As we head toward the Friday, March 1, federal budget sequester deadline, it is likely that an agreement will not be reached to avoid $85 billion in cuts. This means you will see a 2 percent reduction in Medicare payments beginning April 1.
However, the AMA reported that details of the Medicare sequester have not been made public. For example, it is not known if the 2 percent pay cut will be applied to allow charges under the Medicare physician fee schedule or only to the physician’s Medicare claims payment. Also unknown is whether or not the cuts will be applied to claims with a date of service on or after April 1, or to all claims payments made at that time.
Additionally, Congress must consider a new spending bill by March 27 in order to keep the federal government open. Provisions affecting the implementation of the sequester could possibly be included in the bill.
You are encouraged to contact your Congressional representatives and explain to them the impact that a 2 percent Medicare payment will have on your patients. Find contact information here. To send an email, click on the name and you will be redirected to individual websites with email links.