered. While these weren't Medicare patients, the fact that chiropractic care reduced sick days in the military and eliminated other health care costs can't be lost to the CBO or to Congress. Additionally, the ACA recently commissioned a study by the well-known Muse and Associates, an actuarial consulting firm based in Washington D.C., to research and document the cost effectiveness of chiropractic care in the Medicare system. In a recently issued study, they have concluded that chiropractic care significantly reduces per beneficiary costs to the Medicare program and could potentially save the program even more money in the future. The report found significant differences in the utilization of services and Medicare payment for beneficiaries who saw doctors of chiropractic versus those who did not. The report utilized data compiled by the CMS (formerly known as HCFA), and focuses on Medicare beneficiaries with primary diagnoses of selected musculoskeletal, dislocations, sprains and strains of joints and adjacent muscle conditions. The report's conclusion suggests that decreased access to chiropractic services would increase the Medicare program's costs. In addition, the report found that, overall, beneficiaries who used chiropractic services had lower medical doctor costs. Due to these cost savings, the report suggests that during any congressional debate on Medicare reform, consideration should be given to providing increased access to chiropractic care. In addition, the study suggests that some savings would probably accrue in the Medicare program if access to chiropractic services were increased in concert with a Medicare prescription drug benefit. It is worth noting that CMS (HCFA) reviewed and approved the document before it was released by Muse and Associates to be sure that its statistics weren't misused. Copies of the report have been submitted to members of Congress.

FURTHER INFORMATION ON WATKINS BILL
In the last Congress, the ACA initiated an intensive grassroots and lobbying campaign in support of the "Chiropractic Patients' Freedom of Choice Act," H.R. 1046, introduced by Congressman Wes Watkins (R-Oklahoma) on behalf of the ACA. Like the current legislation, HR 1046 would provide reimbursement for doctors of chiropractic for all Medicare services in their state scope of practice. This legislation received strong bipartisan support in the House of Representatives. At the end of the 106th Congress, the legislation had 89 cosponsors, almost equally divided between Republicans and Democrats. Unfortunately, Congress failed to act and Medicare legislation in the 106th Congress and this bill died as well. As a result, the ACA worked with Congressman Watkins to reintroduce the "Chiropractic Patients Freedom of Choice Act" earlier this year. Already this year, the bill has received strong bipartisan support and already has 46 cosponsors (for a list of cosponsors see http://thomas.loc.gov/cgi-bin/bdquery/z?d107:HR00902:@@@P



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