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<bill bill-stage="Introduced-in-Senate" dms-id="A1" public-private="public">
	<form>
		<distribution-code display="yes">II</distribution-code>
		<congress>110th CONGRESS</congress>
		<session>1st Session</session>
		<legis-num>S. 1519</legis-num>
		<current-chamber>IN THE SENATE OF THE UNITED STATES</current-chamber>
		<action>
			<action-date date="20070524">May 24, 2007</action-date>
			<action-desc><sponsor name-id="S308">Mr. Cardin</sponsor> (for himself
			 and <cosponsor name-id="S161">Mr. Specter</cosponsor>) introduced the following
			 bill; which was read twice and referred to the
			 <committee-name committee-id="SSFI00">Committee on
			 Finance</committee-name></action-desc>
		</action>
		<legis-type>A BILL</legis-type>
		<official-title>To amend title XVIII of the Social Security Act to
		  provide for a transition to a new voluntary quality reporting program for
		  physicians and other health professionals.</official-title>
	</form>
	<legis-body>
		<section id="S1" section-type="section-one"><enum>1.</enum><header>Short
			 title</header><text display-inline="no-display-inline">This Act may be cited as
			 the <quote><short-title>Voluntary Medicare Quality
			 Reporting Act of 2007</short-title></quote>.</text>
		</section><section id="ID9572ad5d6b7c4623a7d6a52acba0334e"><enum>2.</enum><header>Findings</header>
			<subsection id="ID4edc17fdeac74fdab5268ba9b9a785f1"><enum>(a)</enum><header>Findings</header><text>Congress
			 makes the following findings:</text>
				<paragraph id="ID7ccd57e9a2194928aa8ffd7102cf7a00"><enum>(1)</enum><text>The health care
			 system of the United States is the world’s most advanced health care system and
			 delivers health care according to the highest quality standards. Physicians and
			 other health professionals are committed to providing the highest quality of
			 health care to beneficiaries under the Medicare program.</text>
				</paragraph><paragraph id="ID6dda2bd7ed6749458afab8e766a3ff28"><enum>(2)</enum><text>Physicians have
			 been actively engaged with the American Medical Association’s Physician
			 Consortium for Performance Improvement in the development of evidence-based and
			 clinically valid measures in order to improve the quality of health care and
			 have also worked closely with the Centers for Medicare &amp; Medicaid Services
			 (<quote>CMS</quote>) in assuring the successful implementation of the Physician
			 Voluntary Reporting Program (<quote>PVRP</quote>) developed to measure and
			 evaluate quality of health care.</text>
				</paragraph><paragraph id="ID1be8b80d3d484eb4964a408d58d102a8"><enum>(3)</enum><text>Physicians are
			 actively collaborating with consensus organizations in their efforts to—</text>
					<subparagraph id="id5E02270CB03E45648889C174515BEB84"><enum>(A)</enum><text>improve the
			 quality of health care through the specification of quality measures for
			 services; and</text>
					</subparagraph><subparagraph id="idB15DC53CC5F24F6597E0D6EBA5E64564"><enum>(B)</enum><text>develop a
			 rational system for collecting, aggregating, and reporting data across numerous
			 public and private insurance programs in the least burdensome way.</text>
					</subparagraph></paragraph><paragraph id="IDe8f72fd74e8f4d969860700bca1a89fc"><enum>(4)</enum><text>Quality measures
			 for covered professional services (as defined in section 1848(k)(3)(A) of the
			 Social Security Act (42 U.S.C. 1395w–4(k)(3)(A)) must be—</text>
					<subparagraph id="id1ED46DCEC5D94893AB5F3D3293DBDF0C"><enum>(A)</enum><text>evidence-based
			 and clinically valid;</text>
					</subparagraph><subparagraph id="id810F254CCADF4E7EBD4D8E60746808C5"><enum>(B)</enum><text>regularly updated
			 to reflect current medical practice;</text>
					</subparagraph><subparagraph id="idE99AF800D0CC46C2B4614B0BA6379518"><enum>(C)</enum><text>specialty
			 specific; and</text>
					</subparagraph><subparagraph id="idB62F83A846AD459BBE10C07D1CA7290E"><enum>(D)</enum><text>developed by
			 relevant medical and other health professional specialty societies with
			 expertise in the area of health care involved.</text>
					</subparagraph></paragraph><paragraph id="ID298c4c05f1494fc6a50848bbc2b4da69"><enum>(5)</enum><text>All quality
			 measures for covered professional services (as so defined) should be
			 pilot-tested in a variety of practice settings and across all relevant medical
			 and other health professional specialties before they are included in a
			 value-based purchasing system for such services.</text>
				</paragraph><paragraph id="ID0ee1d10c1b8d4648944236eef527fec9"><enum>(6)</enum><text>Physicians must
