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Kentucky has begun the constitutional amendment process needed for tort reform in that state. Two Senate committees have advanced the premise to allow lawmakers set compensation limits for pain and suffering. Last year a similar proposal died in the full Senate. At least one Democrat would need to vote for the bill for it to advance. Since most Democrats are tied to the Trial Lawyers, that one vote is problematic. As a follow-up to the above story the full Senate has passed the legislation by a 23-14 vote. All the Republicans and one Democrat voted for the bill to give it the needed votes. It now goes to the House for consideration. Top The GAO has issued a report on saving money for Medicare patients. Currently hospitals are paid under the DRG system which is supposed to take into account the costs of running the institution. Part of these costs are the furnishing of assistants for those cases that require assistants. There are some people such as physician assistants, nurse practitioners or physicians who also assist as independent contractors and are paid approximately 13% or 16% of the surgeons fee depending on their qualifications. The GAO recommends that CMS only pay hospitals for the assistant fee and cut out the independent contractors. The report is sketchy whether this includes all assistants or only non-physician assistants. The rationale is that hospitals are responsible for the quality of care in the institution and will only assign assistants when needed. In the hospitals in my area there are only physician assistants. If the money covered all assistants the physician assistants would need to be paid by the hospitals costing major money for the hospital. The DRG payment would not cover the amounts needed to be paid. If the hospitals did not pay for physician assistants they would lose that business to hospitals in the vicinity that did pay. Currently non-Medicare payors reimburse assistant surgeon physicians at about 20% of the surgeons fee. I wonder how long it would be before these payors would follow suit? Top It's finally here. The new National Provider Identification Number (NPI) is upon us. All providers and plans covered under HIPAA are required to obtain a new NPI to use on all transactions. Those providers not covered under HIPAA may apply for and receive a NPI without becoming a HIPAA provider. The idea behind this is to reduce costs associated with having multiple provider numbers. The providers and large health plans must have the new number by May 23, 2007. Small health plans have a one year reprieve until May 23, 2008. The system will be ready to accept applications after the effective date of May 23, 2005. Top SB2, the California law passed under lame duck Governor Davis, is headed to the voters for a referendum. The California Court of Appeals stated that the law as described in the attempt to attain signatures to qualify for the ballot did not basically misinform the signers. The law therefore can go on November ballot to be approved or turned down by the voters. The law as enacted is the play or pay law forcing employers with over 40 employees to either provide health care benefits or pay into a fund. Those employers between 20-40 employees will only be forced into the law if the state has enough money to allow the employers tax breaks. With a Democratic legislature who loves to spend, that may not happen, ever. In an interesting turn of events, the members of the California Medical Association are pulling away from the leadership on this issue. The CMA is on record as supporting SB2. The Los Angeles and San Diego Medical Associations have voted to go against SB2, as their members will not be able to afford the insurance mandate. Top Governor Schwarzenegger of California has vetoed two Democratic bills related to Workers Compensation. The first was a pork bill only to help racetracks by allowing them to allocate money from bets to offset premiums. The second was to expand workers compensation to cover vaccinations. The reason given for the veto is the employers did not give the approval for the vaccinations and therefore should not be liable. Top Governor Schwarzenegger of California signed into law a requirement that all state leased or owned building have automated cardiac defibrillators (AEDs). He ordered the Department of General Services to apply for funds for AEDs. purchasing. Top DISCLAIMER: Although this article is updated periodically, it reflects the author's point of view at the time of publication. Nothing in this article constitutes legal advice. Readers should consult with their own legal counsel before acting on any of the information presented.
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