Congressional Budget Office revises score for SGR repeal

On Nov. 14, the Congressional Budget Office (CBO) released revised scoring for repealing the sustainable growth rate (SGR) formula. The CBO reduced the 10-year score for repealing the SGR and replacing it with a long-term payment freeze to $118.9 billion. In August, CBO had scored this policy at $131 billion.

The CBO also increased the score for the SGR Repeal and Medicare Provider Payment Modernization Act of 2014 (H.R. 4015/S. 2000) from $138.4 billion to $144 billion, primarily a result of the “misvalued codes” provisions in the bill being enacted into law last March as a part of the 17th payment patch. While the cost of repealing the SGR remains near its historic low, the multiple revisions of the score this year demonstrate the volatility of the CBO’s scoring methods and the risk that the estimated costs could rise again in the future.

Article from AMA Advocacy Update 11-20-14.