			 be actively engaged in all aspects of the development and implementation of an
			 effective quality reporting and value-based purchasing system for covered
			 professional services (as so defined). The development process for such system
			 must be transparent to all physicians and adhere to a consistent set of
			 rules.</text>
				</paragraph><paragraph id="ID388e7b631aa84667a97922bfd4c5c797"><enum>(7)</enum><text>Any effective
			 quality reporting system for covered professional services (as so defined) must
			 recognize the actual health information technology and administrative costs
			 physicians and other health professionals incur for participating in the
			 system.</text>
				</paragraph><paragraph id="ID6fae63d3469e401c95d27bc0d7860238"><enum>(8)</enum><text>Any quality
			 reporting program for covered professional services (as so defined) should
			 focus on meaningful improvements in patient care rather than requiring
			 physicians to report for the sake of reporting.</text>
				</paragraph><paragraph id="ID77dd85d32eb04dab9f8efd354b5d47b7"><enum>(9)</enum><text>Most physicians
			 and other health professionals have not had any experience in quality reporting
			 and lack the necessary health information technology and administrative
			 infrastructures to participate in a value-based purchasing system for
			 physicians’ services.</text>
				</paragraph><paragraph id="ID3132bb58264345c6a44273741ae04ca8"><enum>(10)</enum><text>The 6-month
			 program under section 1848(k) of the Social Security Act (42 U.S.C.
			 1395w–4(k)), as added by section 101(b) of division B of the Tax Relief and
			 Health Care Act of 2006 (Public Law 109–432; 120 Stat. 2975), the 2007
			 Physician Quality Reporting Initiative (<quote>PQRI</quote>), does not provide
			 a sufficient amount of time to test and evaluate the appropriateness and
			 effectiveness of this new reporting system. Therefore, it is premature to
			 implement a permanent Medicare quality reporting system for physicians in
			 2008.</text>
				</paragraph></subsection></section><section id="IDba33d76e24654692994f87c6d033703f"><enum>3.</enum><header>Transition to
			 new voluntary Medicare quality reporting program</header>
			<subsection id="HBEC47AD08B9B4809B493B474CD74A04E"><enum>(a)</enum><header>Evaluating the
			 transitional quality reporting system established for
			 <enum-in-header>2007</enum-in-header></header>
				<paragraph id="idA931C6E924D34C49B3AA6B01388DC2B8"><enum>(1)</enum><header>Evaluation</header><text display-inline="yes-display-inline">The Secretary of Health and Human Services
			 shall evaluate the quality reporting system under paragraph (1) of section
			 1848(k) of the Social Security Act (42 U.S.C. 1395w–4(k)) (as added by section
			 101(b) of division B of the Tax Relief and Health Care Act of 2006 (Public Law
			 109–432)), as applied for 2007 using the quality measures described in
			 paragraph (2)(A) of such section to determine the following:</text>
					<subparagraph id="H5F1E352F69334899B41633FA2F835216"><enum>(A)</enum><text>The extent to
			 which such quality measures were valid, clinically relevant, practicable, and
			 not overly burdensome.</text>
					</subparagraph><subparagraph id="H3CFCAA86821A423E8F3E59CD04EF94BA"><enum>(B)</enum><text>The percentage of
			 eligible professionals (as defined in paragraph (3)(B) of such section) in each
			 category of eligible professionals described in such paragraph that had such
			 quality measures to report for such year.</text>
					</subparagraph><subparagraph id="H52DE6053998D49BBB9711CA97C3834E5"><enum>(C)</enum><text>The rate of
			 participation in such quality reporting system of eligible professionals
			 described in subparagraph (B) in each such category.</text>
					</subparagraph><subparagraph id="HD2E754BD6F984AD3977C57AE6BE42800"><enum>(D)</enum><text display-inline="yes-display-inline">The average administrative costs of medical
			 practices of such eligible professionals for reporting such quality measures,
			 as it relates to the size of such practices.</text>
					</subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="HA35D4C829BCA4AEAA41C25BB00625ECC"><enum>(2)</enum><header>Report</header><text>Not
			 later than June 1, 2008, the Secretary of Health and Human Services shall
			 submit to Congress a report containing the findings of the evaluation under
			 paragraph (1).</text>
				</paragraph></subsection><subsection id="IDdfde02803eac44d4a9024d3228007699"><enum>(b)</enum><header>Demonstration
			 projects on data registries</header><text>Beginning January 1, 2008, the
			 Secretary of Health and Human Services shall enter into contracts for
			 conducting demonstrations for defining appropriate mechanisms whereby eligible
			 professionals (as defined in section 1848(k)(3)(B) of the Social Security Act
			 (42 U.S.C. 1395w–4(k)(3)(B)) may provide data on quality measures to the
			 Secretary through an appropriate medical registry. The Secretary shall require
			 that all mechanisms developed under this subsection be for purposes of
			 reporting data to the Secretary only. The Secretary shall consider such data as
			 confidential and not make such data available to other parties or
			 persons.</text>
			</subsection><subsection id="ID566ba0ff1d934aefaabe7858874e4ce1"><enum>(c)</enum><header>Transitional
			 quality reporting after December 31, 2007, and before implementation of new
			 voluntary Medicare quality reporting program</header>
				<paragraph id="ID7242b8edcc3e4985a5869ce6fb1e91e8"><enum>(1)</enum><header>In
			 general</header><text>Section 1848(k)(2)(B) of the Social Security Act (42
			 U.S.C. 1395w–4(k)(3)(B)) is amended to read as follows:</text>
					<quoted-block display-inline="no-display-inline" id="idD11251539FDA4AF4A19235C49A7E4BBF" style="OLC">
						<subparagraph id="IDd04e5c9b892042f095245cd72538f171"><enum>(B)</enum><header>For 2008 and
				2009</header><text>Eligible professionals may continue to report to the
				Secretary quality measures specified under subparagraph (A) after December 31,
				2007, and before December 31, 2009, in order for the Secretary to refine
				systems for reporting quality
				measures.</text>
						</subparagraph><after-quoted-block>.</after-quoted-block></quoted-block>
				</paragraph><paragraph commented="no" id="HA4840F8381324AB1854F5411BDB76628"><enum>(2)</enum><header>Prohibiting use
			 of Physician Assistance and Quality Initiative Fund for quality reporting bonus
			 payments in 2008</header><text>Section 1848(l)(2)(B) of the Social Security Act
			 (42 U.S.C. 1395w–4(l)(2)(B)), as added by section 101(d) of division B of the
			 Tax Relief and Health Care Act of 2006 (Public Law 109–432), is amended by
			 adding at the end the following new sentence: <quote>The Secretary shall not
			 expend from the Fund any amounts for bonus incentive payments for quality
			 reporting of data on quality measures with respect to services furnished during
			 2008.</quote>.</text>
				</paragraph></subsection></section><section commented="no" display-inline="no-display-inline" id="IDe7694f5c00ea4c65b21fe0d8e6786b4c" section-type="subsequent-section"><enum>4.</enum><header display-inline="yes-display-inline">The voluntary Medicare quality reporting
			 program</header>
			<subsection commented="no" display-inline="no-display-inline" id="idC0370E6F3C6D43078F3782E29DD11A2A"><enum>(a)</enum><header display-inline="yes-display-inline">In general</header><text>Section 1848(k)(2)
			 of the Social Security Act (42 U.S.C. 1395w–4(k)(2)) as added by section 101(b)
			 of Division B of the Tax Relief and Health Care Act of 2006 (Public Law
			 109–432; 120 Stat. 2975), is amended by adding at the end the following new
			 subparagraph:</text>
				<quoted-block display-inline="no-display-inline" id="idE5A9C3ED00714FF89C0A3ACD6C8E368F" style="OLC">
					<subparagraph id="IDe3b3382d98934dcba41f32be3f36e8b9"><enum>(C)</enum><header>For 2010 and
				succeeding years</header>
						<clause id="IDc54a398b6e1d438ba5bdb249ff861916"><enum>(i)</enum><header>In
				general</header><text>For purposes of reporting data on quality measures for
				covered professional services furnished during 2010 and during succeeding
				years, the quality measures specified under this paragraph for covered
				professional services are quality measures the Secretary has selected in
				accordance with this subparagraph as part of the rulemaking process for
				payments under this section for 2010 and succeeding years, respectively.</text>
						</clause><clause id="ID9831c23a0b3c465f868eb642a04c0f0d"><enum>(ii)</enum><header>Characteristics
				of measures</header><text>The quality measures selected under clause (i)
				shall—</text>
							<subclause id="id121682EB77424565AC62362F099FDC2E"><enum>(I)</enum><text>include a mixture
				of structural measures, process measures, and outcomes measures (as such terms
				are defined in clause (v));</text>
							</subclause><subclause id="ID7154337070cf458ea68ac8bd25ff304f"><enum>(II)</enum><text>be
				evidence-based and clinically valid;</text>
							</subclause><subclause id="ID5dc085f53546442b87963385c7e1f108"><enum>(III)</enum><text>be relevant to
				physicians, other eligible professionals, and individuals entitled to benefits
				under part A or enrolled under this part; and</text>
							</subclause><subclause id="ID99c9a911f57648129cd9c726e798c32e"><enum>(IV)</enum><text>include measures
				that capture patients' assessments of clinical care provided.</text>
							</subclause></clause><clause id="IDf5204d3574ab425aae1747aae9b3c1f5"><enum>(iii)</enum><header>Fairness</header><text>The
				selection of quality measures under this subparagraph shall be conducted (and
				such quality measures shall be applied) in a manner that—</text>
							<subclause id="ID02599ccd5a85496a824353c5c82b81c6"><enum>(I)</enum><text>takes into
				account differences in individual health status;</text>
							</subclause><subclause id="ID19ddc4ba98c04f5e899cd2877d265d23"><enum>(II)</enum><text>takes into
				account an individual’s compliance with health care orders;</text>
							</subclause><subclause id="IDfacd0646c8a645acaee7098a62d986da"><enum>(III)</enum><text>does not
				directly or indirectly encourage patient selection or deselection;</text>
							</subclause><subclause id="H501356CB9C714B3487038CC442BF746F"><enum>(IV)</enum><text display-inline="yes-display-inline">does not penalize eligible professionals
				who furnish services to individuals entitled to benefits under part A or
				enrolled under this part who are frail, low-income, of racial or ethnic
				minority groups, or of limited English language proficiency;</text>
							</subclause><subclause id="ID6af1ea4559a647e5a069f82f69ea639f"><enum>(V)</enum><text>reduces health
				disparities across groups and areas;</text>
							</subclause><subclause id="ID741e2d690f004261943c0ebe8cc45235"><enum>(VI)</enum><text>uses appropriate
				statistical techniques to ensure valid results; and</text>
							</subclause><subclause id="ID3936d582992840edb8ab7747a161702c"><enum>(VII)</enum><text>assures that
				the Secretary is able to process data for the quality measures as written by
				the individual or organization that developed the measure.</text>
							</subclause></clause><clause id="IDb916f2b29ee14cc2894377cb7c22d211"><enum>(iv)</enum><header>Selection
				process for measures to be reported</header><text>The measures selected under
				clause (i) for 2010 (and each succeeding year) shall be measures that have been
				published by the Secretary in the Federal Register not later than November 1
				before the year as endorsed quality measures that are applicable to covered
				professional services during the year. For purposes of this subparagraph, the
				Secretary may publish quality measures for 2010 (or a succeeding year) in the
				Federal Register only if such measures are selected and endorsed as
				follows:</text>
							<subclause id="HD42FE86B5FB24DD79F6F082BFB7909D2"><enum>(I)</enum><header>Recommendations
				for clinical areas</header><text>Not later than October 1, 2008 (and each
				succeeding October 1), the Secretary shall request, through notice in the
				Federal Register (without comment period), each physician specialty
				organization, each other eligible professional organization, and each quality
				improvement organization to submit to the Physician Consortium for Performance
				Improvement of the American Medical Association (referred to in this
				subparagraph as the <quote>Consortium</quote>) by not later than December 31,
				2008 (and each succeeding December 31), recommendations of clinical areas for
				the development of quality measures for purposes of this subparagraph. Not
				later than December 31, 2008 (and each succeeding December 31), the Secretary
				shall also submit to the Consortium recommendations of clinical areas for the
				development of such quality measures.</text>
							</subclause><subclause id="H8B914BBBB06D475686EDA3F8D42D8C75"><enum>(II)</enum><header>Selection of
				clinical areas</header><text>Not later than March 31, 2009 (and each subsequent
				March 31), the Consortium is requested to submit to the Secretary the
				recommendations described in subclause (I).</text>
							</subclause><subclause id="HB1840703147849969E27D69E29561FC8"><enum>(III)</enum><header>Development of
				proposed quality measures</header><text display-inline="yes-display-inline">Not
				later than June 1 of each year (beginning with 2009), the Consortium, in
				collaboration with physician specialty organizations and other eligible
				professional organizations, is requested to develop proposed quality measures
				for each clinical area identified under subclause (I). Such measures shall meet
