Most Doc Groups Unhappy With Proposed Congressional Budget Deal

— Measure would restore some, but not all, of the cuts to the Medicare Physician Fee Schedule

by Joyce Frieden, Washington Editor, �鶹��ý March 4, 2024

A over the weekend would increase Medicare physician pay by 1.68%, but doctors' groups expressed concern that it wouldn't completely make up for the they're currently dealing with.

"When coupled with medical inflation and ongoing sequestration cuts, physicians are now experiencing a staggering 10% Medicare payment cut in 2024," Katie Orrico, JD, senior vice president for health policy and advocacy at the American Association of Neurological Surgeons, said in an email. "While we appreciate the additional resources Congress is providing, it is a drop in the ocean of need."

"This discrepancy highlights the unique and untenable position of physicians, who are the only Medicare providers without an inflationary-based payment update, emphasizing the critical necessity for long-term payment reform that genuinely reflects the economic realities faced by physicians who are the foundation of patient care in our health care system," she added.

The deal, , would be in effect until the end of the year. It also includes the return of a 1.88% bonus for doctors who participate in alternative payment models such as accountable care organizations (ACOs), as well as a $270 million funding increase for community health centers.

The Medical Group Management Association (MGMA) also panned the proposal. "We are deeply disappointed with Congress' half-hearted attempt to remedy the devastating blow physician practices were dealt by the 2024 Physician Fee Schedule," Anders Gilberg, MGA, senior vice president for government affairs at the MGMA, said in an email (Disclosure: Gilberg is a member of the �鶹��ý editorial board). "Anything less than a full 3.4% reversal of the cut is appallingly inadequate."

The American Academy of Family Physicians (AAFP) expressed similar sentiments. "The AAFP has repeatedly told Congress that the 3.4% Medicare payment reduction that went into effect on January 1 is untenable for family physicians and threatens patients' access to primary care," the group said in a statement. "While we appreciate the partial relief, family physicians continue to face an annual threat of payment cuts that are detrimental to practices and patients. Congress and the Centers for Medicare & Medicaid Services must continue working toward more meaningful, long-term Medicare payment reform that will protect access to comprehensive primary care for America's seniors."

One group that did seem happy with the results was the National Association of ACOs (NAACOS). "NAACOS thanks Congress for including an extension of the advanced alternative payment model (APM) incentive at 1.88% in the Consolidated Appropriations Act of 2024," NAACOS president and CEO Clif Gaus, ScD, said in a statement. "This incentive is critical to supporting clinicians who are accountable for improving quality and lowering costs for patients. We also appreciate that Congress included a 1.68% increase in physician payment. These two provisions recognize that we need to ensure that clinicians are paid adequately and have strong incentives to participate in value-based care."

The deal still needs to be passed by the House and Senate, ideally before March 8, when the affected agencies run out of funding under the latest short-term agreement.

Joyce Frieden oversees �鶹��ý’s Washington coverage, including stories about Congress, the White House, the Supreme Court, healthcare trade associations, and federal agencies. She has 35 years of experience covering health policy.