DISCLAIMER The following is a preliminary report of actions taken by the House of Delegates at its 2003 Interim Meeting and should not be considered final. Only the Official Proceedings of the House of Delegates reflect official policy of the Association. AMERICAN MEDICAL ASSOCIATION HOUSE OF DELEGATES (I-03) Report of Reference Committee K Ruth M. Covell, MD, Chair 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 In keeping with Resolution 601 (A-96), the Reference Committee recommends the following consent calendar for acceptance: RECOMMENDED FOR ADOPTION 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. Board of Trustees Report 3 – AMA Opposition to Securitization of Tobacco Settlement Payments (Resolutions 431 and 440, A-03) Board of Trustees Report 6 – Surge Capacity for Mass Casualty Care Resolution 820 – Improving Regional Terrorism and Disaster Preparedness and Response Council on Scientific Affairs Report 1 – AMA National Disaster Life Support Program Resolution 844 – Visa Complications for IMGs in GME Resolution 814 – Appropriations for Increasing the Number of Primary Care Physicians Council on Medical Education Report 3 – Strategies to Combat Mid-year and Retroactive Tuition Increases Resolution 848 – Long Term Solutions to Medical Student Debt Resolution 849 – Financing Federal Consolidation Loans Resolution 850 – Immediate Legislative Solutions to Medical Student Debt Resolution 817 – Audit Equity Resolution 818 – Medical and Dental Care for People with Developmental Disabilities Council on Medical Service Report 4 – Limiting Financial Incentives to Withhold Appropriate Care (Resolution 915, I-02) Resolution 842 – Provision for Conflict Resolution in Joint Commission Standards Resolution 843 – AMA Support for Physician Surveyors Consistent with AMA Policy RECOMMENDED FOR ADOPTION AS AMENDED OR SUBSTITUTED 16. 17. Board of Trustees Report 7 – Annual Tobacco Report 2003 Council on Medical Education Report 1 – Parity for International Medical Graduates for Clinical Skills Assessment (Substitute Resolution 821, I-02 and Resolution 305, A-03) Reference Committee K (I-03) Page 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 18. 19. 20. 21. 22. 23. 24. 25. Council on Medical Education Report 2 – Proposed Revisions to AMA Policy on the Physician Workforce Resolution 807 – US Physician Shortage Resolution 851 – Blue Cross of California Quality of Care Allegations Resolution 847 – State and Local Advocacy on Medical Student Debt Resolution 809 – Reimbursement Denial Based Solely on Specialty Resolution 812 – Translating Biomedical Research to the Bedside Resolution 835 – Principles for Incident-Based Peer Review Council on Medical Service Report 3 – Health Reimbursement Arrangements RECOMMENDED FOR REAFFIRMATION 26. 27. Resolution 803 – State Tobacco Tax Increases and Responsible Use of Resulting Funds Resolution 806 – Physician Credentials and the Tort System RECOMMENDED FOR REFERRAL 28. Resolution 834 – Cutting Prescription Drug Prices RECOMMENDED FOR REFERRAL FOR DECISION 29. Resolution 838 – Preservation of the National Resident Matching Program (NRMP) RECOMMENDED FOR NOT ADOPTION 30. Resolution 829 – Guidelines to Avoid Inappropriate Insurer Kickbacks Reference Committee K (I-03) Page 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 (1) BOARD OF TRUSTEE REPORT 3 - AMA OPPOSITION TO SECURITIZATION TO TOBACCO SETTLEMENT PAYMENTS (RESOLUTIONS 431 AND 440, A-03) RECOMMENDATION: Madam Speaker, your Reference Committee recommends that the recommendations contained in Board of Trustees Report 3 be adopted and the remainder of the report be filed. HOD ACTION: Recommendations contained in Board of Trustees Report 3 adopted, remainder of report filed. Board of Trustee Report 3 recommends that the AMA strongly oppose the use of tobacco settlement funds for projects unrelated to tobacco use prevention and control, tobacco-related health research, treatment of smoking-related diseases, or increased access to medical services; and calls for the AMA to work with state medical societies to protect the settlement funds, including issuing statements condemning the use of settlement funds as a way to remedy state budget crises. Your Reference Committee heard limited testimony, all in support of the report. One witness noted the important implication of the Master Settlement Agreement (MSA) that state governments are now among the greatest stakeholders in the tobacco industry. While noting that securitization may also, in some states, be used as a way to protect the flow of MSA revenues to health programs, your Reference Committee also notes that the general trend has been for securitized funds to result in a lessening of both the absolute amount and share of MSA funds available to finance antitobacco programs. Your Reference Committee concurs with the testimony it heard as well as with both the content and recommendations of the report, and so recommends that Board of Trustees Report 3 be adopted. (2) BOARD OF TRUSTEE REPORT 6 - SURGE CAPACITY FOR MASS CASUALTY CARE RECOMMENDATION: Madam Speaker, your Reference Committee recommends that the recommendation contained in Board of Trustees Report 6 be adopted and that the remainder of the report be filed. HOD ACTION: Recommendation contained in Board of Trustees Report 6 adopted, remainder of report filed. Board of Trustee Report 6 recommends that AMA Directive D-130.992, regarding medical preparedness for disasters, be amended by specifying that all state and local medical societies and medical specialty societies should take a leadership role in planning for and assuring adequate surge capacity in their state and community to respond to mass casualties resulting from a disaster or other public health emergency. Reference Committee K (I-03) Page 4 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 Testimony heard by your Reference Committee commended Board of Trustees Report 6. An editorial correction in the body of the report was noted regarding the population of Houston. Page 4, line 43 of the report indicates that Houston is home to 400 million people, whereas its actual population is 4 million. The Committee concurs with the support for this important report and applauds the Board. (3) RESOLUTION 820 - IMPROVING REGIONAL TERRORISM AND DISASTER PREPAREDNESS AND RESPONSE RECOMMENDATION: Madam Speaker, your Reference Committee recommends that Resolution 820 be adopted. HOD ACTION: Resolution 820 adopted. Resolution 820 calls for our AMA to: 1) call on the Department of Homeland Security and the Department of Health and Human Services (HHS) to