				the requirements of clauses (ii) and (iii).</text>
							</subclause><subclause id="HD7F7817F743840D4AB4B4B14E269F600"><enum>(IV)</enum><header>Endorsement of
				quality measures</header><text display-inline="yes-display-inline">Not later
				than June 15 of each year (beginning with 2009), the Consortium is requested to
				submit the proposed quality measures developed under subclause (III) to a
				consensus organization for endorsement. Not later than September 30 of each
				year (beginning with 2009), the consensus organization is requested to submit
				to the Secretary the quality measures that have been endorsed by the consensus
				organization.</text>
							</subclause></clause><clause id="IDefdb035bd3944b50946d881d80231fdb"><enum>(v)</enum><header>Definitions</header><text>In
				this subparagraph:</text>
							<subclause id="IDe022f54202cf401fb014c2d1b0325b33"><enum>(I)</enum><header>Structural
				measure</header><text>The term <term>structural measure</term> means a measure
				that reflects the organizational, technological, and human resources
				infrastructure of a system necessary for the delivery of quality health care
				(such as the use of health information technology for submission of
				measures).</text>
							</subclause><subclause id="IDea49542d7daf41efa20ef662f9de0e6d"><enum>(II)</enum><header>Process
				measure</header><text>The term <term>process measure</term> means a measure
				associated with the practice of health care or the furnishing of a service that
				is known to be effective.</text>
							</subclause><subclause id="IDdf111e5b67274494b3065eb606af3e11"><enum>(III)</enum><header>Outcome
				measure</header><text>The term <term>outcome measure</term> means a measure
				that provides information on how health care affects patients.</text>
							</subclause><subclause id="ID1d8b6a9a497a465298dcf4eec27bbd50"><enum>(IV)</enum><header>Consensus
				organization</header><text>The term <term>consensus organization</term> means
				an organization, such as the National Quality Forum, that the Secretary
				identifies as—</text>
								<item id="ID9e23fcc285514dd18e6550c81ec2819f"><enum>(aa)</enum><text>having
				experience in using a process for reaching a group consensus with respect to
				quality measures relating to the performance of those providing health care
				services; and</text>
								</item><item id="ID38e585b784a14084a9efcaf54d4f4a04"><enum>(bb)</enum><text>including in
				such process practicing physicians, practitioners with experience in the care
				of the frail elderly and individuals with multiple complex chronic conditions,
				organizations and individuals representative of the specialty involved,
				individuals entitled to benefits under part A or enrolled under this part,
				experts in health care quality, individuals with experience in the delivery of
				health care in urban, rural, and frontier areas and to underserved populations,
				and representatives of the
				Secretary.</text>
								</item></subclause></clause></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block>
			</subsection><subsection commented="no" display-inline="no-display-inline" id="idC4EEAEE368CE45AD819214AAB92AB3CB"><enum>(b)</enum><header>Taking into
			 account results of demonstration projects</header><text>Section 1848(k) of the
			 Social Security Act (42 U.S.C. 1395w–4(k)) as added by section 101(b) of
			 Division B of the Tax Relief and Health Care Act of 2006 (Public Law 109–432;
			 120 Stat. 2975) is amended—</text>
				<paragraph commented="no" display-inline="no-display-inline" id="id041AC62A61D94A0DB8106CD9D701B196"><enum>(1)</enum><text>by striking
			 paragraph (4) (relating to registry based reporting); and</text>
				</paragraph><paragraph commented="no" display-inline="no-display-inline" id="id80C8F740185947DD87370945FD34CCAC"><enum>(2)</enum><text>by inserting
			 after paragraph (3) the following new paragraph:</text>
					<quoted-block display-inline="no-display-inline" id="id4E6482CD5CDA46BE860F949AC2129D95" style="OLC">
						<paragraph commented="no" display-inline="no-display-inline" id="id932ABB753FB643499349F96F0002C975"><enum>(4)</enum><header>Taking into
				account results of demonstration projects</header><text>In administering this
				subsection, the Secretary shall take into account the relevant findings and
				results from demonstration projects undertaken by the Secretary for reporting
				quality measures applicable to covered professional
				services.</text>
						</paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
				</paragraph></subsection></section></legis-body>
</bill>
