Advocacy - Lab Advocate
ADLM submitted a comprehensive comment letter to the Centers for Medicare & Medicaid Services (CMS) on September 9 2024, raising concerns over the proposed 15% payment cuts under the Clinical Laboratory Fee Schedule (CLFS) detailed under its Physician Fee Schedule proposed rule for CY 2025. The association believes cuts could severely impact patient access to essential diagnostic tests, particularly in rural and underserved communities. ADLM highlighted that CMS’s data collection process is widely considered to be flawed, relying on information from a small subset of large labs, which skews payment rates. The association urged CMS to collaborate with Congress and the laboratory community to ensure that patient access to diagnostic services is not compromised by these cuts.
The association also highlighted that many labs face increased operational costs, including labor shortages and rising supply expenses. Further cuts could result in lab closures and reduced services, which could delay diagnoses and negatively affect patient outcomes. To address these concerns, ADLM advocates for the passage of the Saving Access to Laboratory Services Act (SALSA), which proposes reforms to create a more representative data collection process and provide greater payment stability for labs. SALSA would also reduce the administrative burden on labs, allowing them to continue providing high-quality care.
In a legislative win for ADLM and its allies, Congress passed a short-term Continuing Resolution (CR) to fund the government through December 20, 2024, which includes a one-year delay in implementing reimbursement cuts under the Protecting Access to Medicare Act (PAMA) and extends data reporting deadlines to January 2026. This action prevents cuts of up to 15% on approximately 800 laboratory tests from taking effect in 2025, marking the sixth consecutive year Congress has postponed PAMA implementation.
The association will continue to actively advocate for policy that preserves patient access to essential diagnostic services and ensures that clinical laboratories can operate sustainably in the shifting reimbursement landscape.