Efficiency Adjustment Delay Act

This bill, known as the "Efficiency Adjustment Delay Act," aims to postpone a significant change to the Medicare physician fee schedule by prohibiting the Secretary of Health and Human Services from implementing an efficiency adjustment to work relative value units (RVUs) and corresponding updates to physician time inputs before January 1, 2030 . The legislation mandates that the Secretary submit a report to Congress within two years, assessing the necessity of a one-time, across-the-board adjustment to work RVUs for services not recently revalued. If the report supports such an adjustment, its implementation on or after January 1, 2030, is subject to strict conditions , including consulting with affected physician specialties, excluding recently revalued services, and adhering to specific methodological requirements, with the adjustment only permitted once. Additionally, the bill temporarily modifies the update percentages for Medicare's physician fee schedule conversion factors for 2026, increasing the qualifying Alternative Payment Model (APM) conversion factor to 1.24 percent and the nonqualifying APM conversion factor to 0.74 percent , before reverting to original percentages for 2027 and subsequent years.