National health priorities shift as Democrats take control of Congress

Medicare drug price negotiations and stem cell research take center stage, while Medicaid cuts and HSAs are pushed to the wings.

By David Glendinning and Doug Trapp, AMNews staff. Nov. 27, 2006.

Washington -- When the Democrats take control of Congress in 2007 for the first time in about a dozen years, they will inherit a big list of health care issues important to physicians. But some observers already are saying that the political climate and budget problems could hinder significant action during the next two years.

With nearly a decade of Medicare pay cuts to physicians on deck, reform of the reimbursement system is a top priority for the American Medical Association and other physician groups. How pressing this issue will be to Democratic leaders, however, is less clear, lobbyists and policy experts say.

In recent years, Republican lawmakers have taken the lead on reversing reductions in doctor pay and promoting long-term plans for reform. While some Democrats have authored proposals and supported GOP plans for change, they largely have not been in the driver's seat.

The prospect of legislation reversing Medicare cuts is dimmer under Democratic leadership because the party has focused more on other health care issues, said Tom Scully, an attorney with Alston & Bird and a former Centers for Medicare & Medicaid Services administrator. Any pay reform bill that advances through Congress will face pressure from lawmakers hoping to add on these other health priorities -- competition that could slow down or kill the legislation.

"Medicare bills don't pass easily. They're freight trains, and once you start moving one, you can't just keep it as a doctor bill," Scully said.