CMS Issues FAQ Detailing 2 Percent Sequestration Cut for Providers

March 28, 2013

Recently CMS issued an FAQ on how they will implement the 2 percent cut to Medicare providers that went into effect on March 1, 2013, as part of budget sequestration. CMS has indicated that the 2 percent cut will be implemented for services provided on or after April 1, 2013, and provides more details on the practical implications in its FAQ.

The AGA opposed the automatic sequestration cuts to physicians since they are already being reimbursed below inflation and are operating in an unstable payment system. The AGA continues to urge Congress to enact a permanent fix to the broken payment system and provide a stable, equitable and predictable payment system for physicians.

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