On December 21, 2009, President Obama signed into law the Department of Defense Appropriations Act, 2010 (HR 3326), which included Medicare provisions.

With the President’s signature, HR 3326 delays the scheduled 21.2% Medicare payment reduction for physician services until March 1, 2010, Michael G. Apolskis, PC, reports on his [removed]Medicare Update Web site[/removed]. The payment cut was previously scheduled to take effect January 1, 2010.

According to Apolskis, each year since 2002 the sustainable growth rate formula has resulted in negative updates in the Medicare Physician Fee Schedule. However, CMS has taken action or Congress has enacted legislation each year to avoid the negative updates.