(2) EFFECTIVE DATE.—The amendments made 
by paragraph (1) shall apply to payment amounts 
for months beginning on or after January 1, 2008. 
SEC. 3. INCREASE IN MEDICARE PART B REIMBURSEMENT 
FOR CERTAIN CHEMOTHERAPY ADMINISTRA-
TION. 
(a) IN GENERAL.—Section 1848(a) of the Social Se-
curity Act (42 U.S.C. 1395w–4(a)) is amended by adding 
at the end the following new paragraph: 
‘‘(5) SPECIAL
RULE
FOR
CERATIN
CHEMO-
THERAPY ADMINISTRATION.— 
‘‘(A) IN GENERAL.—In the case of Medi-
care chemotherapy administration services fur-
nished on or after January 1, 2008, the fee 
schedule amount to be applied shall be equal to 
the following: 
‘‘(i) FIRST HOUR OF CHEMOTHERAPY 
INFUSIONS.—For such services described 
in clause (i), (ii), or (iii) of subparagraph 
(B), an amount equal to 132 percent of 
the fee schedule amount otherwise applica-
ble under this section (without regard to 
this paragraph) for such respective serv-
ices. 
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‘‘(ii) SUBSEQUENT HOURS OF CHEMO-
THERAPY
INFUSIONS.—For such services 
described in clause (iv) or (v) of subpara-
graph (B), an amount equal to 70 percent 
of the amount determined under clause (i) 
for services described in clause (i) or (iii), 
respectively, of such subparagraph. 
‘‘(B) MEDICARE CHEMOTHERAPY ADMINIS-
TRATION SERVICES DEFINED.—For purposes of 
this paragraph, the term ‘Medicare chemo-
therapy administration services’ means physi-
cians’ services identified, as of January 1, 
2007, by any of the following codes (or any suc-
cessor to such a code as identified by the Sec-
retary) for which payments are made under 
subsection (b): 
‘‘(i) CPT code 96413 (relating to in-
travenous infusions of initial drug up to 
one hour). 
‘‘(ii) CPT code 96417 (relating to ad-
ditional, sequential intravenous infusions of 
different drugs up to one hour). 
‘‘(iii) CPT code 96422 (relating to 
inter-arterial infusions for up to one hour). 
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‘‘(iv) CPT code 96415 (relating to in-
travenous infusions for subsequent hours). 
‘‘(v) CPT code 96423 (relating to 
inter-arterial 
infusions 
for 
subsequent 
hours).’’. 
SEC. 4. PROVISIONS FOR THE APPROPRIATE REPORTING 
AND BILLING OF PHYSICIANS’ SERVICES AS-
SOCIATED WITH PHARMACY FACILITIES MAN-
AGEMENT AND MEDICAL ONCOLOGY TREAT-
MENT PLANNING. 
(a) IN GENERAL.—Section 1848(c)(2) of the Social 
Security Act (42 U.S.C. 1395w–4(c)(2)) is amended— 
(1) in subparagraph (B)(iv)— 
(A) in subclause (II), by striking ‘‘and’’; 
(B) in subclause (III), by striking the pe-
riod; and 
(C) by adding at the end the following new 
subclauses: 
‘‘(IV) subparagraph (K) insofar 
as it relates to a physician fee sched-
ule for 2008 and each subsequent 
year shall not be taken into account in 
applying clause (ii)(II) for drug ad-
ministration services under the fee 
schedule for such year; and 
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‘‘(V) subparagraph (L) insofar as 
it relates to a physician fee schedule 
for 2008 and each subsequent year 
shall not be taken into account in ap-
plying clause (ii)(II) for medical on-
cology treatment planning services 
under the fee schedule for such 
year.’’; and 
(2) by adding at the end the following new sub-
paragraphs: 
‘‘(K) ADJUSTMENT
IN
PAYMENT
RATES 
FOR
PHARMACY
FACILITIES
MANAGEMENT 
COSTS.—In establishing the physician fee 
schedule under subsection (b) with respect to 
payments for drug administration services fur-
nished on or after January 1, 2008, and in 
order to take into account pharmacy facilities 
management costs, the Secretary shall provide 
for an additional payment for such services in 
an amount equal to 2 percent of the amount de-
termined under section 1847A for the drug ad-
ministered. 
‘‘(L) PROVISIONS FOR THE APPROPRIATE 
REPORTING
AND
BILLING
OF
PHYSICIANS’ 
SERVICES ASSOCIATED WITH PHARMACY FACILI-
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