CMS issued a proposed rule (CMS-1524-P) with updates to the payment policies and rates for the Medicare Physician Fee Schedule (MPFS).

In a press release, CMS highlighted the following changes in the proposed rule:

• Expansion of the multiple procedure payment reduction to the professional component of advance imaging services; specifically, CT, MRI, and ultrasound.
• Proposed criteria for a health risk assessment for use in conjunction with annual wellness visits.
• Addition of smoking cessation services to the list of telehealth services.
• Proposed quality and cost measures for establishing a new value-based modifier to reward physicians for higher quality and more efficient care.
• Implementation of the third year of a four-year transition to new practice expense RVUs.
• Continued efforts to identify potentially misvalued codes.

CMS noted its projected conversion factor of 29.5% for 2012 based on the application of the sustainable growth rate formula. CMS does not address this in the proposed rule because a reduction in the 2012 factor can only be addressed with a change in law.

CMS is accepting comments on the proposed rule until August 30, 2011.