Navigation Links
Medicare Bidding Program in Kansas City is Plagued by Problems, Says American Association for Homecare

Bidding Program Will Put Home Medical Equipment Providers out of Business and Disrupt Services to as Many as a Quarter Million Seniors and Disabled People in Kansas City Area

ARLINGTON, Va., April 4, 2008 /PRNewswire-USNewswire/ -- A new Medicare bidding program for durable medical equipment (DME) scheduled to be implemented in the Kansas City metropolitan statistical area on July 1, 2008, will put many DME providers out of business and will likely disrupt services for many of the 225,000 seniors and people with disabilities eligible for Medicare in the Kansas City area.

Last Friday, DME providers in the first ten competitive bidding regions 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 cases of disqualified bidders in the Kansas City area.

The congressionally mandated competitive bidding program was designed to reduce the number of DME 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.

"There will be many issues with patient access to care," said Rose Schafhauser, executive director of the Midwest Association for Medical Equipment Services. "Contracted providers may not be able to handle the sudden increase of service. The real losers in this program will be the Medicare beneficiaries."

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

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

Related medicine news :

1. Errors Plague Medicare Competitive Bidding Program in Ohio, Says American Association for Homecare
2. The Quantum Group Announces Increased Patient Enrollment Following Medicare Advantage Open Enrollment Period
3. Owner of Medicare Billing Service Sentenced to 10 Years In Prison For Role in $170 Million Medicare Fraud Scheme
4. Rochester Medical Applauds Improved U.S. Medicare Coverage Policy for Intermittent Catheters
5. CMS Releases Final E-Prescribing Standards in Medicare
6. Seven Miami-Area Residents Charged in $11 Million Medicare Fraud Scheme
7. 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
8. Medicare Advantage Plans Have New, Better Way to Access CMS Data
9. Two Florida Men Sentenced To Prison For Medicare Fraud
10. National, State Front Line Caregivers Warn About $64 Million Cut to Medicare Funding for Care of Michigan Seniors
11. Medicare Trustees Report Highlights Need for Reform
Post Your Comments:
(Date:11/26/2015)... Cambridge, ON (PRWEB) , ... November 26, 2015 ... ... availability of a real-time eReferral system for diagnostic imaging in the Waterloo region. ... mammography, BMD and Nuclear Medicine tests directly from their electronic medical record (EMR) ...
(Date:11/26/2015)... ... November 26, 2015 , ... PRMA Plastic Surgery is updating their record books ... their 6,000th free flap breast reconstruction surgery! , “What an accomplishment for the PRMA ... rebuild lives and it’s an honor to have served all of these women.” , ...
(Date:11/26/2015)... ... , ... Indosoft Inc., developer and distributor of the world-class Asterisk based contact ... and reliability. , The new Q-Suite 6 platform is based on the latest Java ... into a specific piece of software for many key components of the suite. Much ...
(Date:11/25/2015)... Cokato, MN (PRWEB) , ... November 25, 2015 , ... ... Thanksgiving through Christmas Eve on several models of traditional and far-infrared saunas. ... . Nordic Spruce is the most traditional Finnish sauna wood, and Finnleo uses only ...
(Date:11/25/2015)... ... November 26, 2015 , ... ... (AUC), European Union (EU), ANDI Pan African Centres of Excellence, and public R&D ... Nairobi (UNON) for the opening of the 5th African Network for Drugs and ...
Breaking Medicine News(10 mins):
(Date:11/25/2015)... Nov. 25, 2015  ARKRAY USA ... to provide evidence demonstrating the accuracy of its blood ... on Insulin Resistance, Diabetes and Cardiovascular Disease in ... the Company,s GLUCOCARD ® 01 meter and the ... requirements. The ability to accurately measure glucose levels in ...
(Date:11/25/2015)... issue of United States patent No. 9,192,509  entitled: " Methods and Apparatus ... AVACEN 100 dry heat therapy medical device and specific methods of use, referred to by the ... - ... ... ...
(Date:11/25/2015)... , November 25, 2015 ... Investors"), pursuant to which BioLight and the New Investors ... Ltd. subsidiary ("IOPtima") via a private placement. The financing ... its innovative IOPtimate™ system used in the treatment of ... pathway process for the IOPtimate™ system with the U.S. ...
Breaking Medicine Technology: