Medical Billing Blog

The Medicare Payment Advisory Commission (MedPAC) is a nonpartisan legislative branch agency that provides the U.S. Congress with analysis and policy advice on all aspects of the Medicare program (cost, reimbursement, access, quality, etc.).  MedPAC issues two annual reports to Congress, one in March and another in June. These reports contain the policy recommendations of the Commission. 

And speaking of MedPAC, each year the Commission releases a June report advising Congress on issues affecting the Medicare program including broader changes in health care delivery and the market for health care services. The latest June report focuses on making the Medicare program more consistent by reforming Medicare payment models, risk adjustment payments, primary care service payments, and select condition payments.

The Medicare Payment Advisory Commission (MedPAC) is required by law to annually review Medicare payment policies and make recommendations to Congress. Consistent with previous Reports, MedPAC’s recommendations address long term concerns with increasing healthcare spending and short term concerns with various Fee-For-Service (FFS) policies.

At its January meeting, the Medicare Payment Advisory Commission (MedPAC) voted unanimously to approve a recommendation to Congress that the differences in payments between outpatient departments and physician offices for 66 Ambulatory Payment Classifications (APCs) be reduced or eliminated. The services include imaging, procedures such as small-intestine endoscopy, tests including bone density tests and other kinds of care.  The change would mean a 0.6% drop in Medicare revenue for hospitals.