Ohio cancer hospitals seek higher fees

Jonathan Riskind

Jun. 18, 2008 (McClatchy-Tribune Regional News delivered by Newstex) -- WASHINGTON -- Federal legislation to grant University Hospitals a Medicare-reimbursement exemption for cancer care would result in higher payments to the Cleveland medical center than those now received by the Arthur G. James Cancer Hospital at Ohio State University.

But James officials and the office of Sen. Sherrod Brown, D-Ohio, are discussing ways to level the playing field.

The reimbursement-exemption issue is complicated and affects prestigious cancer centers nationwide.

The James is one of 11 hospitals across the country, and the only one in Ohio, to have an exemption granting higher Medicare payments than the norm for certain types of cancer treatment or for the longer hospital stays sometimes required for some cancer patients. It allows the James and other exempt institutions to both treat more types of cancer patients and attract the highest level of doctors, researchers and cancer research grants.

Sens. Brown and George V. Voinovich, R-Ohio, and Rep. Stephanie Tubbs Jones, D-Cleveland, are pushing for University Hospitals' cancer center to get the same exemption.

They aren't the only ones trying to gain new exemptions.

Lawmakers in three other states want exemptions for the Nevada Cancer Institute, the Barbara Ann Karmanos Cancer Institute in Detroit and the Cancer Institute of New Jersey. Senate Majority Leader Harry Reid, a Democrat from Nevada, is a powerful co-author of Senate legislation -- which could be added to a catch-all Medicare package -- that would grant the exemption to University Hospitals and the other three centers.

Chris Paulitz, Voinovich's spokesman, said the new exemptions would result in higher payments than those currently received by the James and other already-exempt hospitals because it ties the payments to a more current inflation rate.

However, it's possible that the rate for the James and the other now-exempt centers could be updated through legislation. Also, the rates are updated periodically by the federal Centers for Medicare and Medicaid Services. The agency is beginning to work on an adjustment.

Richard Stoddard, associate vice president of governmental affairs for Ohio State, has said that while the James doesn't oppose the new exemption, it wants to make sure the rate isn't more lucrative for University Hospitals and other centers.

The topic of how to make the rates equal was under discussion yesterday at Brown's office.

"The James Cancer Hospital is a national leader in comprehensive cancer care and a valued provider of care to Ohio Medicare patients," said Meghan Dubyak, Brown's spokeswoman. "Sen. Brown is working with the hospital to bring Medicare payments in line with the cutting-edge care that the James Cancer Hospital provides."

The James recently was involved in its own exemption battle, which it won. It needed help from Reps. Pat Tiberi, R-Genoa Township, and Deborah Pryce, R-Upper Arlington, to ensure that its exemption wasn't yanked by the federal Centers for Medicare and Medicaid Services over its planned expansion.

jriskind@dispatch.com

Newstex ID: KRTB-0147-26059391