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Capitol Health Call
October 13, 2004

Reimbursement for Cancer Drugs

JAMA. 2004;292(14):1673. doi:10.1001/jama.292.14.1673-d

The Centers for Medicare and Medicaid Services (CMS), in presenting its preliminary physician fee schedule for 2005, is proposing cutting reimbursement to physicians for administering several chemotherapy drugs.

CMS said the proposed changes are a result of implementation of the Medicare Modernization Act of 2003. These changes are expected to save the government $530 million during the upcoming fiscal year and $270 million during the following year. Some have suggested the changes could reduce oncologist practice revenue by between 2% and 8% annually.

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