On November 01, 2022, the Centers for Medicare & Medicaid Services (CMS) issued the Calendar Year (CY) 2023 Medicare Physician Fee Schedule (MPFS) final rule. This rule impacts payments for physicians and other health care practitioners and includes changes to the Merit-based Incentive Payment System and alternative payment model (APM) participation options and requirements for 2023.
Although the 2023 MPFS contains a number of helpful policies such as extending payment for telehealth services to all communities in the country and in any originating site setting through the duration of the public health emergency and for 151 days thereafter, there are several policies that are problematic. Most notably, CMS’s decision to finalize the CY 2023 Medicare conversion factor (CF) at $33.06, a decrease of $1.55 or 4.5% from the 2022 CF of $34.61.The decrease is largely a result of an expiring 3 percent increase funded by Congress through 2022. The additional approximate 1.6 percent decrease is the result of budget neutrality requirements that stem from revised E/M changes.
The Michigan State Medical Society joins the AMA and other Federation members in strongly advocating that Congress avert this 3% payment cut which, without Congressional action is scheduled to start January 1, 2023. MSMS and others are also advocating for Congress to implement an inflationary update for physicians, extend the 5 percent APM incentive and prevent the steep increase to the participation requirements for APMs, and waive the 4 percent PAYGO sequester. You can help in this effort by sending a letter to your congressional members urging them to act swiftly to avert these significant payment cuts.
Other key highlights include:
Please see the following documents for more information: