Table 1

Comparison of the IPAB and MedPAC

Located inIPABMedPAC
Executive branchLegislative branch
Established underPatient Protection and Affordable Care Act (ACA, P.L. 111-148, § 3403).Balanced Budget Act of 1997 (P.L. 105-33, §4022) by merging Prospective Payment Assessment Commission (ProPAC) and the Physician Payment Review Commission (PPRC)
Principal statutory mandateMake recommendations to be implemented by the Secretary of Health and Human Services to reduce the per capita rate of growth in Medicare spending; develop recommendations to slow the growth in national health expenditures while preserving or enhancing quality of careAdvise Congress on payments to private health plans participating in Medicare and providers in Medicare's traditional fee-for-service program; analyze access to care, quality of care and other issues affecting Medicare
AuthorityBoard delegated significant policy making authority by CongressAdvisory
Size15 appointed and 3 ex-officio members15 appointed members
Term6-year term, staggered3-year term, staggered
Appointed byPresident in consultation with the majority leader of the Senate, the Speaker of the House of Representatives, the minority leader of the Senate and the minority leader of the House of RepresentativesComptroller General
Conditions of employmentFull-time, subject to ethical disclosures, compensation is level II (Chairperson) and level III (members) of the Executive Schedule, members may not engage in other business, vocation or employmentPart-time, subject to ethical disclosures, compensation is level IV of the Executive Schedule (with physician commissioners receiving a comparability allowance)
StaffExecutive director and a staff to be determinedExecutive director and a full-time staff of 40
Powers and work productPower to hold hearings and obtain official dataAnnual proposals, as required, annual and biennial reportsPower to obtain official dataPublic meetings and two annual reports
Budget$15 million in FY2012 updated by the rate of inflation annually$13 million in FY2011
  • Source: Newman and Davis.4

  • FY, fiscal year; IPAB, Independent Payment Advisory Board; MedPAC, Medicare Payment Advisory Commission.