The Centers for Medicare and Medicaid Services (CMS) has released the 2025 Medicare Physician Fee Schedule (PFS) Final Rule confirming a 2.83 percent cut to the Medicare physician fee schedule conversion factor next year unless Congress intervenes with passage of critical legislation.

The cut is largely due to the expiration at the end of 2024 of a 2.93 percent positive payment adjustment provided by Congress. This cut coincides with growth in practice costs, as CMS projects the increase in the Medicare Economic Index (MEI) for 2025 will be 3.5 percent. At the same time, the inflationary update for physician payment is statutorily set at zero through 2025. 

Recently, Reps. Greg Murphy, MD (R-NC) and Jimmy Panetta (D-CA) introduced the "Medicare Patient Access and Practice Stabilization Act" (H.R. 10073). This bipartisan legislation seeks to eliminate the looming cut and provide a positive payment update in 2025, equal to one half the MEI, helping to stabilize physician practices and protecting patients' access to care. ASGE has endorsed this legislation because it will provide temporary relief to physicians from the impending pay cut while work continues on reforming the Medicare physician payment system. 

Time is running out – there are few legislative days left before the end of the year with Congress expected to conduct a "lame duck" session after the elections. This will be the last opportunity for Congress to pass H.R. 10073 as part of any final year-end package.

Take action now.