2006 proposed fee schedule - American Society of Clinical Oncology

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felt it was reasonable to use trend analysis and correlate
the growth of Epogen and other separately billable drugs.
We expect that we will have further data for the final rule.
This procedure resulted in projected expenditures of $268
million for Epogen provided in hospital-based facilities and
$3.107 million for drugs provided in independent facilities
($2.137 million for Epogen and $970 million for other
drugs). These numbers include an estimated reduction for
the 50 cent payment for syringes of $1.6 million for
hospital-based facilities and $27.5 million for independent
facilities. We also updated the projected number of
dialysis treatments using CMS actuarial enrollment
projections. This resulted in a projected 35.4 million
treatments for CY 2006.
(2) Adjustment to Composite Rate Add-On
We then applied the 9 percent growth between projected
CY 2005 and CY 2006 aggregate drug expenditures to the
CY 2005 expected drug spread figures of $18 million for
Epogen provided in hospital-based facilities and $343
million for drugs provided in independent facilities. This
resulted in an incremental increase in the drug spread in CY
2006 of $2 million for Epogen provided in hospital-based
facilities and $31 million for drugs provided in independent
facilities. We distributed the combined $33 million over
35.4 million projected treatments, resulting in an