AMGA Members Call on Congress to Protect Patient Care by Blocking 10% Medicare Cuts
In a letter to Congressional leadership, AMGA urged Congress to once again stop the 10.4% Medicare cuts to provider reimbursement scheduled for 2023. AMGA members are deeply concerned that these cuts could affect their operations and ability to maintain patient access standards.
Alexandria, VA – In a letter to Congressional leadership, AMGA urged Congress to once again stop the 10.4% Medicare cuts to provider reimbursement scheduled for 2023. AMGA members are deeply concerned that these cuts could affect their operations and ability to maintain patient access standards. In a recent survey of AMGA member medical groups and health systems, over 65% indicated they would be forced to eliminate services if Congress does not take action to block the 10.4% Medicare cuts.
Starting on January 1, 2023, providers are facing more than 10% Medicare cuts. Much like those Congress halted in 2022, the cuts consist of the 2% sequester cuts that were reinstated in July, 4% Medicare Pay-As-You-Go (PAYGO) cuts, and a more than 4.4% effective decrease in the Medicare conversion factor.
"The healthcare system is already facing tremendous challenges, and these cuts will compound the strain," stated AMGA President and CEO Jerry Penso, M.D., M.B.A. "Based on a survey of AMGA members, it is clear that left unaddressed, these cuts will keep providers from investing in the people, tools and systems that help keep patients healthy and enable patient access. Financial stability through the Medicare program is critical to overcoming today’s challenges to achieve better health for all.”
AMGA survey respondents indicated that they would be forced enact cost–saving measures , including hiring freezes, eliminating services, and delaying investments in initiatives designed to address social determinates of health, among others. The reduction in services will hurt an already overwhelmed workforce and their ability to provide the best possible patient care. An AMGA infographic sums up the situation.
Scott Hines, M.D., chair of AMGA's Public Policy Committee and chief quality officer and medical director at Crystal Run Healthcare, said, "The cuts couldn't come at a worse time. Given the significant increase in the cost of doing business due to inflation and labor shortages, Congress should recognize the provider community's situation and act to reverse Medicare cuts."
AMGA calls on Congress to clear the PAYGO "scorecard" to ensure no further PAYGO cuts occur, suspend Medicare sequestration cuts in 2022 and 2023, and increase the Medicare conversion factor.
For more information on AMGA’s efforts to stop the Medicare reimbursement cuts, visit amga.org/stopthecuts.
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About AMGA
AMGA is a trade association leading the transformation of health care in America. Representing multispecialty medical groups and integrated systems of care, we advocate, educate, innovate and empower our members to deliver the next level of high performance health. AMGA is the national voice promoting awareness of medical groups’ recognized excellence in the delivery of coordinated, high-quality, cost-effective care. More than 175,000 physicians practice in our member organizations, delivering care to one in three Americans. Learn more at amga.org.