New AMA Study to Document Changes in Physician Practice Expense

SCCT is supporting the American Medical Association’s (AMA) new national study, supported by 173 health care organizations, seeking to collect representative data on physician practice expenses. The Physician Practice Information Survey (PPIS) will gather data on overhead costs of today’s physician practices to support physician payment advocacy.

Currently, the Medicare physician payment schedule, maintained by the Centers for Medicare and Medicaid Services (CMS) and utilized by many other payers, relies on 2006 cost information to develop practice expense relative values, the Medicare Economic Index and resulting physician payments. Given the changes that the U.S. economy and health care system have undergone since that time, including staffing costs, team-based care, inflation, new practice arrangements, and the wide-spread adoption of electronic health records and other information technology systems, practice expense payments no longer accurately reflect the relative resources that are typically required to provide physician services.

Therefore, this study is an opportunity for clinicians to make their voice heard and communicate accurate financial information to policymakers, including members of Congress and CMS. Mathematica, an independent research company with extensive experience in survey methods as well as health care delivery and finance reform, has been contracted by the AMA to conduct the study.

Electronic communication regarding the cost survey will be sent by Mathematica from the email address PPISurvey@mathematica-mpr.com with the subject line: “American Medical Association requests your input on physician practice expense and patient care hours.”

Invitations and reminders about physician hours worked will come from the email address PhysicianHoursSurvey@mathematica-mpr.com with the subject line: “Please help to update accurate physician payments.”

Throughout the spring of 2024, surveys will be distributed, and it is vital that individuals or practices who are randomly selected to complete a survey do so thoroughly and accurately. For financial information, SCCT members recommends relying on business and financial administrators in their practice to complete an online financial information survey. Other members will be asked to report hours spent actively providing patient care.

The feedback from physician practices and individual physicians who are randomly selected to participate in this study is critical for success, ensuring practice expenses and patient care hours are accurately reflected.

If you are selected for the survey and have questions regarding your response, contact SCCT’s Manager of Policy and Government Relations, Justin Sullivan at jsullivan@scct.org.