Senate Blocks Crypto Bill as House Examines Small Business Use

Why It Matters

The House Energy and Commerce Subcommittee on Health examined 17 legislative proposals addressing Medicare payment reform, health care access and cybersecurity on Sept. 15, as health care providers face pressure from payment uncertainty and ransomware threats. The hearing surfaced a core tension: While Republicans and Democrats agree that Medicare's payment system needs modernization, Democrats warned that administration policies are driving providers toward closures and forcing millions off insurance rolls.

The Big Picture

Congress has grappled with Medicare physician payment reform for more than a decade. A Senate Finance Committee hearing in 2019 examined implementation of the Medicare Access and CHIP Reauthorization Act and the road ahead, while the House Ways and Means Committee held hearings on the law's effects in 2016. The issue remains pressing as physicians face long-term concerns about Medicare payment adequacy. CMS also finalized a 2.5% efficiency adjustment for certain non-time-based services under the Medicare Physician Fee Schedule, including some surgical procedures, diagnostic imaging interpretations and outpatient interventions.

The health care sector also confronts an escalating cybersecurity crisis. The 2024 Change Healthcare ransomware attack caused widespread disruption to claims processing across the U.S. health care system. In the first quarter alone, health care organizations recorded 120 ransomware attacks, according to figures cited by lawmakers, while ransom demands and the costs associated with breaches have continued to rise.