U.S. Senators Sheldon Whitehouse and Bill Cassidy introduced the Pay PCPs (primary care providers) Act of 2024 in May 2024, which seeks to address ongoing challenges with payment models for primary care.1 The proposed legislation was accompanied by a request for information (RFI). The National Academies of Sciences, Engineering, and Medicine (the National Academies) appointed the Committee on the Response to the “Pay PCPs Act of 2024” Request for Information to prepare this consensus report.2 The committee’s statement of task, which includes select questions from the RFI, is in Appendix A. The complete RFI is in Appendix B. The draft Pay PCPs Act of 2024 is in Appendix C. Committee member, fellow, and staff biographies are in Appendix D. RFI text the committee is responding to is denoted below in boxes.
The Medicare Physician Fee Schedule is comprised of activities and services that are currently ill-suited to support primary care.
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1 See https://www.whitehouse.senate.gov/wp-content/uploads/2024/05/KEL24351.pdf (accessed July 9, 2024).
2 The committee members make up a subgroup of the National Academies Standing Committee on Primary Care, which was appointed in August 2023 to advise the federal government on primary care policy.
3 Hybrid payments and primary care providers are defined in section 3 of the Pay PCPs Act of 2024 (see Appendix C).
Primary care requires ongoing care coordination and relies upon routine activities that are under- or non-reimbursed in the Fee Schedule. This legislation encourages CMS to adopt “hybrid payments” for primary care providers in the Fee Schedule, accelerating ongoing efforts in CMMI [Centers for Medicare and Medicaid Innovation] models. Hybrid payments give primary care providers in Medicare steady, upfront, and value-based payments for under-reimbursed activities, while maintaining some traditional FFS [fee-for-service] payments for certain services. Hybrid payments allow primary care providers to innovate and more easily integrate diverse care activities to improve care quality and reduce costs.
by CMS in MSSP). These two methods should form the basis of attribution models under the Pay PCPs Act.
primary care teams that make primary care a more sustainable career (Helfrich et al., 2017; Willard-Grace et al., 2014).
also associated with barriers to accessing primary care and may thus predict both higher than average need and lower than average utilization of primary care. Risk adjustment models must carefully consider the outcome for the model to not introduce inequitable algorithmic bias.
The legislation proposes to allow the Secretary to define quality measures for hybrid payments and suggests four which may be pursued: (1) patient experience, (2) clinical quality measures, (3) service utilization, including measures of rates of emergency department visits and hospitalizations, and (4) efficiency in referrals, which may include measures of the comprehensiveness of services that the primary care provider furnishes.
(PCPCM PRO-PM) (AMA, 2022; American Academy of Family Physicians, 2022; Etz et al., 2019).
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4 See https://www.ahrq.gov/cahps/index.html (accessed July 9, 2024).
care use (e.g., in emergency departments and hospitals) and costs (Bazemore et al., 2018). A continuity measure is included in the Merit-based Incentive Payment System (measure ID: ABFM12, CBE #3617)5,6 and could be considered.
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5 See https://qpp.cms.gov/mips/traditional-mips (accessed July 10, 2024).
6 See https://p4qm.org/measures/3617 (accessed July 11, 2024).
7 See https://www.ahrq.gov/cahps/consumer-reporting/measures/index.html (accessed July 11, 2024).
The legislation allows the Secretary to include four types of service in hybrid payments: (1) Care management services, (2) Communications such as emails, phone calls, and patient portals with patients and their caregivers, (3) Behavioral health integration services, and (4) Office-based evaluation and management visits, regardless of modality, for new and established patients.
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8 See Peek and The National Integration Academy Council (2013) for a definition of behavioral health integration and the services it should include.
assistance should include (but not be limited to) training behavioral health providers to work in primary care and assisting practices in advancing along the integrated care continuum to provide increasingly more comprehensive and integrated care (Galbreath et al., 2024; NASEM, 2021, 2023; SAMHSA-HRSA Center for Integrated Health Solutions, 2020).
should include services that have not been reimbursed under the physician fee schedule (NASEM, 2021). It has been estimated that more than 25 percent of primary care activities are not reimbursed under the fee schedule (Berenson et al., 2020). Tying the hybrid payments to increased investment in primary care may help mitigate unintended consequences that may limit patient access to care.
The American Medical Association/Specialty Society Relative Value Scale Update Committee (RUC) has a process in place to regularly review the inputs needed to calculate Fee Schedule rates, which it sends as recommendations to CMS for adoption in the Fee Schedule. CMS has deferred to nearly all the RUC’s recommendations, accepting them unaltered almost 90 percent of the time between 1994 and 2010. However, according to a 2015 GAO report, the RUC’s recommendations to CMS may not be accurate due to process and data-related weaknesses. This legislation creates a new advisory committee—separate and distinct from the RUC—within CMS to advise the Agency on new methods to more accurately determine those rates and correcting existing distortions which lead to under-reimbursement for high-value activities and services. The legislation also provides for the inclusion of primary care and family medicine providers to help provide the perspective of those stakeholders. Finally, the bill ensures that the new advisory committee develop new methods that help address health disparities, quality of care, and Medicare beneficiary access to services.
a minimum, this percentage of physicians on the committee should represent primary care.
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9 See https://www.gsa.gov/policy-regulations/policy/federal-advisory-committee-management (accessed July 11, 2024).
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