This act establishes a mandatory, value-based case rate payment system for Medicare radiation oncology services to incentivize quality care and cost efficiency while protecting patient access and offering transportation assistance.
Brian Fitzpatrick
Representative
PA-1
The Radiation Oncology Case Rate Value Based Program Act of 2025 establishes a new Medicare payment system that pays providers a single, set rate for an entire episode of radiation therapy care, rather than paying for individual services. This program aims to incentivize high-quality, efficient care while achieving cost savings for Medicare. It also includes specific provisions to support patient access, such as a health equity bonus for addressing transportation insecurity. Finally, the bill exempts the savings generated by this new payment structure from standard Medicare budget neutrality adjustments.
This bill, the Radiation Oncology Case Rate Value Based Program Act of 2025 (ROCR Program), is a major change to how Medicare pays for cancer radiation therapy. Instead of paying providers for every single service—a classic fee-for-service model—Medicare will now pay a single, fixed price for an entire "episode of care" for common cancers like breast, lung, and prostate cancer. Think of it like buying a subscription service for treatment rather than paying per session.
Congress is pretty clear on why they’re doing this: the old system encouraged providers to do more treatments (volume), even if it wasn't the most efficient or highest-value care. The ROCR Program flips this script. Providers will get 80% of the total payment upfront, within 30 days of the first treatment. This bundled payment covers all professional and technical services for that 90-day episode. The goal is to reward providers who deliver high-quality, efficient care that meets the patient’s needs the first time around. If you’re a patient, this means your provider is now incentivized to get you through treatment effectively, rather than just running up the clock.
One of the most interesting parts of this bill is the dedicated focus on patient access. The ROCR Program includes a Health Equity Achievement in Radiation Therapy add-on payment. If a provider screens a patient and finds they suffer from "transportation insecurity" (meaning they recently missed appointments due to lack of reliable transport), the provider gets a $500 bonus for that episode. This money is specifically earmarked for transportation services like car rides or public transit. For a patient trying to juggle work and family while getting daily radiation treatments, this $500 could be the difference between completing treatment and dropping out—a huge deal, especially in rural or underserved areas. To make sure providers can actually offer these rides without running afoul of complex anti-kickback laws, the bill explicitly creates an exemption for offering free or discounted rides to established patients, provided the rides aren't marketed and the provider covers the cost.
Payment isn't just bundled; it’s tied to quality. Providers who are accredited by recognized bodies (like the American College of Radiology) get a 1% bonus on the technical portion of their payment for the first two years. After that grace period, the pressure ramps up: providers who fail to meet the quality requirements will see their episode payment cut by 2.5%. This is a serious penalty designed to push every provider toward higher standards and modern technology. However, the Secretary of HHS can grant exemptions for "limited resource" providers—those serving rural or low-income areas—so hopefully, this doesn't accidentally force smaller, crucial practices out of business, which would hurt patient access.
Here’s where the policy gets a little tricky. While the ROCR Program is designed to save Medicare money on radiation oncology, the bill explicitly says that any savings generated cannot be used to offset overspending in other parts of Medicare (like hospital outpatient services or physician fees). This is called exempting the program from "budget neutrality adjustments." What does that mean for you? It means that if this program saves $1 billion, that money isn't available to reduce costs or increase payments elsewhere in the system. It locks the savings out of the broader Medicare budget calculations. While this protects the ROCR program from being raided to fix other budget issues, it also means the overall burden on the Medicare system might not be reduced as much as it could be, potentially shifting cost pressures elsewhere.