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Medicare cuts for radiation therapy not as severe as expected

by Loren Bonner, DOTmed News Online Editor | November 05, 2012
ASTRO chairman Dr. Michael Steinberg

responds to CMS rule for 2013 MPFS

The final Medicare Physician Fee Schedule (MPFS) for 2013, which the Centers for Medicare and Medicaid Services released Nov. 1, will include a 7 percent cut to radiation oncology and a 9 percent cut to radiation therapy centers, figures that were less than half of what were expected, according to the American Society of Radiation Oncology (ASTRO).

In a statement, ASTRO said that CMS has also modified reductions to intensity modulated radiation treatment (IMRT) and stereotactic body radiation treatment (SBRT), added a second therapist for the delivery of IMRT and tacked on seven pieces of equipment that were not included originally. CMS is also updating several pieces of equipment for IMRT and SBRT delivery, and the current interest rate assumption of 11 percent will be replaced with a "sliding scale approach" based on current Small Business Administration maximum interest rates for different categories of loan size.

"While we remain concerned about the overall level of the cuts to radiation oncology, we appreciate that CMS heard our concerns, and we look forward to working with CMS and Congress to achieve meaningful payment reforms that place incentives on value rather than volume," Dr. Michael Steinberg, chairman of ASTRO's Board of Directors, said in the same statement.

Like many advanced imaging modalities, radiation therapy has come under scrutiny from the federal government. In July, CMS proposed cuts for the modality and many others in the 2013 MPFP. The proposed cuts called for a 15 percent reduction in payment for radiation oncology services and a 19 percent reduction to radiation therapy centers.

According to ASTRO, CMS based the proposed reimbursement levels on information in patient literature, which did not include all the preparation work required for radiation treatment.

Shortly after hearing about the cuts this summer, ASTRO urged members to help convince CMS to reconsider the cuts, explaining the impact these cuts will have on radiation oncology, especially for free-standing centers.

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