The American Medical Association (AMA) is 'deeply concerned' by MedPAC's recent report recommendation and says it would 'imperil' patient access and quality care.
Following the release of MedPAC's March report to Congress, the AMA urged Congress to revise the Medicare Physician Fee Schedule (MPFS) to include stable, annual payment updates that keep up with inflation and practice costs.
In a letter to congressional leaders, the AMA stated that it is "deeply concerned" by MedPAC's recommendation to continue the freeze in Medicare physician payments in 2023 despite rising inflation in medical practices, statutory payment cuts to physicians, and fiscal uncertainties related to the COVID-19 pandemic.
Overall payment to Medicare physicians has decreased 20% from 2001–2021, when rates are adjusted for inflation, according to data from the advisory committee.
The AMA says this will influence provider organizations' patient experience, as the costs to practice medicine would "imperil patient access to high-quality care."
The medical association also cited a 2021 JAMA study, which says it costs an organization an estimated $12,811 and more than 200 hours per physician per year to comply with CMS' Medicare Merit-Based Incentive Payment system. "Most physicians still have not had opportunities to transition to value-based Medicare Advanced Alternative Payment Models (AAPM), as Congress intended, and have not been eligible for the annual incentive payments for AAPM participants," the AMA said.
The AMA also claims that the payment freeze is impossible to justify when viewed against a projected 8% payment increase for Medicare Advantage plans in 2023.
Related: CMS Cuts Medicare Payments to Docs, Extends Telehealth Payments
Amanda Norris is the Director of Content for HealthLeaders.