U.S. Senator Cindy Hyde-Smith (R-Miss.) has joined a bipartisan initiative to update and reform the Medicare physician fee schedule to ensure seniors’ access to health care services, particularly in rural states like Mississippi. The proposed legislation, known as the Physician Fee Stabilization Act (S.4935), seeks to address declining Medicare physician reimbursements by increasing a 32-year-old budget neutrality threshold to align with inflation.
“Improving rural healthcare has been a priority for me since I was elected. Unfortunately, that job is made harder because some doctors are becoming reluctant to accept Medicare patients because the federal reimbursement rates aren’t keeping up with inflation and are often subject to cuts,” Hyde-Smith stated. “The Physician Fee Stabilization Act is a practical way to stabilize fee structures and finally update a Medicare formula that hasn’t been changed since 1992.”
The bill aims to provide greater flexibility in determining pricing adjustments for Medicare services without causing harmful annual payment cuts to physicians who serve Medicare patients. It also includes provisions for increasing the budget neutrality threshold every five years, ensuring future physician compensation payments keep pace with the Medicare Economic Index.
“Medicare patients must have access to quality health services. Ensuring physicians are fairly compensated for their work will help deliver stability to providers so they continue to meet the needs of their communities. I’m proud to lead this bipartisan solution that enhances Medicare’s sustainability,” said U.S. Senator John Boozman (R-Ark.), who introduced the bill.
The Physician Fee Stabilization Act has garnered support from various health organizations including the Mississippi State Medical Association, National Rural Health Association, American Medical Association, American College of Physicians, and American Academy of Family Physicians.
Other cosponsors of the bill include Senators Peter Welch (D-Vt.), Thom Tillis (R-N.C.), Angus King (I-Maine), Roger Marshall, M.D. (R-Kan.), Jeanne Shaheen (D-N.H.), Raphael Warnock (D-Ga.), and Jacky Rosen (D-Nev.).
Senator Hyde-Smith serves on the Senate Labor, Health and Human Services, and Education Appropriations Subcommittee and has focused on advancing health issues during her tenure in the Senate.
