The Centers for Advanced Orthopaedics, a Bethesda, Md.-based orthopedic practice, called on Congress to stop Medicare physician payment cuts set to take effect Jan. 1, 2027.
CMS has proposed a 1.68% cut to Medicare physician payments for 2027. The OrthoForum, a national organization of physician-led orthopedic practices, estimates the proposed rule would cut physician payment for total hip and knee replacement by about 20%.
CAO tied the cuts to strain on the physician workforce. It cited Association of American Medical Colleges projections of a shortage of up to 86,000 physicians by 2036. It also cited American Medical Association data showing physician practice costs rose 59% from 2001 to 2025, while Medicare physician payment fell 33% after adjusting for inflation.
The practice said further reductions could leave fewer physicians treating Medicare patients, lengthen appointment waits and narrow local care options for seniors.
“The country is already facing a growing physician shortage at the same time more Americans are reaching Medicare age and need care,” said Nicholas Grosso, MD, president of CAO. “Cutting physician reimbursement further risks making that access challenge even worse.”
Dr. Grosso said seniors deserve timely access to physicians close to home.
CAO is backing the Patients First Act (HR 9693), a bipartisan bill that would permanently tie Medicare physician payment updates to inflation. The bill aims to end the recurring cycle of payment cuts and temporary congressional fixes. The practice is also urging patients, families and physicians to contact their federal representatives using advocacy resources from the OrthoForum.
CAO, founded in 2013, describes itself as one of the largest orthopedic care providers in the U.S.
At the Becker’s 32nd Annual Meeting: The Business and Operations of ASCs, taking place October 29-31 in Chicago, ASC leaders, surgeons and healthcare executives will explore strategies to drive growth, enhance operational performance, navigate reimbursement challenges and prepare for the future of ambulatory surgery. Apply for complimentary registration now.
