09/22/2026 | News release | Distributed by Public on 09/22/2026 13:20
SALT LAKE CITY-ARUP Laboratories today renewed its call for Congress to pass the bipartisan Reforming and Enhancing Sustainable Updates to Laboratory Testing Services (RESULTS) Act of 2025, warning that newly released preliminary Medicare laboratory reimbursement rates highlight longstanding flaws in the Protecting Access to Medicare Act (PAMA) of 2014, which the RESULTS Act seeks to address. The Centers for Medicare and Medicaid Services (CMS) released preliminary 2027 Clinical Laboratory Fee Schedule rates under PAMA on September 21, stating that the changes would save an estimated $1 billion annually by aligning Medicare payments with reported private-sector rates.
However, the proposed rates are based on data reported by only a small fraction of laboratories participating in Medicare and fail to reflect the broader laboratory market, according to an analysis of the CMS announcement conducted by the American Clinical Laboratory Association (ACLA). More than 20% of laboratory test codes had no reported commercial payment data, ACLA said.
ARUP joins ACLA, other clinical laboratories, patient advocates, and healthcare providers nationwide in urging lawmakers to enact the RESULTS Act, which would replace PAMA's current reporting system with comprehensive and representative commercial claims data to enable CMS to set more accurate rates.
"The CMS announcement underscores the urgent need for Congress to modernize laboratory payment policy," said Jonathan Genzen, MD, PhD, MBA, ARUP chief medical officer and senior director of government affairs. "Patients, providers, and laboratories all benefit from a reimbursement system built on complete, representative data. The RESULTS Act offers a practical, bipartisan path forward that protects access to essential laboratory services while supporting continued investment in diagnostic innovation."
Based on the preliminary rates, Medicare payments would be reduced for nearly 1,200 laboratory tests, including 775 tests facing the maximum allowable 15% reduction in 2027, with additional reductions possible in 2028 and 2029. ARUP and other industry leaders have warned that continued cuts could affect patient access to testing, particularly in underserved communities, while also limiting laboratories' ability to invest in next generation diagnostics, precision medicine, rare disease testing, and other emerging technologies.
In addition to providing CMS with more comprehensive and representative commercial claims data, the bipartisan RESULTS Act (H.R. 5269/S. 2761) would address other key shortcomings of PAMA by reducing the reporting burden, improving data accuracy, and mitigating steep payment reductions. The legislation has garnered support from more than 130 bipartisan members of Congress and nearly 70 patient and provider organizations.
"Laboratory testing is foundational to modern healthcare, guiding the vast majority of medical decisions," Genzen said. "Congress has an opportunity to adopt a commonsense solution that preserves patient access to high-quality testing and ensures the United States remains a leader in diagnostic innovation."
About ARUP Laboratories
Founded in 1984, ARUP Laboratories is a leading national reference laboratory and a nonprofit enterprise of the Spencer Fox Eccles School of Medicine at the University of Utah and its Department of Pathology. ARUP offers more than 3,000 tests and test combinations, ranging from routine screening tests to esoteric molecular and genetic assays. In addition, ARUP is a worldwide leader in innovative laboratory research and development, led by the efforts of the ARUP Institute for Research and Innovation in Diagnostic and Precision Medicineā¢. ARUP is ISO 15189 and CAP accredited. For more information, visit www.aruplab.com.
Media Contact
Bonnie Stray
801-583-2787 ext. 2823
[email protected]