What may have seemed like just another health reform proposal a couple months ago could soon become reality. Federal lawmakers are now having serious discussions about allowing an independent board, such as the Medicare Payment Advisory Commission (MedPAC), set Medicare payment rates to help keep program costs in check, according to published reports.

Congressional committees have moved health care reform bills forward while keeping in mind a looming deadline of finalizing health system reform by its annual August recess. On Monday, with a deadline just weeks away, President Barack Obama slightly backed away from urgent calls of reform "cannot wait" and asking Democratic and Republican lawmakers to "seize this opportunity."

The head official at the Congressional Budget Office (CBO) delivered some sobering news to lawmakers on Friday: the House's health reform bill will add $239 billion to the federal deficit over the next 10 years. That means the bill violates one of President Barack Obama's main principles (that it reduce costs for government) for reform, The Wall Street Journal notes.

The Medicare Payment Advisory Commission (MedPAC) released its June 2009 Data Book this morning. It's no surprise that you'll find the volume of outpatient services per patient up (19% from 2002-2007) along with the number of patients enrolled in a Medicare Advantage plans (increasing to 10.5 million in 2009 from 9.4 million in 2008).

Initially, what's caught my eye is MedPAC devoting a section to observation services.

We've updated the Part B News Library with two key tools for your practice, and are only available to Part B News subscribers. The first is an Observation Audit Sheet, the newsletter's tool of the month developed by DecisionHealth Professional Services. This form will help you accurately and consistently audit billed observation services. The sheet should be used with chart notes to determine the appropriate level of service billed - cutting down on overbilling and ensuring compliance.