2005

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HEALTHY SAN DIEGO” FOR A

“PHYSICIANS UNITED

SDCMS 2005 ANNUAL REPORT TO MEMBERS

2005 the San Diego County Medical and replace it with the Medical Economic Index, Society celebrated its 135th anniversary. which is used by other providers. Government In 2006 the California Medical must recognize our need to financially maintain Association celebrates its 150th anniversary. Our our practices, whatever form they take, in order to two organizations have, for a combined total of be able to keep access to care available for the comnearly 300 years, worked tirelessly to build a strong munity. Physicians have faced declining reimbursements for too long, and no business can continue to profession and to promote healthy communities. The environment in which the member physi- survive without somehow recouping increased cians of the San Diego County Medical Society and costs of providing services. Under the current payment environment — the California Medical Association practice medicine today — and in particular here in San Diego ruled both by government payers and by contracts County — continues to be challenging … when not written by Goliath plans, there is no way to meet outright daunting. Your SDCMS-CMA has been the increasing burdens of keeping up with technolinstrumental in protecting physicians from ogy, regulations, overhead (including salaries, attempts to reduce physician payments and from insurance, rent), and the need to support ourselves attacks on physician autonomy in patient care. and our families. Push is coming to shove, and the Immediate past successes include reversing the public still needs to be assured that there will be 4.4% Medicare and 5% Medi-Cal physician reim- doctors there to serve them. This is the message that bursement cuts and staving off the mandated the payers and rulemakers need to understand. Other key issues warranting our advocacy increases in Medi-Cal managed care enrollment and the mandated managed care enrollment for include maintenance of MICRA protections, San Diego County’s dual-eligible beneficiaries (so- resolving the problems of balance billing and underpayment for noncalled “Medi-Medi’s”). contracted physicians in Settlements of the RICO There is no way to meet the increasing non-elective treatment lawsuits against several burdens of keeping up with technology, settings, blocking further health plans will bring us regulations, overhead, and the need to pending cuts in safety-net prospective relief from support ourselves and our families. provider reimbursements, their unfair business pracand bringing affordable tices, i.e., reduced bundling, better definitions of medical necessity, and workable technology solutions to physician which will give treating physicians weight, and offices that will in turn allow improved efficiencies and participation in upcoming mandated pay-fortransparency of rates and coding edits. On the federal front, your SDCMS leadership performance programs. Each of these issues, along enlisted the entire San Diego congressional delega- with maintaining workers’ compensation provider tion to block an unsound plan, published by the access and others, could be a full-time task for our Centers for Medicare and Medicaid Services organization. SDCMS will work on these and other identified (CMS), to increase reimbursements to two counties by taking money from San Diego payments (along fronts in 2006 and beyond, with the primary goal of with other underpaid counties) and transferring it allowing San Diego County physicians to keep their to just two counties. SDCMS was able to clearly practices viable and growing, in order that we demonstrate that the solution to the problem was, might continue to expand access to care for all San and is, to address all of the underpaid counties Diegans. In the long term, this will also enable us to equally. We have been fighting this fight for nearly turn around the trends that find growing physician four years now and will continue to do so until an dissatisfaction with practice and that restrict our equitable solution is reached. As I write this, we abilities to attract new physicians to the area. As our have commitments from key members of Congress active physician population ages or chooses to leave to fund the roughly $120 million (‘budget dust,’ San Diego for other practice opportunities, as according to some in Congress) needed to correct reflected in recent surveys, access to care will decline unless new doctors can be recruited. This this flaw nationwide. Our greatest challenge in 2006 will be to end will require wholesale changes in the current pracSGR, the (un)sustainable growth rate formula by tice environment. SDCMS and its leaders are committed to prowhich physicians, and only physicians, continue to face payment cuts despite increasing practice costs moting these changes. As Tom Gehring, your — this, while other sectors of healthcare providers SDCMS executive director, frequently reminds us, receive increases that recognize inflationary costs. it is our task to “do good for those who do good.” Despite publicly acknowledging this systemic flaw, That is a challenge that SDCMS, your medical sociCongress, CMS, and the White House have failed to ety, takes to heart. correct the problem. We have received minimal, annual, “one-time” fixes, which themselves failed to keep pace with the cost of practice. Now we face 26% cuts over the next five years, while our costs Theodore M. Mazer, MD — 2006 President continue to rise. We will continue to fight the fight to end SGR “Physicians United for a Healthy San Diego”

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