Navigation Links
Medicare Bidding Program for Charlotte, N.C. is Plagued by Errors, Says American Association for Homecare

Bidding Program Will Put Durable Medical Equipment Providers Out of Business and Disrupt Services to as Many as 174,000 of Seniors in the Charlotte Area

ARLINGTON, Va., April 7, 2008 /PRNewswire-USNewswire/ -- A new Medicare bidding program for durable medical equipment (DME) scheduled to be implemented in the Charlotte, Gastonia, and Concord areas of North Carolina on July 1, 2008, will put many DME providers out of business and could disrupt services for many of the 174,319 seniors and people with disabilities in the area who are eligible for Medicare.

In late March, DME providers in North Carolina received letters from the Centers for Medicare and Medicaid Services (CMS) explaining whether they had been offered a contract, been disqualified from bidding, or bid outside of the bidding range for a product. Those DME providers that did not receive contracts for a given Medicare item or service are shut out of the Medicare program for three years.

The American Association for Homecare has received word from hundreds of DME providers who say they have been improperly disqualified and thereby removed by CMS from the bidding process. That includes at least 10 cases of improperly disqualified bidders in the Charlotte, Gastonia, and Concord areas.

"I am hearing story after story of providers who were unfairly disqualified," said Beth Bowen, executive director of the North Carolina Association of Medical Equipment Services. "In providers' follow-up conversations with the proper authorities, they seem to get no help and those who did receive contracts are skeptical about not only the pricing but the language used in those contracts."

The congressionally mandated competitive bidding program was designed to reduce the number of homecare providers and reduce reimbursement rates for oxygen therapy, hospital beds, wheelchairs, and other types of home-based equipment and care in Medicare. Reimbursement rates are already set by Medicare and reimbursement rates for oxygen have already been cut by nearly 50 percent over the past 10 years. The DME industry has long argued that this new program will needlessly punish established, high-quality providers, reduce the DME industry's focus on service, and harm patient access to care.

The DME industry consists primarily of small to medium-sized businesses serving relatively small service areas. The average DME company receives about 50 percent of its business from Medicare patients. Loss of this business will result in layoffs and business failure for many DMEs.

"The Secretary of Health and Human Services has called home-based healthcare 'radically' more efficient than institutional care, yet the federal government is determined to aggressively dismantle the nation's homecare infrastructure at a time when our healthcare system needs it the most," said Tyler J. Wilson, president of the American Association for Homecare. "DME spending is the smallest sliver of Medicare, less than two percent of spending, and is the slowest-growing segment. Taxpayers may ultimately face higher costs as hospital stays lengthen due to more complicated hospital discharge logistics, more emergency room visits, and cost-shifting from Medicare Part B to Part A services."

The American Association for Homecare is pursuing regulatory, legislative, and legal remedies to allow for review of the cases of those DME providers that have been disqualified and is calling for the suspension of the first round of the bidding program until questions about patient access and harm to DME providers can be fully assessed.

The American Association for Homecare (AAHomecare) represents providers of durable medical equipment and related services and supplies as well as equipment manufacturers. AAHomecare members serve the medical needs of millions of Americans who require home oxygen equipment, wheelchairs and other mobility products, hospital beds, medical supplies, inhalation drug therapy, home infusion, and other medical equipment, therapies, services, and supplies delivered in the patient's home. AAHomecare's provider members operate more than 3,000 home care locations in all 50 states. See


Michael Reinemer, American Assn. for Homecare, 703-535-1881;

Beth Bowen, North Carolina Association of Medical Equipment Suppliers, 919-387-1221;

SOURCE American Association for Homecare
Copyright©2008 PR Newswire.
All rights reserved

Related medicine news :

1. Medicare Bidding Program for Dallas, Texas is Rife with Errors, Says American Association for Homecare
2. ACP reports on how scheduled Medicare pay cuts will affect patients
3. Did Medicare Reimbursement Changes Affect Prostate Cancer Treatment?
4. Medicare Bidding Program in Kansas City is Plagued by Problems, Says American Association for Homecare
5. Errors Plague Medicare Competitive Bidding Program in Ohio, Says American Association for Homecare
6. The Quantum Group Announces Increased Patient Enrollment Following Medicare Advantage Open Enrollment Period
7. Owner of Medicare Billing Service Sentenced to 10 Years In Prison For Role in $170 Million Medicare Fraud Scheme
8. Rochester Medical Applauds Improved U.S. Medicare Coverage Policy for Intermittent Catheters
9. CMS Releases Final E-Prescribing Standards in Medicare
10. Seven Miami-Area Residents Charged in $11 Million Medicare Fraud Scheme
11. Front Line Caregivers from 16 States to Visit Capitol Hill to Urge State Congressional Delegation to Reject Medicare Cuts that Could Threaten Quality Care in Nations Nursing Homes
Post Your Comments:
(Date:10/13/2015)... ... October 13, 2015 , ... ... IBM software products, introduced a new company, RightSensor™ LLC, an Internet of Things ... capability. RightSensor™ provides a fully-managed approach for customers requiring sensor hardware for ...
(Date:10/13/2015)... CHENNAI, India (PRWEB) , ... October 13, 2015 , ... ... advanced camera solutions, today announced See3CAM_CU40, the industry’s first RGB-IR pixel format ... module. See3CAM_CU40, a new member of e-con’s See3CAM family of UVC USB 3.0 cameras, ...
(Date:10/13/2015)... ... October 13, 2015 , ... Protein is essential to good health. You need ... blood. But how much protein does the average man need in order to stay ... the October 2015 issue of Harvard Men's Health Watch . Most Americans get ...
(Date:10/13/2015)... ... 2015 , ... T-System and Centegra Health System, a prominent ... visits per year, today announced the successful and rapid deployment of EV™, an ... financial outcomes. , In less than four days, Centegra Hospitals McHenry ...
(Date:10/13/2015)... ... October 13, 2015 , ... World Patent Marketing , a ... snow melting invention that helps people in clearing snow away from the streets and ... grow at 3.8% per year," says Scott Cooper, CEO and Creative Director of World ...
Breaking Medicine News(10 mins):
(Date:10/13/2015)... 13, 2015  Measurement in accountable care programs ... financial incentives, but gaps in measurement can result ... health systems. A new, peer-reviewed study published ... explores measurement gaps for high-priority conditions ... --> --> "These ...
(Date:10/13/2015)... , Oct. 13, 2015  Nanomedical Diagnostics, ... use in research and diagnostics, announces the completion ... million led by Serra Ventures. ... is providing low-cost, easy-to-use monitoring and diagnostic platforms ... decisions. The funding round will enable the company ...
(Date:10/13/2015)... 13 2015 ... the "US & European Markets for ... report to their offering. --> ... of the "US & European Markets ... (2010-2021)" report to their offering. ...
Breaking Medicine Technology: