Most hospitals in the United States are reimbursed by Medicare according to a Prospective Payment System (PPS) model in which payments are calculated based on pre-identified groups of services [i.e., diagnosis-related groups (DRGs)]. When Congress established the PPS in 1983, the law specified exemptions for certain groups of hospitals. One such group included a select number of designated cancer centers, referenced as PPS-exempt cancer centers (PCHs). Over the years, this number increased as several additional cancer centers were written into federal law. 1,2 The 11 centers that currently possess this status do not abide by standard PPS reimbursement or qualityreporting practices for patients covered by Medicare. 3 Recently, the role of the PPS exemption policy has been called into question, most notably by the Government Accountability Office (GAO). 4 The GAO noted that as of 2012, the complexity of patients treated at PCHs, as measured by the average Medicare risk score, the health status of Medicare beneficiaries, and the relative case mix, did not differ from that at PPS teaching hospitals. Additionally, Medicare payments at PCHs were substantially higher, estimated to be at least 0.5 billion dollars per year more than would occur under the PPS. Based on these observations, the GAO concluded that the current PPS exemption policy does not encourage cost saving and recommended that modification or cessation of the policy be considered to incentivize efficiency.