Senate stops Medicare cuts
By HME News Staff
Updated 9:26 AM CST, Fri December 10, 2021
WASHINGTON – The Senate last night approved legislation to prevent across-the-board, 4% PAYGO-related cuts to Medicare reimbursement from taking effect in 2022, AAHomecare reports.
Earlier this week, the House of Representatives passed legislation to prevent the cuts.
“This is a very positive development for both HME suppliers as well as the full scope of healthcare providers who would have been impacted by these cuts,” said Tom Ryan, AAHomecare president and CEO. “With the threat of these cuts now out of the way, we can turn our attention back to advocating for Medicare reimbursement rates for HME that reflect the increased product costs and new operational expenses that suppliers are facing.”
The legislation, the Protecting Medicare and American Farmers from Sequester Cuts Act, also extends the pause on 2% sequestration cuts through March 2022. It then re-implements the cuts at a 1% level from April 1, 2022, to June 30, 2022, then returns the cuts to 2% starting July 2022. To offset this extended deferral, the legislation increases the sequestration rate in 2031, according to AAHomecare.
President Biden is expected to sign the legislation.
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