In a significant show of bipartisan momentum, 41 U.S. senators — including California Senators Laphonza R. Butler (D) and Alex Padilla (D) — are calling on Senate leadership to prioritize legislative action to prevent a 2.8% Medicare physician payment cut set to take effect on January 1, 2025. Their letter urges a comprehensive, long-term fix to the Medicare physician payment system, which has faced repeated calls for reform.
“Persistent instability in the health care sector — due in part to consistent payment cuts — impacts the ability of physicians and clinicians to provide the highest quality of care,” the senators stated. “These continued payment cuts undermine the ability of independent clinical practices — especially in rural and underserved areas — to care for their communities.”
The Senate push follows similar action in the House, where 233 bipartisan representatives signed a “Dear Colleague” letter urging Congress to stabilize Medicare physician payments and protect access to care.
Physician groups, including the American Medical Association (AMA), California Medical Association (CMA), and 126 other medical organizations, have also intensified their advocacy. They recently sent a letter to Congress demanding action before the end of the legislative session to prevent the cuts and provide a payment update reflecting inflationary pressures on medical practices.
The broader medical community is rallying behind the bipartisan Medicare Patient Access and Practice Stabilization Act of 2024 (HR 10073). This proposed legislation aims to halt the payment cut, increase physician payment by one-half of the Medicare Economic Index (MEI), and deliver a 12-month payment update of 4.73%.
With January 1 approaching, physicians and healthcare advocates are urging lawmakers to act swiftly to protect the financial stability of medical practices, particularly those serving rural and underserved communities.