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A legislative package could be voted on in the House as soon as tonight that would stop upcoming Medicare cuts to hospitals, physicians and other providers that are scheduled to kick in early next year.

The health provisions would extend by three months the moratorium on the 2% Medicare sequester cuts scheduled to resume Jan. 1, 2022. In addition, the Medicare sequester cuts would be reduced from 2% to 1% from April 1, 2022 through June 30, 2022. The package also would stop the 4% Statutory Pay-As-You-Go (PAYGO) sequester from taking effect early next year. Without congressional action, hospitals would see $9.4 billion in Medicare cuts in 2022.  

Other provisions included in the package would mitigate a separate Medicare payment cut to physicians; delay payment cuts and private payer data reporting requirements for certain hospital laboratories; delay the implementation of the radiation oncology model; and set up a fast-track process in the Senate to increase the debt limit.  

In a statement shared with the media today, AHA President and CEO Rick Pollack said, “The AHA is pleased that the House has recognized that now is not the time to make cuts to hospitals and physicians under the Medicare program. By eliminating a 2% Medicare reduction until April 2022 and stopping the 4% Statutory Pay-As-You-Go (PAYGO) Medicare cuts from taking effect in early 2022, providers on the front lines of the fight against COVID-19 will not face additional imminent financial jeopardy as they continue to care for patients and communities. The bill also reduces the 2% Medicare sequester to 1% from April through June. We will continue to work with Congress to ensure that providers and the patients they care for are not under continued duress as a result of the COVID-19 pandemic when that cut is scheduled to take effect. We also appreciate the lowering of reductions to payments to physicians, delay of the harmful cuts to clinical laboratories, and a delay in the implementation of the Radiation Oncology model that are included in the bill. 

“We urge bipartisan support in the House and Senate to pass this important piece of legislation. Doing so will remove the uncertainty these cuts are creating and stop this potential threat to the patients and communities we serve each day.”