Seems that members of Congress—in both parties and in both chambers—have chosen to take sides with Big Pharma over the Obama administration when it comes to finding ways to reduce drug costs in Medicare. House Democrats sent a letter this week to the Centers for Medicaid & Medicare Services with a litany of demands intended to slow implementation of a test they're getting ready to start to get doctors and facilities providing outpatient services to use lower-cost, but just as effective, drug treatments. Because it would save Medicare some money. But it could also eat into providers' income and pharmaceutical sales, so of course those groups hate it. And now the Senate is getting in on the opposition.
Senate Finance Committee members from both parties told the CMS on Thursday not to go forward with a Medicare Part B initiative to change how hospitals and doctors are reimbursed for outpatient drugs. […]
Republicans on the Senate Finance Committee urged the CMS in a letter to withdraw the rule because the widespread and drastic changes could impact care for some patients. They said the agency did not consult with outside experts when changing the rule and only had “a hunch” that it would work. […]
In their letter, committee Democrats said the model's changes are too “significant and complex” to implement without more research and added measures to protect consumers.
It's worth reiterating again that CMS is testing these proposals to control costs. Yes, that test will mean some providers will have their revenue capped, but they'll still be able to administer whatever treatment they believe is most appropriate and necessary for their patients. This isn't incentive to provide cancer patients with sub-standard treatment—it's intended to make sure that the system has some cost-efficiency.
What's most discouraging about this development is the fact that there's still bipartisan reluctance to take on Big Pharma, a fight that absolutely must happen to get a handle on the nation's climbing healthcare costs—private and public. It doesn't bode well for the short-term hopes of significant healthcare reform building on Obamacare.