April 16, 2015
Late on April 14, the Senate passed H.R. 2, the Medicare Access and CHIP Reauthorization Act of 2015, by a vote of 92-8. President Obama then signed the bill into law on April 16. Last month, the House also voted to approve the bill, 392-37.
This legislation will replace Medicare's sustainable growth rate (SGR) formula before CMS begins processing a 21% cut to physician reimbursements. In addition, this legislation will provide a 0.5% annual raise through 2019 for providers who participate in Medicare before transitioning to an incentive-based payment system designed to encourage participation in alternative payment models. While cuts to physician reimbursements went into effect on April 1, CMS stated that it would not begin processing them until April 15.