Psychologists Applaud Win for Medicare Patients Served by Psychology

APA Practice Directorate

The APA applauded the Department of Health and Human Services’ recent release of a proposed rule to permit Medicare graduate medical education (GME) funding for qualified psychology internship training programs. "This is a victory for Medicare patients who need the diagnostic and treatment services that psychology interns provide during their training in hospitals, services that are in jeopardy due to hospitals’ increasing fiscal responsibility," said Russ Newman, PhD, JD, Executive Director for Professional Practice at APA. "GME program funding for psychology interns will not only ensure that these services continue, but also will encourage participation in the Medicare program, first as interns and, upon graduation and licensure, as health care professionals who deliver key primary and mental health care to Medicare patients."

GME was developed mainly out of report language in 1965 when Medicare was first enacted. Over time, it evolved into providing money for the training of health care professionals who treat Medicare patients in medical facilities. Psychologists are among the few health care professionals who have not been covered by GME funding because a portion of their training is university-based. Congress sought to remedy this oversight during consideration of the Balanced Budget Act of 1997. It urged the Health Care Financing Administration to cover the hospital-based portion of psychology interns’ training under GME funding in the same way it funds other health care professionals’ hospital-based training. This rule will fulfill Congress’ request by providing funding for hospital-based psychology internship training.

"Hospitals have shouldered the costs of psychology internship training without GME funding, but have been less able to do so in recent years," said Cynthia Belar, PhD, Executive Director for Education at APA. "This funding is important to enable training to continue and ensure psychological services are available to Medicare beneficiaries." The rule, when final, will help preserve the many hospital psychology internship training programs that currently provide a wide range of unique therapeutic, primary care, and diagnostic services directly to Medicare patients.

"We thank the Administration for working toward release of this rule, and the many Senators and Representatives who worked in a bipartisan effort to preserve psychology training programs in Medicare," said Newman. "We look forward to finalizing a rule that will help psychologists better serve Medicare patients."

For further information, a fact sheet on graduate medical education is available at: www.apa.org/practice/gme99.html 

You may view the proposed rule beginning on its January 12th publication date at: www.access.gpo.gov/su_docs/aces/aces140.html

1. Go to web address.
2. Scroll down to table of contents for 2001.
3. Retrieve table of contents for January 12, 2001.
4. Look under Health Care Financing Administration—Proposed Rule Medicare: Clinical Psychology Training Programs 01-910 for proposed GME rule.

This article first appeared in the Winter 2001 Edition of the APAGS Newsletter, Vol. 13(1)