<nobr>Dec 12, 2005</nobr>

Joint ERIC Value-Based Purchasing Letter to Conferees

<align=center>Joint Letter to Conferees in Support of Medicare Value-Based Purchasing Language in Budget Reconciliation Bill</align>

December x, 2005

Dear Budget Reconciliation Conferee:

The undersigned organizations write in support of retaining language in the budget reconciliation measure that would move Medicare to a system of value based purchasing. We also urge that you reduce the burden of quality reporting to federal agencies by permitting the use of electronic standards and electronic reporting capabilities. By rewarding the delivery of high quality and efficient health care through Medicare, we believe the conferees have an historic opportunity to realize the savings and fiscal responsibility that Congress is pursuing through the reconciliation process.

Rising costs and uneven quality are the most pressing health care issues facing employers, employees, as well as federal and state governments. As the single, largest purchaser of health care services, Medicare is uniquely positioned to transform the health care marketplace into one in which higher quality, efficient, and patient-centered care are recognized and rewarded. Unfortunately, Medicare currently does not reward quality nor permit the use of quality reporting using electronic standards. Value-based purchasing in the Medicare program can be an important catalyst for other public purchasers, along with the private sector, to work together, and drive our health care system to achieve higher levels of performance and greater efficiency.

We believe that requiring all providers to disclose their performance on quality measures and to be paid on performance is feasible and necessary to create incentives for delivering high quality care delivered in a cost-effective manner. The Senate bill would also create uniform, transparent, and publicly available information on provider quality and efficiency that would give consumers the tools that they need to make better health care decisions. These changes can vastly improve our nation’s health care system and increase the value of health care that all Americans receive.

As the budget reconciliation process moves forward, we urge you to support provisions to strengthen the value purchasing and public reporting provisions of this legislation.

Sincerely,

HR Policy Association
IBM
The ERISA Industry Committee
American Benefits Council
Corporate Health Care Coalition
General Electric Company
Pacific Business Group on Health
National Association of Manufacturers
National Business Group on Health
United Parcel Service
U.S. Chamber of Commerce
[Incomplete List]

Back to Previous Page