Federal Affairs Update | April 2025

Posted By: Gail Heather Zitterkopf Academy News, Practice & Advocacy,

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Congressional Update

Congress Failed to Address Medicare Cuts: On March 14, Congress passed a funding bill that extends government funding through September 30 but failed to address critical issues, including a needed payment boost under the Medicare Physician Fee Schedule.  Congressional budget resolution, currently being worked on by the House and Senate, outlines the framework for budget reconciliation, which involves committees offering legislation considered by a simple majority. This process must survive the "Byrd Bath" and resolve differences before final passage, with Medicaid and food stamp cuts being a contentious aspect, though the specifics are not yet finalized. On March 24, APTA joined over a dozen medical organizations in urging Congress to avoid Medicaid cuts in the upcoming Budget Reconciliation package, highlighting concerns about the impact on vulnerable patients and health providers, particularly in rural areas. The letter, sent to Senate and House leaders, stresses that such cuts could lead to reduced Medicaid coverage, lower provider payment rates, or elimination of optional benefits. Please reach out to support H.R. 879 Medicare Patient Access and Practice Stabilization to abolish the physical therapy related Medicare cuts. https://www.congress.gov/bill/119th-congress/house-bill/879 

                 

TRICARE Non-Payment Issues: 6 new states were added to Tricare west  as of January 1, 2025. Nonpayment issues are affecting both regions, with the West experiencing the most severe disruptions, resulting in providers facing financial hardships. Congress is working on the issue through outreach from Representatives Jack Bergman and Aaron Bean and advocates are encouraged to contact their Members of Congress and Senators. Please send a letter to you representative and Senator using the APTA Legislative Action Center.   Majority of congressional members are unaware of this issue. 

Telehealth Bills in Motion: H.R. 1614 aims to permanently authorize PTs and PTAs as telehealth providers in Medicare. Additionally, the Expanded Telehealth Access Act, expected to be reintroduced soon by Reps. Sherrill and Harshbarger, seeks to further expand telehealth access. The current Medicare telehealth policy is extended until September 30th.   https://www.congress.gov/bill/119th-congress/house-bill/1614 

SHARE Act Reintroduced in House and Senate: H.R. 2332/S. 1101, the States Handling Access to Reciprocity for Employment (SHARE) Act, ensures that background checks are processed quickly to facilitate Compact participation. An action alert is available in APTA’s Legislative Action Center.

Regulatory Update

Senate Confirmation News: Within the past month, the U.S. Senate has advanced the nomination of Dr. Mehmet Oz as Administrator of the Centers for Medicare and Medicaid Services, and confirmed the nomination of Jay Bhattacharya as head of the National Institute of Health. At the same time, the recently confirmed Secretary of the Department of Education, Linda McMahon, conducted a reduction in force within her Department which cut staffing in half, from 4,133 to 2,183. Not long after, President Trump signed an executive order instructing the Secretary to take all the necessary steps to close the Department. APTA will continue to monitor executive actions for their impact on the physical therapy profession.

First Proposed Rule Released: On March 11, the first proposed rule to come out of Robert F Kennedy's Department of Health and Human Services was released. If finalized as proposed, the marketplace integrity and affordability rule would reverse several Biden-era policies to expand eligibility, enrollment, and affordability within the Affordable Care Act Marketplace.

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