assure a multi-state coordinating capacity that would provide for more effective local, state, and interstate response to terrorist incidents, including planning, mass casualty care, and risk communication efforts; 2) call on the HHS and the United States Public Health Service to expand the Medical Reserve Corps, a branch of the Citizen Corps, to include regional and nationwide organization of volunteer health care professionals to provide additional personnel surge capacity in a national level medical response, including organizational requirements, educational and training needs, and credentialing and liability issues; 3) call on federal and state agencies to develop a common credentialing standard with liability protection mechanisms to rapidly credential health care providers from other states to facilitate a regional or national level response; and 4) send letters to the President, Secretary of Homeland Security, Secretary of HHS, Surgeon General, and appropriate members of Congress urging such action. Testimony regarding Resolution 820 was largely supportive. There was a suggestion to amend the resolution with a request that the AMA should develop the common credentialing standards referred to in the third Resolve. Your Reference Committee concurs with the testimony of a member of the Board of Trustees, which indicated that the development of such standards would be very expensive. The Committee believes Resolution 820 proactively augments AMA policy on this critical issue. (4) COUNCIL ON SCIENTIFIC AFFAIRS REPORT 1 - AMA NATIONAL DISASTER LIFE SUPPORT PROGRAM RECOMMENDATION: Madam Speaker, your Reference Committee recommends that the recommendations contained in Council on Scientific Affairs Report 1 be adopted and the remainder of the report be filed. Reference Committee K (I-03) Page 5 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 HOD ACTION: Recommendations contained in Council on Scientific Affairs Report 1 adopted, remainder of report filed. Council on Scientific Affairs Report 1 describes AMA involvement in developing a National Disaster Life Support (NDLS) program for the purpose of providing the basic knowledge and skills set that all health and safety workers need to competently respond to an intended or naturally occurring public health emergency. The report recommends modification of policy H-130.946 to authorize collaboration with the Federation and to further specify program content related principally to public health activity and ethical and legal issues pertaining to disaster response. Testimony on Council on Scientific Report 1 was limited and highly supportive of the proactive recommendations. Your Reference Committee lauds the Council for its excellent report. (5) RESOLUTION 844 - VISA COMPLICATIONS FOR IMGS IN GME RECOMMENDATION: Madam Speaker, your Reference Committee recommends that Resolution 844 be adopted. HOD ACTION: Resolution 844 adopted. Resolution 844 calls for our AMA to: 1) work with the ECFMG to minimize delays in the visa process for International Medical Graduates (IMGs) applying for visas to enter the US for postgraduate medical training and/or medical practice; 2) promote regular communication between the Department of Homeland Security and AMA IMG representatives to address and discuss existing and evolving issues related to the immigration and registration process required for IMGs; 3) work through the appropriate channels to assist residency program directors, as a group or individually, to establish effective contacts with the State Department and the Department of Homeland Security, in order to prioritize and expedite the necessary procedures for qualified residency applicants to reduce the uncertainty associated with considering a non-citizen or permanent resident IMG for a residency position. Testimony on Resolution 844 was limited and highly supportive. The Council on Medical Education testified that it is currently tracking how long it takes from the time an applicant matches to the time the applicant receives a visa, and expressed its intention to publish the findings of its study in the near future. Your Reference Committee commends the International Medical Graduates Section for highlighting this important issue. Reference Committee K (I-03) Page 6 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 (6) RESOLUTION 814 - APPROPRIATIONS FOR INCREASING NUMBER OF PRIMARY CARE PHYSICIANS RECOMMENDATION: Madam Speaker, your Reference Committee recommends that Resolution 814 be adopted. HOD ACTION: Resolution 814 adopted. Resolution 814 calls for the AMA to: 1) support continued funding of Public Health Service Act, Title VII, Section 747; and 2) encourage members to communicate with their US Senators and Representatives to support Public Health Service Act, Title VII, Section 747. Your Reference Committee heard several witnesses testify strongly in support of the resolution and heard no dissenting views. Your Reference Committee therefore recommends that Resolution 814 be adopted. (7) COUNCIL ON MEDICAL EDUCATION REPORT 3 STRATEGIES TO COMBAT MID-YEAR AND RETROACTIVE TUITION INCREASES RECOMMENDATION: Madam Speaker, your Reference Committee recommends that the recommendations contained in Council on Medical Service Report 3 be adopted and that the remainder of the report be filed. HOD ACTION: Recommendations contained in Council on Medical Service Report 3 adopted, remainder of report filed. Council on Medical Education Report 3 investigates legal standing of mid-year and retroactive tuition increases at public and private medical schools and explores strategies to overturn or mitigate the effects of these increases, including legal challenge based on contract law, federal legislation limiting increases, and/or medical school programs for tuition offsets and increased fund-raising activity. The report recommends our AMA disseminate the findings of its review, assist state medical societies in opposing these tuition increases, and study the funding of medical education, and reaffirm AMA opposition to mid-year and retroactive tuition increases. Testimony on Council on Medical Education Report 3 was largely supportive, including strong support from the Medical Student Section. A suggestion was made to have the AMA contact the medical school tuition rate-setting bodies regarding the adverse effects of mid-year tuition increases for students. Your Reference Committee concurs with the testimony that such an amendment is likely to involve a complex directive and that the recommendations of the report are thorough and appropriate. Reference Committee