Policy & oversight
MedPAC Opens Its New Study Cycle With Plans to Examine Part D Spending Growth, Medicare Advantage Trends, and Physician Payment Adequacy
The congressionally chartered Medicare advisory commission met September 3 and 4 to launch its 2026-2027 research agenda, which centers on prescription drug cost trends and the adequacy of what Medicare pays hospitals, doctors, and nursing homes.
By the Goodsurance editorial teamSeptember 6, 2026
The Medicare Payment Advisory Commission held its first public meeting of the 2026-2027 cycle on September 3 and 4 in Washington, D.C. The commission released its analytic agenda for the year, covering six main areas it will study before issuing payment recommendations to Congress.
The largest theme is Medicare Part D spending. MedPAC will analyze recent trends in drug program costs, including the effects of the 2025 benefit redesign, which reduced enrollees' cost sharing but is also expected to increase overall program spending. The commission will examine whether the redesign's financial incentives are functioning as intended.
MedPAC is studying Part D cost growth, Medicare Advantage trends, and whether Medicare pays doctors and hospitals enough this cycle.
A second area covers Medicare Advantage and Part D program status. The commission will update its standing analysis of how these programs serve beneficiaries and what they cost the federal government.
Third, MedPAC will assess the adequacy of Medicare's fee-for-service payment rates for hospitals, physicians, outpatient dialysis facilities, skilled nursing facilities, home health agencies, inpatient rehabilitation facilities, and hospice programs. These assessments produce the formal payment update recommendations the commission releases each March.
Additional areas include Medicare beneficiary enrollment processes and information, the effectiveness of quality measurement and value-based purchasing programs, and ambulatory surgery center payment policy.
MedPAC is an independent body; its recommendations inform Congress but carry no force of law. Congress and CMS frequently consider them during rule-making.
In plain words
A group called MedPAC advises Congress on Medicare. It held its first meeting of the year on September 3 and 4. This year MedPAC plans to study how much Medicare is spending on prescription drugs, whether Medicare Advantage plans are working well, and whether Medicare is paying doctors and hospitals fairly. The group shares its findings with Congress every year, and lawmakers often use them when writing new Medicare rules.
Understand the basics first
Source: MedPAC
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