Value demonstration

Acting Administrator Andy Slavitt is pitting CMS against oncologists, hospitals, the pharmaceutical industry and congressional Republicans with a proposal to conduct a massive, nationwide controlled experiment testing value-based payments for drugs provided through Medicare Part B.

The strength of the opposition to the proposed payment changes from oncologists and drug companies could not have surprised CMS, and the Obama administration has certainly come to expect a negative reaction by Republicans to any major healthcare initiative. Patient groups and Democrats might also pile on. ...