K (I-03) Page 7 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 (8) RESOLUTION 848 – LONG TERM SOLUTIONS TO MEDICAL STUDENT DEBT RECOMMENDATION: Madam Speaker, your Reference Committee recommends that Resolution 848 be adopted. HOD ACTION: Resolution 848 adopted. Resolution 848 calls for our AMA to: 1) explore membership in the American Council on Education and/or the Committee for Education Financing, in order to build our ties to the higher education community and report back by the 2004 Annual Meeting; 2) more aggressively publicize existing work done through the Coalition for Student Loan Fairness; 3) study and report back at the 2004 Interim Meeting on potential new sources of Graduate Medical Education funding and ways to increase resident salaries; 4) study and report back at the 2004 Interim Meeting on feasible strategies for creating new and/or expanded loan programs specifically for the health professions; 5) study and report back at the 2005 Annual Meeting on the feasibility of earmarking federal funds to undergraduate medical education for the purpose of reducing medical school tuition at public and private universities; 6) study and report back at the 2004 Interim Meeting on the need for non-primary-care physicians in underserved areas, with a focus on showing how the National Health Service Corps and similar loan repayment programs could feasibly be expanded to cover specialties beyond primary care; and 7) study and report back at the 2005 Annual Meeting on appropriate methods for calculating the value of the clinical work performed by medical students and taking such calculations into account when determining the cost of educating a medical student. Testimony on Resolution 848 was limited to support. The Council on Medical Education indicated that it is conducting its systemic review of medical school financing and welcomed the resolutions to help direct the Council’s effort. Your Reference Committee commends the Medical Student Section for its extraordinary effort to address the issue of medical student debt. (9) RESOLUTION 849 - FINANCING FEDERAL CONSOLIDATION LOANS RECOMMENDATION: Madam Speaker, your Reference Committee recommends that Resolution 849 be adopted. HOD ACTION: Resolution 849 adopted. Resolution 849 calls for our AMA to: 1) support the refinancing of Federal Consolidation Loans; and 2) actively advocate for modification of pending and future legislation which provides the opportunity to refinance Federal Consolidation Loans. Reference Committee K (I-03) Page 8 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 Testimony on was limited and supportive. Your Reference Committee agrees that the resolution merits adoption. (10) RESOLUTION 850 - IMMEDIATE LEGISLATIVE SOLUTIONS TO MEDICAL STUDENT DEBT RECOMMENDATION: Madam Speaker, your Reference Committee recommends that Resolution 850 be adopted. HOD ACTION: Resolution 850 adopted. Resolution 850 calls for our AMA to: 1) endorse and actively lobby for the Reauthorization of the Higher Education Act, (including elimination of the “single-holder” rule, continuation of the consolidation loan program and a consolidator’s ability to lock in a fixed interest rate, expansion of the deferment period for loan repayment to cover the entire duration of residency and fellowship, broadening of the definition of economic hardship as used to determine eligibility for student loan deferment, retention of the option of loan forbearance for residents who are ineligible for student loan deferment, inclusion of dependent care expenses in the definition of “cost of attendance”); and 2) lobby for passage of legislation that would eliminate the cap on the student loan interest deduction, increase the income limits for taking the interest deduction, include room and board expenses in the definition of tax-exempt scholarship income, and make permanent the education tax incentives that our AMA successfully lobbied for as part of Economic Growth and Tax Relief Reconciliation Act of 2001. Testimony on Resolution 850 was supportive and your Reference Committee recommends its adoption. (11) RESOLUTION 817 - AUDIT EQUITY RECOMMENDATION: Madam Speaker, your Reference Committee recommends that Resolution 817 be adopted. HOD ACTION: Resolution 817 adopted. Resolution 817 calls for the AMA to seek relief from insurance inequity through legislation which instructs insurers to balance or refund for under-coding against any discovered over-coding during the course of an audit and not through extrapolation. Your Reference Committee heard limited testimony in support of the resolution, and none opposed, and therefore recommends that Resolution 817 be adopted. Reference Committee K (I-03) Page 9 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 (12) RESOLUTION 818 - MEDICAL AND DENTAL CARE FOR PERSONS WHO ARE DEVELOPMENTALLY DISABLED RECOMMENDATION A: Madam Speaker, your Reference Committee recommends that Resolution 818 be adopted. RECOMMENDATION B: Madam Speaker, your Reference Committee recommends that the title of Resolution 818 be changed to read as follows: MEDICAL AND DENTAL CARE FOR PEOPLE WITH DEVELOPMENTAL DISABILITIES HOD ACTION: Resolution 818 adopted with change in title. Resolution 818 calls for our AMA to entreat health care professionals, parents and others participating in decision-making to be guided by the following principles: 1) all people with developmental disabilities, regardless of the degree of their disability, should have access to appropriate and affordable medical and dental care throughout their lives; and 2) an individual’s medical condition and welfare must be the basis of any medical decision. Testimony was limited and supportive. It was suggested that the proposed title more accurately describes those with disabilities as they would describe themselves. (13) COUNCIL ON MEDICAL SERVICE REPORT 4 - LIMITING FINANCIAL INCENTIVES TO WITHHOLD APPROPRIATE CARE (RESOLUTION 915, I-02) RECOMMENDATION: Madam Speaker, your Reference Committee recommends that the recommendations contained in Council on Medical Service Report 4 be adopted and the remainder of the report be filed. HOD ACTION: Recommendations contained in Council on Medical Service Report 4 adopted, remainder of report filed. Council on Medical Service Report 4 recommends that the AMA advise state medical associations that language suggested by OMSS and excerpted from Sect. 10 of Ch. 141 of Mass. Acts of 2000 is appropriate for model managed care contracts. In response to Resolution 915 (I-02), which calls for AMA to (1) discourage certain types of risk contracts, (2) identify