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Advocacy Update May 20, 2025


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IN THIS ISSUE / May 20, 2025

Medicare Physician Payment Reform

Draft House budget reconciliation bill remains in flux

The most recent draft of the House budget bill, which advanced out of committees last weekend, could provide higher Medicare physician reimbursement tied to inflation. The bill includes an update of 75% of Medicare Economic Index (MEI) for physicians in 2026 and annual updates of 10% of MEI in subsequent years.

While the bill includes significant cuts to health care spending estimated at $715 billion, mostly from Medicaid, it provides $9 billion for the updates to physician payments.

AADA’s advocacy has always supported a full MEI update as reflected in H.R. 2474 (from the 118th Congress), and to support H.R. 879/S. 1640, the Medicare Patient Access and Practice Stabilization Act, that would reverse the 2025 2.83% cut to Medicare physician payment and provide a 50% MEI update on top of that for 2025. The AADA continues to push for this legislation and elimination of budget neutrality requirements as the bill moves through Congress.

What’s next

The next hurdle for the bill is the House Rules Committee, which may make changes to the bill later this week. More changes are expected before the full House votes on the legislation and sends it to the Senate.

What can you do?

Ask your Senators to stop the 2.8% cut to Medicare physician payment, ensure that physicians are made whole for the cuts already in effect in 2025, and provide an overdue positive inflationary adjustment for physician practices for 2025.


AADA News

AADA hosts 11th annual Capitol Hill Skin Cancer Check and Health Fair

Image of AADA President Susan Taylor with Congresswoman Chrissy Houlahan (D-PA)
AADA President Susan Taylor with Congresswoman Chrissy Houlahan (D-PA)
On May 14, AADA hosted its 11th annual Capitol Hill Skin Cancer Check and Health Fair in cooperation with the Congressional Skin Cancer Caucus.

The event had over 130 attendees, with seven Members of Congress stopping by, including Republican Doctors Caucus Co-Chairs, Reps. John Joyce, MD, FAAD (R-PA), and Greg Murphy, MD (R-NC), as well as Reps. Morgan Griffith (R-VA), Chrissy Houlahan (D-PA), Glenn Ivey (D-MD), Dave Joyce (R-OH), and Mariannette Miller-Meeks, MD (R-IA).

AAD members with Susan Taylor at Capitol Hill Skin Cancer Check
Members of the Academy visited Capitol Hill to provide free skin checks.
This popular event is a unique opportunity to provide free skin cancer checks to Members of Congress, staff, and the public, as well as to promote the specialty of dermatology and advocate for our sole congressional priority, Medicare physician payment reform.


Regulatory Affairs

AADA joins coalition to reduce regulatory burden on data registries

The AADA and members of the Physician Clinical Registry Coalition urged the current administration to halt burdensome policies under the Merit-based Incentive Payment System (MIPS).

In two letters to the White House Office of Management and Budget (PDF) and the Centers for Medicare and Medicaid Services (PDF), the group highlighted the importance of clinician-led clinical data registries and urged the rescission of burdensome policies under MIPS.

The letters underscored the essential role registries play in improving health care quality by providing timely, actionable feedback to practitioners. The coalition called for the elimination of flawed MIPS scoring policies, excessive data validation requirements, costly measure testing mandates, and the move toward mandatory MIPS Value Pathways and subgroup reporting.

The letters were in response to recent executive orders and a request for information on deregulation.


State Advocacy

Michigan dermatologists oppose nurse practitioner independent practice

Michigan dermatologists urged (PDF) the state Senate Health Policy Committee to oppose legislation that would authorize nurse practitioners to practice independently and without physician oversight. Nurse practitioners would be allowed to diagnose, treat, supervise other health care professionals and prescribe controlled substances.

The Michigan Dermatological Society, the Michigan State Medical Society, and numerous physician specialty organizations, argue that independent practice increases health care costs, lowers the quality of patient care, and does not improve access in underserved areas.

The bill has had three hearings and many rounds of testimony in the state Senate Health Policy Committee. Supporters of the bill argue that independent practice increases access to health care in rural and underserved areas.


Regulatory Affairs

AADA offers assistance for CLIA lab director application issues

The AADA continues discussions with CMS advocating for revisions to recent CLIA laboratory director requirements that would ensure that all board-certified dermatologists are appropriately approved as lab directors of dermatology labs. Based on this advocacy the AADA is advising members to continue applying to be a lab director.

If you encounter any issues, contact AADA at regulatory@aad.org. The Academy will coordinate directly with CMS to help ensure your application receives appropriate review and to assist in resolving any issues.


AADA News

Contribute to SkinPAC

As of May 15, SkinPAC has raised $630,316 from 620 individuals. Help us keep up the momentum as we advocate for Medicare physician payment reform! SkinPAC helps strengthen our relationships on Capitol Hill and reinforces our grassroots and lobbying efforts.

Contribute online at www.skinpac.org or by texting SkinPAC to 71777. Email skinpac@aad.org with any questions.

The political purpose of the American Academy of Dermatology Association Political Action Committee ("SkinPAC") is to solicit and receive contributions to be used to make political campaign expenditures to those candidates for elective office, and other federal political committees, who demonstrate understanding and interest in the view and goals of the American Academy of Dermatology Association.

Contributions to SkinPAC are not deductible for federal income tax purposes. Contributions to SkinPAC must be made from your funds and may not be reimbursed. SkinPAC cannot accept contributions from corporate accounts. Any recommended contribution amount is merely a suggestion. All AADA members have the right to contribute more or less or refuse to contribute without reprisal. Federal law prohibits us from accepting contributions from foreign nationals. Federal law requires us to use our best efforts to collect and report the name, physical address, occupation, and name of the employer whose contributions exceed $200 in a calendar year.

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