Congress Fails to Prevent Full 4.5% Medicare Payment Cut

The ACS was exceptionally disappointed to see that Congress neglected to act by fully stopping the impending Medicare payment cuts, set to go into effect on January 1, 2023.  Appropriators from both parties released language for the omnibus spending bill for fiscal year 2023 early Tuesday morning, which reveals a 2.5% adjustment for the conversion factor in 2023—meaning a 2% cut will go into effect if there are no additional changes.

In addition, Congress set a low conversation factor adjustment for 2024, at only 1.25%, likely ensuring additional cuts in the future. Congress postponed the 4% PAYGO cuts until 2025.

The Surgical Care Coalition, a group of 14 professional organizations dedicated to improving surgical care and of which the ACS is a member, issued the following statement in response to Congress releasing the year-end spending legislation.

“Despite overwhelming bipartisan, bicameral support to stop the full Medicare physician payment cut, Congress failed once again to end the cycle of harmful Medicare cuts, showing a disregard for vulnerable seniors. To make matters worse, Congress is also affirming substantial payment cuts in 2024. The omnibus legislation demonstrates a lack of commitment to our nation’s seniors and continues to put off a long-term solution. We urge Congress to change course, reflect the will of the nearly 270 Senators and Representatives who have urged leadership to take action to protect patient care and change the legislation before voting on it this week.”

The omnibus legislation is unacceptable and ignores the support of 220 Representatives and nearly 50 Senators who want to see patients protected by fully stopping these cuts.

Members of the Surgical Coalition sent a letter to House and Senate Leadership today noting extreme concerns with the cut. Procedural votes in the Senate may begin as soon as today. The ACS will continue to follow any developments on the spending bill and will provide additional information in our other communications as it becomes available.