inherently unfair managed care contract provisions, and (3) fund a study of the impact of financial incentives on outcomes, the report recommends Reference Committee K (I-03) Page 10 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 as an alternative that physicians make use of existing AMA resources that are already responsive, especially the AMA Model Managed Care Contract. Your Reference Committee heard considerable testimony in favor of the report. The Committee noted testimony from one witness calling for the AMA to enforce the provisions of the proposed model managed care contract legislation, but finds such activity may be outside the scope of the AMA’s authority. Your Reference Committee also heard testimony in support of the AMA conducting outcomes studies that may be effective in providing physicians leverage in their negotiations with managed care plans. While affirming the importance of such studies, your Reference Committee believes these are far better left to those independent agencies which already possess the expertise and financial resources to conduct such research. Your Reference Committee concurs with the testimony calling for AMA support of statelevel advocacy in favor of adoption of the model legislation, and finds the first recommendation of the report entirely consistent with this aim. In consideration of the extreme importance of these issues, your Reference Committee strongly recommends adoption of Council on Medical Service Report 4. (14) RESOLUTION 842 – PROVISION FOR CONFLICT RESOLUTION IN JOINT COMMISSION STANDARDS RECOMMENDATION: Madam Speaker, your Reference Committee recommends that Resolution 842 be adopted. HOD ACTION: Resolution 842 adopted. Resolution 842 calls for the AMA to work vigorously to immediately restore and expand the requirement in the Joint Commission on Accreditation of Healthcare Organizations’ Hospital Accreditation Standards that the governing body or authority, and the medical staff, provide for an impartial mechanism for conflict resolution that is satisfactory to both parties. Your Reference Committee heard limited testimony in support of Resolution 842 and therefore recommends that it be adopted. (15) RESOLUTION 843 – AMA SUPPORT FOR PHYSICIAN SURVEYORS CONSISTENT WITH AMA POLICY RECOMMENDATION: Madam Speaker, your Reference Committee recommends that Resolution 843 be adopted. HOD ACTION: Resolution 843 adopted. Reference Committee K (I-03) Page 11 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 Resolution 843 calls for the AMA, as per Directive D-220.984, to require AMA Commissioners on the Joint Commission on Accreditation of Healthcare Organizations (JCAHO) to: 1) commit to require surveyors to include practicing physicians wherever possible; and 2) assure that JCAHO enters into agreements with those state medical association independent subsidiaries that are qualified to participate in the surveys of medical staff related standards in those states which have the will and resources to do so. The resolution also calls on the AMA to instruct its AMA Commissioners that it is their duty to advocate for positions with the JCAHO that are consistent with AMA policy. Your Reference Committee heard limited testimony in support of Resolution 843 and therefore recommends that it be adopted. (16) BOARD OF TRUSTEE REPORT 7 – ANNUAL TOBACCO REPORT 2003 RECOMMENDATION A: Madam Speaker, your Reference Committee recommends that the recommendations contained in Board of Trustees Report 7 be amended by addition of the following recommendation: That the AMA will continue to produce the Annual Tobacco Report. RECOMMENDATION B: Madam Speaker, your Reference Committee recommends that Board of Trustees Report 7 be adopted as amended. HOD ACTION: Recommendations contained in Board of Trustees Report 7 adopted as amended, remainder of report filed. Board of Trustee Report 7 is a compendium of journal articles, news reports, and activities by the health community and the tobacco industry in the ongoing task of dealing with “the nation’s number one public health issue,” according to C. Everett Koop, MD. The information ranges from research and clinically useful material to public health policy and legal issues. Your Reference Committee heard testimony in strong support of Board of Trustees Report 7. One witness indicated that no alternative source provides any similarly comprehensive collection of information. Testimony was so uniformly favorable that the only reason offered for extraction of this report was the desire that it be continued on an annual basis. Your Reference Committee strongly concurs with this sentiment and recommends the report be adopted as amended. Reference Committee K (I-03) Page 12 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 (17) COUNCIL ON MEDICAL EDUCATION REPORT 1 PARITY FOR INTERNATIONAL MEDICAL GRADUATES FOR CLINICAL SKILLS ASSESSMENT (SUBSTITUTE RESOLUTION 821, I-02 AND RESOLUTION 305, A-03) RECOMMENDATION A: Madam Speaker, your Reference Committee recommends that the recommendations contained in Council on Medical Education Report 1 be amended by deletion and insertion on page 3, lines 17-18, to read as follows: 2. That our AMA reaffirm Policy H-275.956, “Demonstration of Clinical Competence.” (Reaffirm HOD Policy) 2. That our AMA amend Policy H-275.956(3), “Demonstration of Clinical Competence,” to read as follows: It is the Policy of the AMA to:…(3) recognize that clinical skills assessment is best performed using a rigorous and consistent examination administered by medical schools and should not be used for licensure of graduates of Liaison Committee on Medical Education (LCME)- and American Osteopathic Association (AOA)accredited medical schools or of Educational Commission for Foreign Medical Graduates (ECFMG)-certified physicians. RECOMMENDATION B: Madam Speaker, your Reference Committee recommends that the recommendations contained in Council on Medical Education Report 1 be adopted as amended and the remainder of the report be filed. HOD ACTION: Recommendations contained in Council on Medical Education Report 1 adopted as amended, remainder of report filed. Council on Medical Education Report 1 recommends reaffirmation of AMA policy H-275.956(3), which states that clinical skills assessment is best performed by medical schools and should not be used for licensure of graduates of medical schools accredited by LCME and AOA. The report examines the merits of changing the policy to include international medical graduates in the exemption from clinical skills assessment as a part of licensure requirements. Your