The Medicare Payment Advisory Commission (MedPAC) today released its annual March Report advising Congress on the Medicare fee-for-service (FFS) payment systems. In it, the commission recommended its highest ever Medicare payment update for hospitals and health systems, recognizing the dire financial environment they continue to operate in. Specifically, MedPAC recommended that for fiscal year (FY) 2025, Congress update the Medicare base payment rate for hospitals by current law plus 1.5%.