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The Therapy Operator · Issue 1 · November 2026

RTM just got harder to bill. Here is the new order of operations.

Three stories. The CY 2027 PFS proposed rule limits RTM to established patients, requires an initiating visit and counts only employed clinical staff from January 1, 2027 if finalized. The telehealth FAQ of October 8 adds modifiers BB and BC; therapy telehealth ends after December 31, 2027. The January numbers: conversion factor down 1.68%, KX threshold proposed at $2,540.
98975 to 98981 · unchanged for now Jan 1, 2027 · proposed RTM conditions BB and BC · telehealth modifiers $2,540 · proposed KX threshold

November 2026Issue 1ASP-RCM Solutions

Edition
Issue 1 Nov 2026
Focus
RTM · telehealth
Codes
98975 to 98981
Metric
$32.84 CF, proposed
Effective date
Jan 1, 2027
Horizon
Dec 31, 2027
3conditions
Established patient, initiating visit, employed clinical staff [1]
Jan 12027
Proposed effective date; final rule expected November 2026 [2]
Dec 312027
Last day of therapy telehealth under CAA 2026 section 6209 [3]
$32.84
Proposed nonqualifying conversion factor, down 1.68% from $33.40 [1]
Story 1 · CY 2027 PFS proposed rule

RTM gets three conditions of payment on January 1

Published July 14, 2026, comments closed September 14, final rule expected November. It keeps the codes and changes who can be billed for them and by whom [2].

01

The patient must already be established

Condition 1

The rule RPM returned to after the public health emergency; no RTM at the first visit.

02

A face-to-face initiating visit, with RTM discussed

Condition 2

In person or by telehealth, RTM discussed, consent obtained; separately billable. A visit where RTM was not discussed does not count.

03

Only employed clinical staff count

Condition 3

Direct employees under general supervision only; CMS wrote that contracted third-party staff cannot give adequate oversight.

04

Codes stay, for now

Solicitation only

CMS seeks comment on collapsing 17 remote monitoring codes into four G-codes, GRTM1 set-up and GRTM2 monthly bundle among them. 98975 to 98981 and 98984 to 98986 remain the plan for January.

What to do in DecemberList every patient on RTM, confirm the established relationship and the visit at which RTM was discussed, and decide who the employed staff will be if a vendor monitors today. The rest of the rule: CY 2027 therapy impact note.
Story 2 · CMS telehealth FAQ, updated October 8, 2026

Two new modifiers in January, one cliff in 2027

Through Dec 31, 2027

Section 6209, CAA 2026

  • PTs, OTs, SLPs and audiologists may furnish Medicare telehealth; from January 1, 2028 they cannot [3]

From Jan 1, 2027

Modifiers BB and BC

  • BB: contracted virtual platform; BC: incident to a practitioner
  • Required; no payment implications

Lapse, Oct to Nov 2025

Government shutdown

  • Claims paid as before October 1, 2025, as if the flexibilities never lapsed
Claim template changeAdd BB and BC from January 1, 2027 with a rule that picks the right one from how the visit was delivered. Put December 31, 2027 on the planning calendar for any service line built on video home visits.
Story 3 · The January numbers

Conversion factor down, KX threshold up, all still proposed

Nonqualifying APM conversion factor

Down $0.56 as the one-year 2.50% increase expires; qualifying APM $33.57 to $33.17

$33.40
CY 2026 final100%
$32.84
CY 2027 proposed98.3%
-1.68%

KX threshold, PT and SLP combined; OT separately

$2,480 times an estimated 2.5% MEI, rounded to $10

$2,480
CY 2026in force
$2,540
CY 2027proposed
+2.4%, proposed
ItemCY 2026CY 2027 proposedWhat it does
KX threshold, PT and SLP combined$2,480$2,540Above it KX attests medical necessity; without KX the claim denies
KX threshold, OT$2,480$2,540Separate OT accrual
Targeted medical review threshold$3,000$3,000Unchanged through 2027; indexed from 2028
One thing worth 30 minutes

The RTM roster check

Export every patient with an RTM code billed in the last 60 days, add three columns. Any no, blank or vendor is a January decision.

PatientRTM startEstablished before start?Initiating visit, RTM discussedMonitoring byJanuary action
Example ASep 3, 2026YesSep 3, 2026Employed PTNone
Example BOct 1, 2026No, first visitBlankVendorDocument the initiating visit; bring monitoring in-house or stop billing
Takeaway

Established patient, initiating visit, employed staff: in that order, documented before January. Everything here is proposed until the final rule.

What to do this week

Before December

Run the RTM roster checkEvery patient billed in the last 60 days.
Add BB and BC to the claim templateEffective January 1, 2027, picked from how the visit was delivered.
Load $32.84 and $2,540 as draftsRe-verify against the final rule before go-live.
New from our therapy deskEvery cell of the therapy payer matrix re-fetched at source October 25, 42 jurisdictions, a verbatim quote behind each. Two new guides on the 2027 figures: OT billing guide 2027, PT billing services scorecard.
Reader questions

Frequently asked questions

Can a new patient start remote therapeutic monitoring in 2027?

Not under the proposed rule: RTM only for established patients, started during a separately reportable visit at which RTM is discussed. Final rule expected November 2026.

Can a third-party company run our RTM program in 2027?

Under the proposal, no. Only clinical staff who are direct employees of the billing practice, under general supervision; contracted third-party time would not count.

What are modifiers BB and BC?

Per the FAQ of October 8, 2026, BB marks telehealth through a virtual platform the practitioner contracts with or pays for, BC telehealth incident to a practitioner's service. Required from January 1, 2027; no payment implications.

Sources
  1. CMS fact sheet, Calendar Year (CY) 2027 Medicare Physician Fee Schedule Proposed Rule (July 14, 2026)
  2. Federal Register public inspection, CMS-1847-P, CY 2027 PFS proposed rule (comments closed September 14, 2026)
  3. CMS Telehealth FAQ, updated October 8, 2026
  4. CMS, Therapy Services: KX thresholds, RTM codes, CAA 2026 section 6209
  5. CMS fact sheet, CY 2026 Physician Fee Schedule final rule: CY 2026 conversion factors

Checked October 25, 2026. Rules change; confirm against the source. Proposed items are not final until the final rule publishes.

Want your RTM roster and telehealth template checked before January?

We run the roster check on your data, mark patients and vendors that would miss the proposed conditions, and set the BB and BC rule in your template.