ASCA Letter to Rep. Paul Ryan Outlines Concerns With Potential Medicare, Social Security Payment Switch

As members of Congress engage in discussion of changing the Medicare, Medicaid and Social Security payment system to the United States Chained Consumer Price Index, ASCA has sent a letter to Chair of the House Committee on the Budget Paul Ryan (R-WI) expressing concern for ASC reimbursement under the plan.

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Chained CPI-U is discussed as an alternative to the Consumer Price Index for All Consumers. The Bureau of Labor Statistics created C-CPI-U as a time series measure of consumer goods and services price level, and would determine Medicare payments based on changes in consumer prices.

Proponents say this change would help reduce the budget deficit by slowing the growth rate of government benefits. However, opponents say C-CPI-U would reduce growth under government programs inappropriately.

The letter from ASCA expresses concerns about switching to the C-CPI-U system, particularly in situations where the annual rate would decrease.

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