Proposed Rule: Medicare Program; Part B Drug Payment Model

On March 11, 2016, the Centers for Medicare & Medicaid Services (CMS) released this document as a notice of proposed rulemaking on a new payment model for Medicare Part B drugs. The new payment model for Part B prescription would reduce the physician payment from the current average sales price plus a 6% add-on to a flat-fee payment of $16.80 per drug per day plus a 2.5% add-on. Drugs covered under Medicare Part B are administered in a physician’'s office or hospital outpatient department, such as cancer medications, injectables like antibiotics, or eye care . . .