Reference Committee heard extensive opposition from the International Medical Graduate (IMG) Section regarding the recommendation to reaffirm Policy H-275.956. Specifically, there was considerable discussion as to the perceived conflict between Policy H-275.956 and Policy H-255.983. Policy H-255.983 states the following: Reference Committee K (I-03) Page 13 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 The AMA continues to support the policy that all physicians and medical students should be evaluated for purposes of entry into graduate medical education programs, licensure, and hospital medical staff privileges on the basis of their individual qualifications, skills, and character. Your Reference Committee concurs with the Council on Medical Education that no conflict exists. As stated by a member of the IMG Section, the ECFMG has very rigorous standards. The proposed amendment, offered by the Council on Medical Education, provides assurance that all medical graduates (domestic or foreign) are covered by Policy H-275.956. (18) COUNCIL ON MEDICAL EDUCATION REPORT 2 PROPOSED REVISIONS TO AMA POLICY ON THE PHYSICIAN WORKFORCE RECOMMENDATION A: Madam Speaker, your Reference Committee recommends that Council on Medical Education Report 2 be amended by deletion and addition on page 9, lines 1-3, to read as follows: 11. That our AMA, through its Councils, and Sections, Minority Affairs Consortium, and other organizations, develop strategies to implement its workforce policy, through research, advocacy, and other relevant means. (Directive to Take Action) RECOMMENDATION B: Madam Speaker, your Reference Committee recommends that the recommendations contained in Council on Medical Education Report 2 be adopted as amended and the remainder of the report be filed. HOD ACTION: Recommendations contained in Council on Medical Education Report 2 adopted as amended, remainder of report filed. Council on Medical Education Report 2 updates the 21 separate AMA policies related to physician workforce issues, principally by rescinding parts or all of 20 of those policies, amending one other, and replacing the parts of the rescinded policies that are current, consistent, and relevant, with seven new policies that generally include their content and group it by subject matter according to the seven new policies. The report also recommends that the AMA develop strategy to implement AMA workforce policy, and collaboration with state and specialty societies on the development of a “national consensus on physician workforce policy.” Reference Committee K (I-03) Page 14 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 Your Reference Committee heard considerable testimony, nearly unanimous in support of Council on Medical Education Report 2. The few concerns expressed by witnesses included concern that allied health professionals may come to supplant physicians in those areas where the supply of physicians does not meet demand for physician services. While your Reference Committee is also concerned about this issue, it is more closely related to the context of policies dealing with scope of practice issues than it is to those dealing with broader physician workforce issues. Another issue of concern was that strategies for the implementation of AMA workforce policy should be conducted through the auspices of a broader constituency than the AMA’s Councils and Sections alone. Your Reference Committee therefore recommends that CME 2 be adopted as amended. (19) RESOLUTION 807 - US PHYSICIAN SHORTAGE RECOMMENDATION A: Madam Speaker, your Reference Committee recommends that Resolution 807 be amended on lines 23-37 by addition and deletion to read as follows: RESOLVED, That our American Medical Association revoke all previous policy that implies a surplus of physicians in the U.S., and be it further RESOVLED, That our American Medical Association explicitly recognize the existing shortage of physicians in many specialties and areas of in the U.S., and be it further RESOLVED, That our American Medical Association support efforts to quantify the geographic maldistribution and physician shortage in many specialties; and be it further RESOLVED, That our American Medical Association support current programs to increase the number alleviate the shortages in many specialties and the maldistribution of physicians in the U.S., and be it further RESOLVED, That our American Medical Association direct the Council of Medical Advisors to draft a report outlining policy options to address the U.S, physician supply. shortage. RECOMMENDATION B: Madam Speaker, your Reference Committee recommends that Resolution 807 be adopted as amended. HOD ACTION: Resolution 807 adopted as amended. Reference Committee K (I-03) Page 15 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 Resolution 807 calls for the AMA to: 1) direct the Council on Medical Education and the Council on Medical Service to draft a report outlining policy options to address the US physician supply shortage; 2) revoke all previous policy that implies a surplus of physicians in the US; 3) explicitly recognize the existing shortage of physicians in the US; 4) support efforts to quantify the physician shortage; and 5) support federal policy to increase the number of physicians in the US. Your Reference Committee heard lengthy testimony in support of Resolution 807. While your Committee noted concern with respect to the sensitivity of workforce models to their underlying assumptions and the need to account for other related factors in assessing the output of such models. The Committee views the proposed amendments to the Resolves of 807 as due reflection of those concerns and also the importance of restricting the federal role in workforce issues to the continued administration of the current and beneficial public health service Title VII programs such as support of primary care initiatives and workforce data collection. Your Reference Committee therefore recommends adoption of Resolution 807 as amended. (20) RESOLUTION 851 – BLUE CROSS OF CALIFORNIA QUALITY OF CARE ALLEGATIONS RECOMMENDATION A: Madam Speaker, your Reference Committee recommends that the third Resolve of Resolution 851 be amended by deletion to read as follows: RESOLVED, That our AMA support a position stating that all future peer review and quality of care issues between insurance companies and medical staffs be brought to an objective and neutral peer review body with standing of the AMA, state medical societies, specialty societies or other qualified neutral entity. RECOMMENDATION B: Madam Speaker, your