UPDATE 1-U.S. seeks 'bundled' payment for kidney dialysis

* Fixed payment covers treatment, drugs and tests

* Decision could impact Amgen, other drugmakers

By Susan Heavey

WASHINGTON, Sept 15 (Reuters) - The U.S. health insurance program for the elderly, disabled and poor is seeking to pay one lump sum for all costs related to kidney dialysis, including prescription drugs, the Centers for Medicare & Medicaid Services (CMS) said on Tuesday.

The move toward a single, so-called "bundled" payment could hurt drugmakers like Amgen Inc. (AMGN.O), which makes intravenous anemia drugs Aranesp and Epogen that are currently billed separately.

Under the proposed plan, the payment would cover dialysis treatment, clinical laboratory tests and prescription drugs, including oral drugs. The base bundled payment would be $198.64 for a dialysis session, CMS said in a statement.

With one fixed rate, dialysis providers could profit by spending less money per patient, including opting for reduced drug doses or cheaper generics.

While there are no generic alternatives to Amgen's erythropoiesis-stimulating agents (ESAs) drugs or Johnson & Johnson's (JNJ.N) rival Procrit, all of which aim to boost red blood cells, other oral drugs are used to address calcium and iron issues.

Genzyme Corp's (GENZ.O) Renvela and Amgen's Sensipar, both calcium-related drugs, could see lower payments, analysts have said. AMAG Pharmaceuticals Inc's (AMAG.O) iron supplement drug Feraheme could also see a boost if providers use it before more expensive ESA drugs, analysts have said.

The final payment rule is expected in 2010 and would apply to services on or after January 1, 2011, CMS said. It is accepting public comment on a its proposed rule until Nov. 16. (Reporting by Susan Heavey, editing by Leslie Gevirtz)