The American Medical Group Association sent a letter calling on Congress to block the 10.4 percent Medicare cuts to provider reimbursement scheduled for 2023, according to a Sept. 8 news release shared with Becker's.
American Medical Group Association members are concerned that these cuts could affect their operations and ability to maintain patient access standards, according to the release. In an Aug. 29 survey of member medical groups and health systems, 65 percent indicated that they would be forced to eliminate services if Congress does not take action to block the cuts to Medicare.
Congress previously halted the cuts in 2022 which consist of the 2 percent sequester cuts that were reinstated in July, 4 percent Medicare Pay-As-You-Go cuts, and more than 4.4 percent effective decrease in Medicare conversion factor.
American Medical Group Association President and CEO Jerry Penso, MD, said the healthcare system is already facing tremendous challenges and these cuts would compound the strain.
"Based on a survey of AMGA members, it is clear that left unaddressed, these cuts will keep providers from investing in the people, tools and systems that help keep patients healthy and enable patient access. Financial stability through the Medicare program is critical to overcoming today’s challenges to achieve better health for all," Dr. Penso said.
American Medical Group Association members indicated on the Aug. 29 survey that they would be forced to enact cost-saving measures, including hiring freezes, eliminating services, and delaying investments in initiatives designed to address social determinants of health, in addition to other measures.