by Ronald Hirsch, MD FACP CHCQM CHRI
Jul 9th, 2025
Today, in utilization news, there is a warning to any surgeons who may be reading this – or anyone who works with surgeons. You may see new efforts by the Centers for Medicare & Medicaid Services (CMS) to lower your fees in coming years. We have all heard about the fact that the Physician Fee Schedule has not kept up with inflation, and how angry physicians are about it, but there is a new threat on the horizon.
As background, surgeries have what is called a “global period.” The payment for the surgery to the surgeon covers that global period, which starts on the day of surgery and ends either that same day (as with a colonoscopy or simple laceration repair), after 10 days (as with an hemorrhoidectomy), or after 90 days (for major surgery). You can look up the global period for any CPT code here: https://www.cms.gov/medicare/physician-fee-schedule/search.
For each global period, CMS uses data from surgeons to determine the average time spent on each task on the day of surgery, including visiting the patient in pre-op, positioning the patient, scrubbing for surgery, performing the surgery, and then time spent post-operatively that day (and then the number of times that the patient is seen in the hospital, office, or other setting starting the day after surgery). And from that, they set the payment rate.
For example, we love to talk about total knee arthroplasty. So let’s take CPT code 27447 as an example. It has a 90-day global period. CMS estimated that 187 minutes are spent by the surgeon on the day of surgery, then they have three post-operative hospital visits and three post-operative office visits. Looking at a lesser surgery, incision and drainage of a simple abscess has a global period of 10 days, 41 minutes on the day of the procedure, then one follow-up office visit.
... Continue reading the article at RACmonitor →
This article originally published on July 9, 2025 by RACmonitor.
References/Resources
About Ronald Hirsch, MD FACP CHCQM CHRI
