On January 6, 2009, Senator John Ensign (and 11 other Senators) introduced the Medicare Access to Rehabilitation Services Act of 2009 (S.46).
If enacted, the Medicare Access to Rehabilitation Services Act of 2009 (S.46) would repeal the so-called therapy caps on Medicare payments for outpatient physical therapy, speech-language pathology and occupational therapy services.
The therapy caps were imposed by the Balanced Budget Act of 1997. However, the Deficit Reduction Act of 2005 directed the Centers for Medicare & Medicaid Services to create a clinically-based exception process to the therapy caps for expenses incurred during calendar year (CY) 2006.
Since 2006, Congress has repeatedly extended the exception process. In fact, the Tax Relief and Health Care Act of 2006 extended the exception process through CY 2007. This was followed by the Medicare, Medicaid and SCHIP Extension Act of 2007 extending the exception process through June 30, 2008.
Most recently, the Medicare Improvements for Patients and Providers Act of 2008 extended the exception process through December 31, 2009. However, unless Congress repeals the therapy caps or further extends the exception process, the therapy caps will take effect on January 1, 2010.
According to Senator Ensign's Press Release, "[s]tudies have found that, in one year, almost 650,000 Medicare beneficiaries would have had their physical, occupational or speech-language therapy benefits prematurely ended because of this cap."
