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May 13, 2022

Coalition of Eight States Challenge CMS Rule Providing Incentive Payments to Medicare-Participating Physicians Who Develop Plans to Address Health Disparities

Attorneys General from the states of Alabama, Arizona, Arkansas, Kentucky, Louisiana, Mississippi, Missouri, and Montana have joined two doctors suing CMS over a rule that increases payments in the Merit-based Incentive Payment System (MIPS) to doctors who implement equity plans intended to improve health equity and reduce health disparities. The plaintiffs argue the rule is arbitrary and capricious, because CMS failed to provide an adequate justification for the rule. They also argue that the rule violates the Medicaid Act and Medicare Access Act, as well as constitutional and legal prohibitions on racial discrimination.

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