decisionhealth Newsletters, Coder Pink Sheets - 2025 Issue 7 (July)
Proposed fee schedule: CMS plans to slash practice expense RVUs in facility setting
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Article Overview
This article explains a proposed CMS update to the Medicare physician fee schedule focused on practice expense RVU methodology, with emphasis on how facility and non-facility payment estimates could change in 2026. It is relevant to physicians, coders, practice managers, and reimbursement professionals who track CMS rulemaking, valuation methodology, and fee schedule impacts. The discussion includes the policy rationale, the affected setting of service, a worked payment example, and CMS’s request for public comment.
Why This Topic Matters
The proposal could materially affect reimbursement expectations for services furnished in facility settings and may influence budgeting, contracting, and coding-related revenue analysis for 2026.
What You Will Learn
- What CMS is proposing for practice expense RVU methodology
- How the proposal relates to facility and non-facility payment settings
- Why CMS says the fee schedule methodology is being revised
- How the proposal may affect 2026 Medicare payment estimates
- What type of fee schedule example CMS uses to illustrate the change
Who Should Read This
- Physicians
- Medical coders
- Coding managers
- Practice administrators
- Revenue cycle professionals
- Healthcare reimbursement analysts
Codes Discussed
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