Morning Briefing
Summaries of health policy coverage from major news organizations
'Underwhelming': Doc Groups Criticize Proposed Medicare Payment Increase
Some physician groups are unhappy with the proposed changes to the Medicare Physician Fee Schedule for 2026 that the Centers for Medicare & Medicaid Services (CMS) announced Monday. The fee schedule update varies depending on whether physicians are participating in an alternative payment model (APM). Physicians who do participate in a qualifying APM receive an increase of $1.24, or 3.83% in the conversion factor used as a multiplier to calculate what Medicare will pay for physician services. Physicians who don't participate in an APM will receive an increase of $1.17, or 3.62%. (Frieden, 7/15)
Medicare is proposing across-the-board cuts to what Trump administration officials believe are overpriced medical procedures, scans, and tests 鈥 a consequential decision designed to even the score between highly paid specialists and primary care doctors. (Herman and Bannow, 7/16)
Medicare plans to slash payments for expensive and untested skin bandages that have cost the federal government billions of dollars, the Trump administration announced Monday. The new proposed limit is an about-face for the administration, which twice delayed Biden-era rules to reduce spending on the bandages, known as skin substitutes. President Trump, who previously defended the payments on social media, received a large campaign donation last year from a leading bandage seller. (Kliff and Thomas, 7/15)
On Medicaid 鈥
Sen. Josh Hawley (R-Mo.) wants to repeal parts of the 鈥渂ig, beautiful鈥 law he just voted for.聽Hawley on Tuesday introduced new legislation to roll back some of the Medicaid cuts that were included in the massive tax cut law, which passed the Senate two weeks ago and was signed into law by President Trump on July 4.聽Hawley鈥檚 bill would repeal provisions that limit states鈥 ability to levy taxes on health providers to receive more money from the federal government. (Weixel, 7/15)
Providers face a widening gulf between Medicaid pay rates and those of other payers, and are scrambling to determine what it means for their bottom line. Steep Medicaid cuts in the law President Donald Trump signed July 4 have dominated conversations among providers and industry groups, particularly the fate of supplemental payment programs such as state-directed payments and provider taxes. Providers are getting a clearer look into what recent cuts in the funding they use to cover care costs means financially and operationally. (Hudson, 7/15)
Millions of Americans are expected to lose health care coverage through President Donald Trump鈥檚 鈥渙ne big, beautiful鈥 tax and spending law 鈥斅燼nd LGBTQ+ Americans, who rely heavily on social services due to high rates of poverty and disability, are among those who will be most impacted. Experts say that widespread loss of health care, coupled with rising discrimination and fewer workplace protections, will create a worst-case scenario for LGBTQ+ rights.聽(Rummler, 7/15)
On a call with fellow Democratic state treasurers, Connecticut Treasurer Erick Russell (D) said on Monday that his state will have to spend more to make up for federal budget cuts. It鈥檚 not clear how much 鈥渕ore鈥 means. Connecticut passed its two-year budget in June, but lawmakers are expected back at the Capitol in September for a special session to determine what they plan to spend on Medicaid and food aid. (Ingram, 7/15)
On telehealth 鈥
While President Donald Trump鈥檚 鈥淥ne Big Beautiful Bill鈥 did a whole lot the healthcare sector opposes, it also failed to deal with a plethora of more mundane health legislation lawmakers must finalize as soon as this fall. Authorizations or funding for matters such as community health centers, telehealth and hospital-at-home are due to expire when the fiscal year ends Sept. 30 or when the calendar year ends. The latter category includes enhanced subsidies for health insurance exchange plans. (McAuliff, 7/15)
One sector in healthcare is embracing the sweeping policy changes from President Donald Trump鈥檚 signature tax law. The legislation, which was signed into law earlier this month, delivers a series of potential wins for digital health companies. While hospitals and insurers are criticizing the cuts to Medicaid enrollment, telehealth companies are quietly celebrating its wins under the law. Plans and employers can offer聽patients聽with聽health savings accounts tied to high-deductible health plans discounted telehealth services. (Turner, 7/15)
In its first proposed physician fee schedule rule of the second Trump administration, the Centers for Medicare and Medicaid Services (CMS) indicated that digital health technology, like telehealth and remote monitoring, have a role to play in the administration鈥檚 push to treat chronic disease. CMS signaled its commitment to digital health and built upon recent positive indicators to the sector like the health tech request for information and Health Secretary Robert F. Kennedy Jr.鈥檚 pledge to advance the use of wearables in front of the Senate last month. (Beavins, 7/15)
