AIM Letter to Sens Murray and Hensarling Regarding IOAS Letter

September 20, 2011 Categories: Comments and Letters, Reimbursement and Coverage



September 20, 2011


The Honorable Patty Murray, Co-Chair,
Joint Select Committee on Deficit Reduction


The Honorable Jeb Hensarling, Co-Chair,
Joint Select Committee on Deficit Reduction


Dear Chairwoman Murray and Chairman Hensarling:


On behalf of the Alliance for Integrity in Medicare (AIM), a coalition committed to ending the practice of inappropriate physician self-referral in Medicare, we recognize the challenges you face in making significant reductions in government spending. As the Joint Select Committee on Deficit Reduction identifies ways to reach the benchmarks set forth by the Budget Control Act of 2011, we urge you to explore the savings that could be generated from closing the Medicare physician self-referral loophole.


The undersigned organizations, representing thousands of health professionals in the fields of advanced diagnostic imaging, anatomic pathology, physical therapy, and radiation therapy, are extremely concerned that misapplication of the in-office ancillary services (IOAS) exception to the physician self-referral law results in increased spending, unnecessary overutilization of services, and could also lead to compromised patient choice and care.


AIM strongly supports efforts to rein in inappropriate spending in the Medicare program to sustain the program for current and future beneficiaries. We are confident that closing the self-referral loophole for the services noted above, while preserving the ability for truly integrated multi-specialty practices to continue providing services through the exception, will create savings for the Medicare program. More specifically, the savings are achieved through a reduction in inappropriate utilization of diagnostic tests, and in some cases, follow-up treatments. We believe a legislative remedy is needed and enclose draft language for your review.


We would appreciate the opportunity to discuss this issue and its potential savings in greater detail. For further information, please contact Dave Adler, ASTRO’s director of government relations, at (703) 839-7362.


Thank you in advance for your consideration.




The Alliance for Integrity in Medicare

American Clinical Laboratory Association
American College of Radiology
American Physical Therapy Association
American Society for Clinical Pathology
American Society for Radiation Oncology
Association for Quality Imaging
College of American Pathologists
Radiology Business Management Association


Senate Majority Leader Harry Reid, Senate Minority Leader Mitch McConnell, Speaker of the House John Boehner, House Majority Leader Eric Cantor, House Minority Leader Nancy Pelosi


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