The Patients First Act Would Bring Long-Overdue Stability to Medicare Reimbursement

August 6, 2026

For millions of older Americans, physical therapy is an essential service that helps them recover from injury, manage chronic conditions, prevent falls, and maintain their independence. Yet, the current Medicare payment system—which is vital for providing coverage for these critical services—continues to face instability. This not only creates challenges for providers, but it also threatens access to care for patients.

For years, reimbursement under the Medicare Physician Fee Schedule (MPFS) has failed to keep pace with the rising cost of delivering care. Despite a small bump in reimbursement for physical therapy in the 2027 proposed rule, the profession has seen years of cuts. At the same time, physical and occupational therapy practices are facing increasing financial pressures from workforce shortages, inflation, administrative burden, and growing demand for rehabilitation services.

The result? An untenable system where providers are being forced to do more with less.

That is why APTQI supports the Patients First Act (H.R. 9693). Introduced by Representatives Greg Murphy, MD (NC-03), John Joyce, MD (PA-13), and Kim Schrier, MD (WA-08), this bipartisan bill would help create a more stable and predictable Medicare payment system so physical and occupational therapists can more sustainably care for patients in their communities.

If passed, the Patients First Act would:

  • Establish inflation-based payment updates to better reflect the rising costs of providing care.
  • Reduce unintended payment reductions that threaten patient access by updating budget neutrality policies.
  • Improve Medicare quality programs, including reforms to the Merit-based Incentive Payment System (MIPS), to reduce administrative burdens and penalties on practices.
  • Support value-based care models that encourage better outcomes and more efficient care delivery.

Congress has an opportunity to move beyond short-term fixes to yearly cuts and truly build a Medicare payment system that works for both patients and providers. APTQI commends congressional leaders for introducing the Patients First Act and urges Congress to pass it this year.

To ask your lawmaker to support the Patients First Act, CLICK HERE.