Telehealth Extension Bill Passes Energy and Commerce Committee
H.R. 7623, The Telehealth Modernization Act of 2024, successfully passed out of the U.S. House of Representatives’ Committee on Energy and Commerce on Sept. 18, extending telehealth provisions that were initially implemented during the COVID-19 pandemic and were set to expire at the end of this year. While the bill only extends these provisions until the end of 2026, it received unanimous support with a vote of 41-0, marking a significant achievement for lawmakers. U.S. Rep. Buddy Carter (R-GA), the bill’s sponsor, expressed disappointment that the telehealth flexibilities would not be made permanent but emphasized the importance of ensuring that these services remain accessible.
The legislation would continue to allow telehealth to take place regardless of location (both geographic and type of site), allowing the larger list of providers to continue to provide services via telehealth and be reimbursed by Medicare—including federally qualified health centers, rural health clinics and occupational and physical therapists—and continuing coverage of audio-only services for those with limited internet access. The prior in-person visit requirements for mental health visits that do not meet the geographic requirement or exceptions to it will also continue to be delayed.
The legislation includes several key components aimed at enhancing telehealth access, particularly for non-English speakers. Specifically, it instructs the Department of Health and Human Services (HHS) to issue and disseminate (or update, if something currently exists) guidance on best practices for facilitating and integrating use of interpreters during a telehealth encounter.
The bill will also require modifiers to be used in certain instances. No later than Jan. 1, 2026, HHS will have to establish requirements for the use of a code or modifier when: 1) services via telehealth are provided by a practitioner that contracts with an entity that owns a virtual platform used to provide the service, or 2) when the practitioner has a payment arrangement with an entity for the use of a virtual platform used to provide such services and the claims for telehealth services are billed incident to a practitioner’s professional service.
In addition to telehealth provisions, the legislation aims to improve transparency among pharmacy benefit managers by requiring clearer contractual practices and separating their compensation from drug costs.
The next step for the bill is potential inclusion in a larger spending package that will go before the full House.