Rasmussen, center, of the American Hospital Association, said hospitals are underpaid and that a Medicare Payment Advisory Commission recommendation would reduce hospital payments up to 80 percent for the 10 most common outpatient services.
Because Medicare is such a big part of the federal budget, it will almost certainly be part of any deal to reduce government spending, Kahn said. And because hospitals account for 35 percent to 40 percent of Medicare spending, they are sure to feel some of those cuts.
“You always have to be concerned where there’s this nexus between fiscal policy and health policy. Fiscal policy is going to drive health policy, and not necessarily what the best health policy is,” Kahn said.
Vice President Joe Biden waits to conduct a mock swearing-in ceremony with Sen. Brian Schatz, D-Hawaii, in the Capitol's Old Senate Chamber, December 2, 2014. Schatz was sworn in to serve the remainder of his term since he was appointed to the seat after Sen. Daniel Inouye, D-Hawaii, passed away.