Reference Committee recommends that Resolution 851 be adopted as amended. HOD ACTION: Resolution 851 adopted as amended. Resolution 851 calls for the AMA to 1) reiterate that medical staffs shall not be impugned and quality of care issues not be imposed between insurance plans and hospitals as a means of addressing economic or contractual issues; 2) insist that all insurance plan inquiries regarding quality of care and peer review issues be evaluated through objective due process and peer review; and 3) support a position that all future peer review and quality of care issues between insurance companies and medical staffs be brought to an objective and neutral peer review body with standing of the AMA, state medical societies, specialty societies, or other qualified neutral entity. Reference Committee K (I-03) Page 16 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 Your Reference Committee heard very limited testimony, all in support of the resolution. The Committee notes that the AMA does not conduct determinations of standing, and therefore recommends that Resolution 851 be adopted as amended. (21) RESOLUTION 847 - STATE AND LOCAL ADVOCACY ON MEDICAL STUDENT DEBT RECOMMENDATION A: Madam Speaker, your Reference Committee recommends that Resolution 847 be amended by deletion and insertion on page 2, lines 5-6 to read as follows: RESOLVED, That our AMA urge state medical societies to advocate for study the merits of an annual tuition cap (adjusted for inflation) at public and private medical schools within their states. (Directive to Take Action) RECOMMENDATION B: Madam Speaker, your Reference Committee recommends that Resolution 847 be adopted as amended. HOD ACTION: Resolution 847 adopted as amended. Resolution 847 calls for our AMA to: 1) support and encourage our state medical societies to support further expansion of state loan repayment programs, and in particular expansion of those programs to cover physicians in non-primary care specialties; 2) urge state medical societies to actively solicit funds (either directly or through their Foundations) for the establishment and expansion of medical student scholarships, and that our AMA develop a set of guidelines and suggestions to assist states in carrying out such initiatives; 3) oppose the charging of broad and ill-defined student fees by medical schools, such as but not limited to professional fees, encouraging in their place fees that are earmarked for specific and well-defined purposes; 4) encourage medical schools to use their collective purchasing power to obtain discounts for their students on necessary medical equipment, textbooks, and other educational supplies; 5) encourage medical schools to cooperate with undergraduate institutions to establish collaborative debt counseling for entering firstyear medical students; and 6) urge state medical societies to advocate for an annual tuition cap (adjusted for inflation) at public and private medical schools within their states. Testimony on Resolution was largely supportive, although there was opposition to supporting a tuition cap as called for in Resolution 847 and your Reference Committee shares this concern. In particular, the Committee notes that medical school expenses are not necessarily linked to cost-of-living expenses and believes it is unrealistic to expect that a cap on tuition would not impact other budget areas. In addition, the Committee noted that some schools charge tuition that is considerably less than what is charged at other schools. While some students may be helped by a tuition cap, others may be harmed. Due to the complexity of the issue, your Committee recommends study Reference Committee K (I-03) Page 17 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 of the merits of a tuition cap. remainder of Resolution 847. (22) The Committee concurs with testimony favoring the RESOLUTION 809 - REIMBURSEMENT DENIAL BASED SOLELY ON SPECIALTY RECOMMENDATION: Madam Speaker, your Reference Committee recommends that the following Substitute Resolution 809 be adopted: RESOLVED, That our American Medical Association actively support appropriate actions at both the state and federal levels to ban insurers from denying or reducing payment for services performed by physicians (MD and DO) based solely on their specialty (Directive to Take Action); and be it further RESOLVED, That our AMA actively discourage insurance companies from restricting professional fee payment to MDs and Dos based on type of specialty. (Directive to Take Action) HOD ACTION: Substitute Resolution 809 adopted as amended. Resolution 809 calls for our AMA to: 1) actively support appropriate actions at the state level to ban insurers from denying payment to physicians for procedures performed within the purview of their practice based solely on their type of specialty; 2) actively discourage insurance companies from restricting professional fee payment based on their type of specialty; and 3) pursue through appropriate means at the federal level a ban on insurers from denying payment to physicians for procedures performed within the purview of their practice based solely on their type of specialty. Your Reference Committee heard extensive testimony regarding Resolution 809. Testimony indicated a concern with the language in the first and third Resolves. In particular, it was suggested that the wording may inadvertently advocate that allied health professionals should be paid on par with physicians. It was also suggested that the directive should apply to payments that are reduced as well as denied and that the term “procedures” should be replaced with “services.” Your Reference Committee noted that the original third Resolve was largely repetitive of the first Resolve and developed Substitute Resolution 809 to combine their disparate intents (state versus federal advocacy) into a single recommendation and to respond to the concerns raised during testimony. The original second Resolve of Resolution 809, regarding private sector advocacy, was modified only to reflect a minor editorial change. Reference Committee K (I-03) Page 18 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 (23) RESOLUTION 812 - TRANSLATING BIOMEDICAL RESEARCH TO THE BEDSIDE RECOMMENDATION A: Madam Speaker, your Reference Committee recommends that the second Resolve of Resolution 812 be amended by deletion on line 19 to read as follows: RESOLVED, That our AMA advocate for higher funding for and the elimination of unreasonable barriers to bedside care using new research (Directive to Take Action); and be it further RECOMMENDATION B: Madam