Physician Payment Advocacy Center

Medicare physician reimbursement is on a dire trajectory and annual cuts to physician payment coupled with a lack of an inflationary update continue to undermine the ability of medical group practices to keep their doors open and function effectively. For 2025, CMS is proposing a further 2.8% reduction to the conversion factor — if this cut goes into effect, medical groups will be forced to make drastic decisions that will negatively impact Medicare beneficiary access to care. The current situation is untenable and cannot continue.

Comprehensive reform is needed to address the multi-faceted issues undermining Medicare reimbursement; this marks an important opportunity to make long-overdue changes to stabilize the Medicare payment system. There are two bills that have been introduced in Congress that would strengthen Medicare payment and sustainably support medical groups if enacted: the Strengthening Medicare for Patients and Providers Act which would implement an annual inflation-based physician payment update tied to the Medicare Economic Index, and the Provider Reimbursement Stability Act which would modernize Medicare’s antiquated budget neutrality policies.

The time for collective action is NOW! We need all MGMA members to mobilize and join in efforts advocating for comprehensive and sustainable physician payment reform. 

Below are a few resources to assist with your advocacy. If you have any questions, please don't hesitate to email govaff@mgma.org.

• Federation letter on MACRA reform (July 24, 2024)
• MGMA's statement on the 2025 proposed Medicare Physician Fee Schedule
• MGMA's 2025 Proposed Physician Fee Schedule Analysis
• MGMA's 2024 Medicare Physician Payment position paper

Current legislation in the 118th Congress:

• Strengthening Medicare for Patients and Providers Act
• Provider Reimbursement Stability Act

Recent MGMA action on Medicare payment reform:

• MGMA testimony on bolstering chronic care through physician payment(June 14, 2024)
• MGMA testimony on protecting viability of independent practices (May 23, 2024)
• MGMA testimony on increasing access to rural healthcare (May 16, 2024)
• MGMA recommendations to Congress on improving Medicare payment (April 10, 2024)