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MGMA Washington Connection 04/01/2021

04/01/2021 8:07 AM | Rebekah Francis (Administrator)

Senate clears legislation to extend 2% Medicare sequester moratorium

On March 25, the Senate voted 90-2 to pass MGMA-supported legislation that would extend the 2% Medicare sequester moratorium through Dec. 31, 2021. Without further congressional action, the current moratorium was slated to expire on March 31, 2021. The House is expected to pass this legislation when it returns from recess in mid-April. The Centers for Medicare & Medicaid Services (CMS) instructed Medicare Administrative Contractors to hold all claims with dates of service on or after April 1 for a short period of time until the legislation passes the House and is signed into law. CMS does not expect this hold to affect providers’ cash flow and wants to minimize the number of claims that would need to be reprocessed if this legislation is passed. MGMA thanks our members who participated in #MGMAAdvocacy and sent letters to congressional members in support of an extension of the moratorium.

Legislation to extend PPP signed into law

Congress passed legislation to extend the Paycheck Protection Program (PPP) through May 31, 2021. The bill passed both chambers with overwhelming bipartisan support and was signed into law by President Biden earlier this week. Without the passage of this legislation, the PPP would have expired on March 31, 2021. This extension will give medical groups an additional two months to apply for either a first or second draw PPP loan.

MGMA voices support for legislation to expand physician workforce

MGMA and other leading health organizations sent a letter of support to the Senate and House sponsors of the Resident Physician Shortage Reduction Act. This bipartisan, bicameral legislation would gradually increase the number of Medicare-supported Graduate Medical Education positions by 2,000 per year for seven years, totaling 14,000 new slots. MGMA supports this legislation, which is critical to combat the impending physician shortage over the next decade.


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