Speaker, your Reference Committee recommends that Resolution 812 be amended by insertion on line 21 of the following new Resolve: RESOLVED, That our AMA work with specialty societies, the American Association for the Advancement of Science, the Institute of Medicine’s Clinical Research Roundtable, appropriate federal agencies, and other organizations to develop practical measures to expedite the incorporation of scientific advances into medical practice; and be it further RECOMMENDATION C: Madam Speaker, your Reference Committee recommends that the third Resolve of Resolution 812 be amended by insertion on lines 22-24 to read as follows: RESOLVED, that our AMA alert the President and Congress about regarding the major health problems presented by the not adequately addressed due to lack of support for fast-tracking clinical research to bedside applications. (Directive to Take Action) RECOMMENDATION D: Madam Speaker, your Reference Committee recommends that Resolution 812 be adopted as amended. HOD ACTION: Resolution 812 adopted as amended with new resolve to read as follows: . RESOLVED, That a report on actions taken to implement this resolution be provided at A-04. Reference Committee K (I-03) Page 19 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 Resolution 812 calls for the AMA to: 1) give high priority to bringing promising biomedical research to the bedside; 2) advocate for higher funding for and the elimination of unreasonable barriers to bedside care using new research; and 3) alert the President and Congress about the major health problem presented by the lack of support for fasttracking clinical research to bedside applications. Your Reference Committee heard limited testimony all favorable to Resolution 812 and recommends that it be adopted as amended. Your Reference Committee supports the insertion of the new Resolve as suggested during testimony. (24) RESOLUTION 835 - PRINCIPLES FOR INCIDENTBASED PEER REVIEW RECOMMENDATION A: Madam Speaker, your Reference Committee recommends that the first Resolve of Resolution 835 be amended by deletion and insertion on line 24 to read as follows: RESOLVED, That our American Medical Association Board of Trustees study and report back at the 2004 Annual Meeting the feasibility advisability of adopting the Massachusetts Medical Society Model Principles for Incident-Based Physician Peer Review and Disciplining at Health Care Facilities (Directive to Take Action); and be it further RECOMMENDATION B: Madam Speaker, your Reference Committee recommends that Resolution 835 be adopted as amended. HOD ACTION: Resolution 835 adopted as amended. Resolution 835 calls for our AMA to: 1) report back at the 2004 Annual Meeting the feasibility of adopting the Massachusetts Medical Society Model Principles for IncidentBased Physician Peer Review and Disciplining at Health Care Facilities; and 2) send the Model Principles to all state medical societies and all medical staffs in the US and be prominently posted on the AMA’s web site should they be adopted by our AMA.. Testimony was largely supportive of the first Resolve and provided the suggested word change in the Reference Committee’s amendment. There was also concern that the second Resolve is premature given that the requested study has not yet been accomplished. However, the Committee notes that the second Resolve specifically states that the promulgation of the model principles is dependent upon their adoption by the AMA. The Committee, therefore, supports the second Resolve as it appears in Reference Committee K (I-03) Page 20 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 Resolution 41 42 43 44 45 46 47 48 49 Council on Medical Service Report 3 finds that Health Reimbursement Arrangements (HRAs) are effectively consistent with MSAs in several, but not all, important respects and recommends AMA support of HRAs as an additional mechanism for consumerdirected health care finance. The report also recommends several improvements to HRAs including employee ownership of accounts and mandatory rollover (or return to employee upon termination of employment) of any unspent balance. (25) 835 in addition to the amendment to the first Resolve. COUNCIL ON MEDICAL SERVICE REPORT 3 - HEALTH REIMBURSEMENT ARRANGEMENTS RECOMMENDATION A: Madam Speaker, your Reference Committee recommends that Council on Medical Service Report 3 be amended on page 4, line 32 by deletion and addition to read as follows: That it is the policy of the AMA that: (a) Health Reimbursement Arrangements (HRAs) be made into real (rather than notional) accounts belonging to with ownership by the individual employee; (b) employers be required to rollover all unspent HRA balances annually; and (c) employers be required to make unspent HRA balances available to employees upon their retirement or departure from the company. (New HOD Policy) RECOMMENDATION B: Madam Speaker, your Reference Committee recommends that Council on Medical Service Report 3 be amended by addition on page 4 of a new Recommendation 4 to read as follows: 4. That our AMA report to the House implementation of Health Savings Accounts. on the RECOMMENDATION C: Madam Speaker, your Reference Committee recommends that the recommendations contained in Council on Medical Service Report 3 be adopted as amended and the remainder of the report be filed. HOD ACTION: Recommendations contained in Council on Medical Service Report 3 adopted as amended, remainder of report filed. Testimony on Council on Medical Service Report 3 was highly supportive. There was a suggestion that the report be amended to support policy that calls for HRAs to be Reference Committee K (I-03) Page 21 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 funded by employers, employees or both, but the Committee notes this flexibility appears to have been accomplished with the creation of Health Savings Accounts (HSAs). The Council on Medical Service testified that a future report on the newly created HSAs would be warranted as they are defined and implemented. The Committee supported an editorial suggestion as well as the recommendation to present a future report on HSAs and commends the Council for this report. 