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Advising the Congress on Medicare issues
MedPAC > Recommendations > Moving forward from the sustainable growth rate (SGR) system (1)

Moving forward from the sustainable growth rate (SGR) system (1)

October 14, 2011

The Congress should repeal the sustainable growth rate (SGR) system and replace it with a 10-year path of statutory fee-schedule updates. This path is comprised of a freeze in current payment levels for primary care and, for all other services, annual payment reductions of 5.9 percent for three years, followed by a freeze. The Commission is offering a list of options for the Congress to consider if it decides to offset the cost of repealing the SGR system within the Medicare program.

Topics: Delivery system reforms and Physicians and other health professionals.