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<strong>CMS</strong>-1403-FC<br />

believe it would be appropriate to provide an increase that<br />

cannot be substantiated by the best data available.<br />

Therefore, we are finalizing our proposal to provide a<br />

zero update to the drug add-on adjustment for CY 2009. If<br />

the statute had included, instead of the word “increase,” a<br />

broader term, we believe we would have had authority to<br />

decrease the rate to take into account the projected<br />

reduction.<br />

4. Final Growth Update to the Drug Add-On Adjustment for<br />

2009.<br />

As we indicated earlier, we have decided not to use<br />

CY 2007 expenditure data to estimate utilization growth for<br />

CY 2009, because of the potential distortion of our<br />

estimates due to the implementation of the ESA monitoring<br />

policy in 2007. Therefore, for this final rule with<br />

comment period, we are using the same data we use to<br />

estimate growth in utilization for CY 2008 as outlined in<br />

the CY 2008 PFS final rule with comment period<br />

(72 FR 66282). That is, for CY 2009, we estimate no growth<br />

in per patient utilization of ESRD drugs for CY 2009.<br />

Similar to the CY 2009 PFS proposed rule, we estimated<br />

growth in ESRD drug prices using ASP pricing data for CYs<br />

2006, 2007 and 2008. In the proposed rule, we had only<br />

2 quarters of data for 2008, but for this final rule all<br />

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