38 39 40 41 42 43 44 The AMA will work for and encourage other interested groups to support efforts to pass increased excise taxes on tobacco products, with the proceeds used to support educational and counter-advertising efforts. (26) RESOLUTION 803 - STATE TOBACCO TAX INCREASES AND RESPONSIBLE USE OF RESULTING FUNDS RECOMMENDATION: Madam Speaker, your Reference Committee recommends that Policy H-490.948 be reaffirmed in lieu of Resolution 803. HOD ACTION: Resolution 803 referred. Resolution 803 calls for the AMA to support increases in the taxation of tobacco products with revenue from any such tax increases appropriated exclusively for the following uses: 1) educational, counter-advertising, and cessation programs designed to decrease the prevalence or the adverse effects of tobacco use, and 2) health related costs associated with tobacco use. Your Reference Committee heard testimony that was mixed and generally favorable to the resolution. Witnesses expressed concerns including fear that the political unfeasibility of raising excise taxes on tobacco when those tax increases are contingent on the explicit allocations of the resulting incremental tax revenues to anti-tobacco programs. Doing so will reduce the political prospects of raising tobacco product taxes. Your Reference Committee also heard testimony expressing the opposite concern that revenues from increases in tobacco taxes would not be directed to anti-tobacco programs. Your Reference Committee finds that the language of the Resolve is clear on the point, which links any and all revenue from such tax increases to their expenditure on anti-tobacco programs. However, your Reference Committee also finds that Resolution 803 is fully consistent with policy H-490.948, which reads as follows: Your Reference Committee, therefore, concurs with the recommendation of the Convention Committee on Rules and Credentials that H-490.948 be reaffirmed in lieu of Resolution 803. Reference Committee K (I-03) Page 22 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 (27) RESOLUTION 806 - PHYSICIAN CREDENTIALS AND THE TORT SYSTEM 42 43 44 45 46 47 48 49 Resolution 834 calls for our AMA to support legislation to create a negotiated price reduction program with pharmaceutical companies that lowers prescription drug prices in order to make drugs affordable. RECOMMENDATION: Madam Speaker, your Reference Committee recommends that Policy H-435.963 be reaffirmed in lieu of Resolution 806. HOD ACTION: Policy H-435.963 reaffirmed in lieu of Resolution 806. Resolution 806 calls for our AMA to urge all medical staffs, hospitals, health plans, health insurers and all other organizations that credential physicians to modify clauses in their credentials applications to place a time limit of not greater than three years on the reporting by physicians of unsuccessful claims of professional negligence against them. Testimony on Resolution 806, which was extracted from the Reaffirmation Consent Calendar, was limited. Your Reference Committee heard concern with regard to the term “unsuccessful claims” and notes that Policy H-435.963 addresses the issue raised in Resolution 806. Policy H-435.963 reads as follows: The AMA opposes the need for reporting on medical staff and other nonlicensing board applications, including insurance company credentialing applications, (excepting professional liability insurance applications) any threatened, pending, or closed professional liability claims where the claim did not result in payment on behalf of that physician. The Committee concurs with the Convention Committee on Rules and Credentials that Policy H-435.963 should be reaffirmed in lieu of the resolution. (28) RESOLUTION 834 - CUTTING PRESCRIPTION DRUG PRICES RECOMMENDATION: Madam Speaker, your Reference Committee recommends that Resolution 834 be referred to the Board of Trustees. HOD ACTION: Resolution 834 referred to the Board of Trustees. Testimony regarding Resolution 834 was largely unsupportive and there were several suggestions for referral. Opposition noted that the resolution runs contrary to the AMA’s support for market-based solutions. It was also suggested that the resolution should address the issue of pharmaceutical research. Your Reference Committee notes that Reference Committee K (I-03) Page 23 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 prescription drug prices remain a critical issue, but nevertheless concurs that further study is warranted. (29) RESOLUTION 838 - PRESERVATION OF THE NATIONAL RESIDENT MATCHING PROGRAM (NRMP) RECOMMENDATION: Madam Speaker, your Reference Committee recommends that Resolution 838 be referred to the Board of Trustees for decision. HOD ACTION: Resolution 838 referred to the Board of Trustees for decision. Resolution 838 calls for our AMA to: 1) recognize that the National Resident Matching Program (NRMP) is important to the conduct of residency training programs and should take as a highest priority the preservation and protection of the NRMP; 2) support the NRMP; and 3) work with the Association of American Medical Colleges, and state and specialty societies to encourage Congress to enact legislation that protects the match to eliminate costly and protracted litigation and the risk of a verdict that would destroy the integrity of the fair and effective match program and the graduate medical education system. The limited testimony on Resolution 838 fully supported its intent, although the concern was raised that its adoption may complicate the AMA’s defense in the litigation regarding the NRMP. For this reason, your Reference Committee concurs with the suggestion that Resolution 838 should be referred for decision. (30) RESOLUTION 829 - GUIDELINES TO AVOID INAPPROPRIATE INSURER KICKBACKS RECOMMENDATION: Madam Speaker, your Reference Committee recommends that Resolution 829 not be adopted. HOD ACTION: Resolution 829 not adopted. Resolution 829 calls for our AMA to develop: 1) guidelines as to the timeliness and permissible interval, if any, between payment by and request for repayment to insurers; and 2) guidance to define when, if ever, it is appropriate to enter into arrangements with insurers for repayment to the insurers of payments made to practitioners Your Reference Committee heard no testimony on Resolution 829. Absent information as to whether in fact such kickbacks occur, the Committee recommends the resolution not be adopted. Reference Committee K (I-03) Page 24 1 2 3 4 Madam Speaker, this concludes the report of Reference Committee K. I would like to thank Richard F. Ambur, MD, David W. Avery, MD, Kenneth W. Crabb, MD, Dennis Galinsky, MD, Jennifer M. La Plante, Donald J. Swikert, MD, and all those who testified before the Committee. Richard F. Ambur, MD Washington Dennis Galinsky, MD American College of Radiation Oncology David W. Avery, MD American Academy of Family Physicians Jennifer M. La Plante (Alternate) Florida Kenneth W. Crabb, MD Minnesota Donald J. Swikert, MD Kentucky Ruth M. Covell, MD Medical School Section Chair