Physical Therapy Leaders Urge CMS to Finalize Proposed Updates to Physical Therapy Reimbursement and Equipment Costs 

In a comment letter submitted to CMS today, APTQI encouraged CMS to take steps to ensure physical therapy services and equipment are appropriately valued when finalizing the 2027 Medicare Physician Fee Schedule 

Washington, DC – The Alliance for Physical Therapy Quality & Innovation (APTQI) today submitted formal comments to the Centers for Medicare & Medicaid Services (CMS) urging the agency to finalize policies that ensure Medicare beneficiaries maintain access to high-quality, cost-effective physical therapy services. 

In its comments regarding the proposed Medicare Physician Fee Schedule (MPFS) for 2027, APTQI highlighted the importance of policies related to physical therapy services that drive payment in line with the value physical therapy services deliver, reduce unnecessary regulatory and administrative burdens, and be transparent to patients and all stakeholders. 

The letter urges CMS to:

• Eliminate the Indirect Practice Cost Index (IPCI), which APTQI says has resulted in a more than 20% discount to indirect practice expenses for physical therapy over nearly two decades.
• Ensure appropriate payment for aquatic therapy, including solidifying the corrected practice expense value and clarifying that revalued codes should not be subject to the practice expense stabilization adjustment.
• Revise the application of the Multiple Procedure Payment Reduction (MPPR), so the 50% reduction applies only to subsequent units of the same payment code furnished by the same provider on the same date of service, rather than reducing payment for distinct therapy services.
• Pause proposed changes to Remote Therapeutic Monitoring (RTM) payment and coding, which could limit access to RTM, particularly in rural and underserved communities facing therapist shortages. Until CMS can collect more accurate data on the costs and resources required to provide RTM, changes should not be implemented.

APTQI has advocated for these changes for years because ensuring stable and adequate Medicare reimbursement is critical to maintaining access to physical therapy and helping patients preserve their strength, balance, mobility, and independence. Physical therapy can provide effective, lower-cost care while helping patients avoid or delay more invasive procedures and reliance on medications, ultimately supporting better outcomes and reducing healthcare costs.

“We encourage CMS to continue to work with professional societies through the rulemaking process. APTQI looks forward to continued dialogue with CMS officials about these and other issues affecting therapy services,” the letter concludes.

To read the full comment letter from APTQI, click here.