Following a previous continuing resolution (CR) in December, Congress passed another CR on March 14, 2025, averting a partial government shutdown and funding the federal government through September 30, 2025. The bill further delays healthcare payment cuts that would have taken effect on March 31 or April 1, 2025 and extends funding for key programs that support rural healthcare and allow for telehealth flexibilities.
Provisions Included in the CR Bill
As with the December CR, the following expiring programs and pending payment cuts were addressed in the March CR, extending them through the end of federal fiscal year 2025:
- Medicaid Disproportionate Share Hospitals (DSHs): The bill eliminates the Medicaid DSH cuts through September 30, 2025.
- Medicare Dependent Hospital (MDH) & Low-Volume Adjustment (LVA) Programs: The MDH and LVA programs are extended through October 1, 2025 and September 30, 2025, respectively.
- Medicare Telehealth: The legislation extends the COVID-related telehealth flexibilities through September 30, 2025. These include—but are not limited to—Medicare geographic requirement, originating site, audio-only, hospice recertification, and Rural Health Clinic and Federally Qualified Health Center telehealth waivers.
- Medicare Hospital-at-Home: The bill extends the program through September 30, 2025.
- Community Health Centers (CHCs): The bill provides $2.14 billion for CHCs from April 1 through September 30, 2025.
- Teaching Health Center Graduate Medical Education (THCGME): The bill provides $87.7 million for the THCGME program from April 1 through September 30, 2025.
The bill also extends the Medicare sequester by two months as an offset for the cost of the above extensions.
Provisions Not Addressed by the CR Bill
The House GOP Doctors Caucus lobbied to include an increase in the Medicare conversion factor in the 2025 CR. Ultimately, this was not included in the package. Instead, in exchange for the caucus’ votes on the CR, Speaker Mike Johnson and Majority Leader Steve Scalise indicated that a Physician Fee Schedule fix would be included in the reconciliation package to extend the Tax Cuts and Jobs Act of 2017. However, it remains to be seen whether this fix will be included in the final reconciliation package.
How Forvis Mazars Can Help
Forvis Mazars continues to monitor the evolving situation in Washington to help healthcare organizations understand and navigate the changes and maintain regulatory excellence. We encourage you to join our live, biweekly Washington Watch: Healthcare Briefings to hear the latest updates. If you have questions about upcoming policy changes and how they may affect your organization, please reach out to a professional on our team.