Gastroenterology Coding Alert

Reimbursement:

CMS Proposes Steep Cuts for GI Practices in New Fee Schedule

But telehealth expansions could last into 2021.

The upcoming changes to the E/M code set may impact how your GI practice is reimbursed for those services, but other proposed changes to the Medicare Physician Fee Schedule (MPFS) may prompt tight finances for many gastroenterologists next year, if the proposals are finalized.

Context: On Aug. 3, CMS issued its Calendar Year (CY) 2021 MPFS proposed rule. The proposed rule was published in the Federal Register on Aug. 17. Check out a few highlights of how the proposal could impact GI practices.

  • Expect a Post-COVID Telehealth Expansion. The Medicare telehealth expansion has been a real benefit to many GI practices, and the proposal for 2021 indicates that an expanded list of telehealth services could be on the approved list through the end of next year.

  • Get Ready for 2021 E/M Changes. Because some of the regulations and guidelines around office-based E/M codes will be updated for 2021, CMS is proposing a shift in the payment rates for some of these codes, which will lead to higher pay for them, if finalized.
  • Prepare for a Major Conversion Factor Cutback. CMS aims to cut the conversion factor (CF) by 10.61 percent. According to the rule, the proposed CY 2021 PFS conversion factor is $32.26, a decrease of $3.83 from the current CF of $36.09, CMS indicates.
  • Gastroenterology Practices Could See Pay Cuts. As in prior years, the fee schedule proposal includes a chart showing how the proposed changes could impact individual specialties. Although some specialties, such as pulmonologists, are expected to see more pay under the proposed rules, that’s not the case for GI practices. According to the proposal, gastroenterologists could see a five percent drop in allowed charges after taking into account the combined impact of all proposed changes.

Comment period open: CMS will accept comments on the proposed rule until 5 p.m. on Oct. 5, 2020.

Note: You can review the MPFS proposals at https://s3.amazonaws.com/public-inspection.federalregister.gov/2020-17127.pdf.