New bipartisan legislation takes aim at the physician shortage

New bipartisan legislation takes aim at the physician shortage © Philip - stock.adobe.com

Reps. Terri Sewell (D-Alabama) and Brian Fitzpatrick (R-Pennsylvania) have introduced bipartisan legislation that aims to counter the ever-looming U.S. physician shortage by expanding Medicare-funded medical residency positions and increasing support for rural training programs.

Rep. Terri Sewell (D-Alabama) © sewell.house.gov

The Resident Physician Shortage Reduction Act of 2025 would add 14,000 Medicare-supported graduate medical education (GME) slots over a seven-year period, with the first round of positions becoming available in fiscal year 2026.

Rep. Brian Fitzpatrick (R-Pennsylvania) © fitzpatrick.house.gov

The bill would also make permanent the Rural Residency Planning and Development (RRPD) Program, a federal initiative to establish and support training programs in underserved rural areas.

Addressing the crisis

“Our nation’s doctor shortage threatens to make it harder for millions of Americans to access the lifesaving care they depend on,” Sewell said. “The situation is especially dire for rural communities like the ones I represent.”

The U.S. could see a shortfall of up to 86,000 physicians by 2036, according to the Association of American Medical Colleges (AAMC). The combination of an aging population, growing demand for care and a retiring physician workforce has created a bottleneck in the nation’s supply of doctors — one exacerbated by the decades-old cap on Medicare-funded residency slots.

“Access to care begins with access to doctors,” said Fitzpatrick. “Right now, we simply don’t have enough. Communities across the country are already feeling the strain … This bipartisan legislation delivers a targeted, long-overdue solution by expanding residency training and reinforcing the backbone of our health care system.”

How it works

The legislation calls for the U.S. Centers for Medicare & Medicaid Services (CMS) to distribute 2,000 new residency positions annually between 2026 and 2032. One-third of those positions would be reserved for hospitals already training residents above their current Medicare caps. At least 10% must be allocated each year to specific categories, including rural hospitals, hospitals in states with new medical schools and those in federally designated Health Professional Shortage Areas (HPSAs).

Hospitals must demonstrate their ability to fill the new positions and sustain primary care or general surgery training. CMS would prioritize facilities affiliated with historically Black medical schools or other underrepresented institutions.

The bill also caps the number of new positions a hospital can receive at 75 over the seven-year period, though that cap could increase if CMS receives fewer qualifying applications than anticipated.

The legislation has drawn strong support from major medical organizations.

“The AAMC endorses this legislation as a crucial step toward helping address the physician shortage and improve access to care for patients nationwide,” said an AAMC statement.

David J. Skorton, M.D., president and CEO of AAMC, also voiced the organization’s support. “We appreciate Reps. Sewell and Fitzpatrick’s unwavering support for federal investment in physician training. Their commitment reflects an understanding of the urgent need for communities nationwide to have access to the quality health care they deserve.”

Immediate past president of the American Medical Association, Bruce A. Scott, M.D., called the bill “a critical step” in addressing the growing physician shortfall and said it would help ensure that more Americans “have access [to] well-trained physicians in their communities.”

Bolstering rural pipelines

Alongside expanding residency slots, the bill would codify and fund the Rural Residency Planning and Development Program. The RRPD provides grants and technical assistance to help rural hospitals and health systems establish accredited training tracks that are more likely to retain physicians in rural practice.

“Reducing barriers to establishing residency programs will allow rural teaching hospitals to train more physicians,” Skorton said. “Doctors who train in rural communities are more likely to practice in rural communities.”

The bill authorizes $12.7 million annually through 2030 to support the RRPD and its technical assistance arm.

Next steps

The bill was introduced June 10 and awaits committee referral. It joins a growing list of bipartisan efforts in recent years to increase the nation’s physician workforce.

With support from both parties and major medical associations, advocates hope the legislation will gain traction in a Congress that is otherwise divided on many issues of health policy.

“Now more than ever, we must invest in Medicare-supported graduate medical education and expand the physician workforce,” Skorton said. “The AAMC is committed to improving the health of people everywhere, and this bipartisan legislation is a critical step toward accomplishing that goal.”