Medicare Advanced Laboratory Diagnostics Act of 2007 - Directs the Secretary of Health and Human Services to: (1) establish a demonstration project to evaluate new approaches to coding and payment under the Medicare program (title XVIII of the Social Security Act (SSA)) for clinical diagnostic laboratory tests; and (2) appoint a standing panel to determine tests to be included in the project and make recommendations derived from project results to the Secretary of Health and Human Services.
Amends SSA title XVIII with respect to: (1) correction of erroneous determinations and other changes in fee schedule and national limitation amounts for clinical diagnostic laboratory tests; (2) issuance of regulations on gap-filling methodology in determining the Medicare fee schedule for such tests; (3) increased transparency of the process for determining fee schedule amounts for new tests; and (4) mandatory advance notice of clinical diagnostic laboratory test amounts being considered for adjustment under inherent reasonableness authority.