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CMS Releases 2026 Medicare Physician Fee Schedule and the Hospital Outpatient Prospective Payment System Proposed Rules

The Centers for Medicare & Medicaid Services (CMS) released its 2026 proposed rules for the Medicare Physician Fee Schedule (MPFS) and the Hospital Outpatient Prospective Payment System (OPPS). SNMMI is reviewing all provisions and will provide a more detailed analysis in the near future, as well as submitting comments to CMS. 

Key provisions that will impact nuclear medicine from both proposed rules are summarized below; the full explanation is available HERE.

  • For SNMMI-prepared Medicare Physician Fee Schedule Chart click here.
  • For SNMMI-prepared HOPPS Rate-APC Chart click here.

A fact sheet on the final rules may be found here for MPFS and here for OPPS.


Hospital Outpatient Prospective Payment System (OPPS) – Key Nuclear Medicine Updates

  • Payment for Diagnostic Radiopharmaceuticals
    • CMS will continue using mean unit cost (MUC) as the payment method for separately payable diagnostic radiopharmaceuticals with per-day costs >$655 (threshold proposed for CY 2026).
    • ASP (Average Sales Price) reporting remains voluntary under OPPS but is encouraged. CMS seeks input on challenges/barriers to ASP reporting.
  • Packaging Threshold Increase
    • Proposed increase from $630 to $655 per day for radiopharmaceutical packaging threshold for CY 2026, adjusted for inflation (based on the Producer Price Index).
    • CMS indicates that 30 diagnostic radiopharmaceuticals would qualify for separate payment under the increased threshold.
  • New Add-On Payment for Tc-99m
    • A $10 add-on payment will begin in 2026 for Tc-99m doses derived from domestically produced Mo-99, to support U.S. supply chain and national security.
    • This replaces the old add-on, which rewarded production without highly enriched uranium (HEU).
    • The add-on requires that ≥50% of Mo-99 come from U.S. sources; new HCPCS code C917X will be created for billing.


Medicare Physician Fee Schedule (MPFS) – Key Nuclear Medicine Updates

  • Conversion Factor Update for 2026
    • CMS proposes two conversion factors:
      • $33.5875 for qualifying APM participants (QPs) — 3.83% increase.
      • $33.4209 for non-QPs — 3.62% increase.
  • Determination of relative value units
    • All PET and PET/CT CPT codes (technical and global) remain at contractor price, consistent with SNMMI advocacy.
    • New Efficiency Adjustment Proposal: CMS proposes a 2.5% reduction in work RVUs and physician time for non-time-based codes (e.g., procedural services), applied every 3 years.
    • Site-of-Service Payment Differential: CMS proposes changes to indirect practice expense RVUs based on practice ownership and site of service. This would reduce facility-based practice expense RVUs by 7% and increase non-facility-based RVUs by 4%.
    • Malpractice RVU Update: CMS will use updated 2026 malpractice premium data from state insurance filings to revise malpractice RVUs.
    • Software-as-a-Service Reimbursement: CMS is requesting feedback on how to price services using software-as-a-service models and whether OPPS rates can be used as benchmarks.


Quality Programs and MIPS

  • MIPS Performance Threshold
    • The 75-point threshold to avoid penalties remains through the 2026–2028 performance years (2028–2030 MIPS payment years).
  • New MIPS Value Pathways
    • CMS proposes six new MIPS Value Pathways, including a focus on diagnostic and interventional radiology.
    • CMS will also update measures impacting MIPS performance pathways.