MedPAC Issues Payment Recommendations

In March, the Medicare Payment Advisory Commission (MedPAC) released its annual report to Congress on Medicare payment, in which it reissued a recommendation that Congress should provide physicians next year with an inflationary update that reflects half of the Medicare Economic Index. Under current law, the inflationary update is otherwise set at zero for 2025, and a cut to the conversation factor is anticipated when the positive payment adjustment provided by Congress expires at the end of 2024. MedPAC is expected to include a chapter in its June report to Congress on possible approaches to updating the Medicare physician fee schedule in the future.