MIMEDX Comments on Proposed Medicare Reimbursement Rule Changes for CY 2026

Core Insights - The Centers for Medicare and Medicaid Services (CMS) proposed a new reimbursement mechanism for skin substitutes, moving from the Average Sales Price (ASP) methodology to a fixed price of $125.38 per square centimeter [2][3] - The skin substitute market has seen a significant increase in Medicare spending, rising from approximately $1.5 billion in 2022 to nearly $10 billion in 2024, highlighting the need for reimbursement reform to combat fraud, waste, and abuse [3] Company Positioning - MiMedx Group, Inc. supports the proposed reimbursement changes and believes that reform is necessary to restore rational market behavior and benefit stakeholders, taxpayers, and patients [2][3] - The company is well-positioned to thrive in an environment where product capabilities, backed by strong clinical evidence, influence selection and usage [3] Upcoming Developments - The Wasteful and Inappropriate Service Reduction (WISeR) model, Local Coverage Determinations (LCDs), and the Physician Fee Schedule (PFS) rules are set to be implemented on January 1, 2026 [3] - The Hospital Outpatient Prospective Payment System (OPPS) is also expected to be released in proposed form, with implementation slated for January 1, 2026 [4]