Obama Signs Medicare SGR Reform Act of 2013, Stopping 24% Reimbursement Rate Cut for Three Months


On December 26, 2013, President Obama signed into law the Pathway for SGR Reform Act of 2013. This new law prevents a 24 percent scheduled payment reduction for doctors and other practitioners who treat Medicare patients from taking effect on January 1, 2014. The new law provides for a 0.5 percent update for such services through March 31, 2014. The three months gives Congress time to finalize the Medicare payment reform legislation that would repeal the Sustainable Growth Rate (SGR) formula.

The Centers for Medicare and Medicaid Services is currently revising the 2014 Medicare Physician Fee Schedule to reflect the new law’s requirements as well as technical corrections identified since publication of the final rule in November.