H.R. 2869, the “Medicare Patient Access to Cancer Treatment Act of 2014”

H.R. 2869 would require Medicare to pay for “cancer care services” at a blended rate that is a combination of the Medicare hospital outpatient and physician payment systems. The legislation does not require any evaluation of whether the current rates in either setting are appropriate, nor does it specify which components of the payment rate (facility fee, physician fee, supplies, services, etc) would be adjusted or upon what basis such adjustment should be made. The blended rate is to be “budget neutral,” but does not specify in what manner budget neutrality would apply.  

The legislation exempts “cancer care services” provided by specially designated cancer hospitals, which tend to receive higher Medicare payments than the free-standing clinics or hospital-owned providers.