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Increasing Number of Cancer Care Providers, Patient Advocates Join Effort to Oppose $3 Billion Cut to Life-Saving Cancer Care

- Groups Warn Proposed Medicare Reimbursement Cut for Cancer Care Drugs Could Result in Facility Closures, Access to Care Issues for Patients -


News provided by

The US Oncology Network

Jul 22, 2011, 10:58 ET

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WASHINGTON, July 22, 2011 /PRNewswire-USNewswire/ -- As budget negotiations and debt ceiling discussions escalate on Capitol Hill, an increasing number of leading cancer care organizations and patient advocacy groups are expressing deep concern over proposed Medicare cuts to cancer-fighting drugs. This week, nine additional groups signed onto a letter, originally sent to the White House and Congressional Leadership on July 14, in which leading patient advocacy groups, community cancer care providers and healthcare professional organizations are urging both parties to oppose a proposed $3 billion funding cut to Medicare reimbursement for cancer-fighting drugs that would no doubt result in access to care barriers to patients, facility closures and healthcare job losses.

The specific measure, proposed as part of ongoing deficit-reduction talks geared toward raising the national debt ceiling, would affect reimbursement for cancer drugs and biologics by lowering Medicare reimbursement for Part B drugs to Average Sales Price (ASP) plus 4 percent – an unsustainable reduction that already financially strained community cancer centers cannot endure without cutting vital care services or closing altogether.

In the letter, the organizations wrote:

"Due to the financial and administrative burdens that currently exist, community oncology practices already are reducing services and closing their doors across the United States at alarming rates. Additional Medicare cuts will result in a delay of services if providers are forced to eliminate or cut back on services...The cumulative effect of these cuts is compounded by the fact that chemotherapy agents are reimbursed at artificially low rates under Medicare because manufacturer-to-distributor prompt pay discounts are included in the calculation of average sales price."

"In recognition of the dire financial reality currently facing community oncology practices and the access impact to Medicare beneficiaries fighting cancer, almost 50 bipartisan Congressional leaders have co-sponsored HR 905 (Whitfield/Green) and S 733 (Stabenow/Roberts) to improve the viability of community cancer care. The cuts currently under consideration take the exact opposite direction from the changes these leaders recognize must be made to preserve the nation's cancer care delivery system."

"In the face of the Medicare changes enacted through health care reform, we urge Congress to refrain from targeting for dramatic cuts the vulnerable Medicare population that requires life-sustaining cancer therapies."

Letter signatories include the American Association of Clinical Urologists, American Society of Clinical Oncology, American Urological Association, AmerisourceBergen, Association of Community Cancer Centers, Association of Physician Assistants in Oncology, BDI Pharma, Cardinal Health, Community Oncology Alliance, Health Coalition, Inc., Healthcare Distribution Management Association, Large Urology Group Practice Association, Leukemia and Lymphoma Society, McKesson Corporation, National Coalition for Cancer Survivorship, National Patient Advocate Foundation, Society of Gynecologic Oncologists, The US Oncology Network and UPMC Cancer Centers.

The groups also underscore that with more than 1.5 million new cancer cases expected to be diagnosed this year,(1) maintaining access to life-sustaining cancer care is critically important. Community cancer care practices offer unique value to patients by providing integrated clinical care services close to patients' homes, friends and family. According to a recent study by the Community Oncology Alliance (COA), over the past three years nearly 200 cancer clinics have already closed, and 369 practices with multiple locations are struggling financially due to existing reimbursement and administrative burdens.(2)

For more information, visit www.communityoncology.org.

(1) American Cancer Society – 2011 Cancer Facts &Figures - http://www.cancer.org/acs/groups/content/@epidemiologysurveilance/documents/document/acspc-029771.pdf

(2) Community Oncology Alliance – Community Impact Report Updated March 2011 - http://www.communityoncology.org/COAStudies.aspx

SOURCE The US Oncology Network

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