New APTA-supported bill to increase payment to the 2025 Medicare Fee Schedule introduced in Congress
On Tuesday, October 29th APTA-supported legislation to increase payment under the 2025 Medicare Fee Schedule was introduced in the U.S. House of Representatives. In anticipation of the imminent release of the 2025 fee schedule final rule, the new bipartisan bill would change the 2025 fee schedule's planned 2.8% cut to a 1.9% increase.
The Medicare Patient Access and Practice Stabilization Act of 2024, introduced Oct. 29 in the U.S. House of Representative and strongly supported by APTA, would increase the conversion factor for the 2025 Medicare Physician Fee Schedule by 4.73%. This increase would wipe out the impending 2.8% cut to the fee schedule's conversion factor and provide a 1.9% inflationary payment increase for 2025 (approximately 50% of the 2025 Medicare Economic Index or MEI which is a measure of practice cost inflation). Without congressional action, the 2.8% conversion factor cut will impact dozens of providers paid under the Medicare fee schedule, including physical therapists. The conversion factor is a scaling factor that converts the relative value units for each service into a dollar payment amount for the various CPT codes paid under the fee schedule. It applies to all Medicare Part B providers.
The bipartisan legislation is sponsored by Rep. Greg Murphy, R-NC; along with Reps. Jimmy Panetta, D-Calif.; Mariannette Miller-Meeks, R-Iowa; Ami Bera, D-Calif.; Larry Buchson, R-Ind.; Raul Ruiz, D-Calif.; John Joyce, R-Pa.; and Kim Schrier, D-Wa. Along with APTA, a wide coalition of provider groups has endorsed the legislation, including the American Medical Association, the American Academy of Family Physicians, and the American College of Surgeons. APTA and a coalition of other provider groups are targeting this legislation to be included in the year-end spending deal that Congress must pass by Dec. 20 or face yet another government shutdown. With the release of the 2025 fee schedule final rule imminent, APTA is watching the situation and will provide updates as soon as information is available.
The legislation is the latest in a series of APTA-supported bills that are aimed at reforming the Medicare Physician Fee Schedule, with the goal of increasing payment for PTs and PTAs. Learn more about APTA's Medicare payment advocacy efforts on Capitol Hill.