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2010 CCLA Annual Conference. Washington Update: What’s the Midterm Election Impact for Labs? Westgate Hotel San Diego, CA November 4, 2010 Dennis Weissman, President Dennis Weissman & Associates, LLC and Founder & Executive Editor Washington G-2 Reports.
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2010 CCLAAnnual Conference Washington Update: What’s the Midterm Election Impact for Labs? Westgate Hotel San Diego, CA November 4, 2010 Dennis Weissman, President Dennis Weissman & Associates, LLC and Founder & Executive Editor Washington G-2 Reports
Presentation Outline • 2010 Mid-term Election Update • What the Election Outcome Means for Healthcare & Lab Sector • Top Legislative Priorities for Lab Industry • Regulatory Hotspots for Labs & Pathologists
Current Partisan Breakdown Senate: 57 Democrats 41 Republicans 2 Independents House: 255 Democrats 178 Republicans 2 Vacancies Governors: 26 Democrats 24 Republicans
Seats Up in Mid-Term Elections Senate: 37 seats (34 are 6 year seats) Delaware: through Jan. 2015 New York & West Virginia: Jan. 2013 --19 now held by Democrats --18 now held by Republicans House: all 435 seats are up for 2-yrs termsGovernors: 37 state seats are up -- 19 Democrats -- 18 Republicans
Senate Election Results Senate Races: Republicans win or leading: Democrats win or leading: Too close to call: 2011 projected Senate lineup: Democrats: Republicans:
House Election Results House of Representatives Races: Republicans win or leading: Democrats win or leading: Too close to call: 2011 projected House lineup: Democrats: Republicans:
Gubernatorial Election Results Governors’ Races: Democrats win or leading: Republicans win or leading: Too close to call: 2010 projected gubernatorial lineup: Democrats: Republicans:
Top Issues in 2010 Elections • State of U.S. economy • Unemployment/jobs • Dissatisfaction with government/politicians • Federal budget deficit/federal debt • Healthcare reform/high costs • Immigration/illegal aliens • Wars • Education
Political Outlook in 2011 • Post-election session may well deadlock with 2011 tax policy on the front burner • Congressional gridlock like as severe partisan tensions divide Democrats & GOP • Both parties focus on their political bases with possible moderating force coming from newly elected GOP moderates • Budget deficit reduction & jobs are top issues • 2012 presidential election politics colors all policy deliberations
Election Impact on Healthcare • Implementation of healthcare reform law --repeal efforts on Capitol Hill & court challenges unlikely to overturn law --push to modify certain tax provisions --GOP to use budget to slow implementation • Political stalemate surrounding Deficit Reduction Commission recommendations • Additional Medicare provider cuts not likely • Reform of physician SRG formula improbable
Top Legislative Prioritiesfor Lab Industry • Prevent additional Medicare cuts for labs • Stop 21.5 cut in physician fee schedule under Medicare beginning Dec. 1 and a 27% cut on Jan. 1, 2011 • Preserve pathology “grandfather” provision to allow labs to bill Part B directly for the TC for hospital inpatients & outpatients • Block any new federal requirements for molecular and/or genetic testing
Policy Focus for 2011 • FDA oversight of laboratory-developed tests • Federal & state crack down on fraud & abuse • Opposition to CMS proposal to require physician or NPP signature on all test requisitions under Part B lab fee schedule • Federal response over growth in volume & increased Part B spending related to in-sourcing pathology services • CLIA slowdown in revised cytology PT rules • Court rulings on gene patents