Navigation Links
PMC Questions Methodology of OIG Report on Power Wheelchair Acquisition Costs

WASHINGTON, Sept. 8 /PRNewswire/ -- Using flawed methodology and incomplete data, the Department of Health and Human Services (HHS), Office of the Inspector General (OIG) released a report, entitled Power Wheelchairs in the Medicare Program: Supplier Acquisition Costs and Services (OEI-04-07-00400) examining acquisition pricing by providers for a sample of standard and complex rehabilitation power wheelchairs available to Medicare beneficiaries. If readers incorrectly draw conclusions that low acquisition costs equates to high profit margins, then the PMC questions the completeness of the study and its usefulness to policymakers. To obtain a more accurate and complete measure of power wheelchair pricing, the PMC insists that the OIG conduct a thorough analysis that examines both acquisition costs and mandatory provider outlays necessary to partner with the Medicare program.

In their report, the OIG admittedly failed to calculate costs of the services provided as well as overhead expenses, including salaries, fuel, transportation, rents, inventories, home assessment and beneficiary assistance in billing Medicare. Additionally, many providers have aggressively adopted the Centers for Medicare and Medicaid Service's (CMS's) initiatives to fight fraud by earning accreditation and acquiring surety bonds prior to the mandated deadline, which has significantly raised overhead and administrative costs. As PMC Director Eric Sokol explains, "Increased Medicare standards and documentation confusion has raised the cost to providers of partnering with the Medicare program. As provider liabilities increase, the acquisition cost of equipment is a shrinking component of the provider's cost structure."

Moreover, Medicare reimbursement for power wheelchairs has decreased dramatically since 2006. Both CMS and Congress have cut Medicare reimbursement for standard power chairs by over 37% in that time period. Additional cuts are anticipated when CMS implements competitive bidding for certain durable medical equipment, including standard power wheelchairs, in January 2011. For this reason, the PMC agrees with CMS that the agency should not initiate unilateral authority, through inherent reasonableness, to cut the Medicare fee schedule further for standard power wheelchairs until such a time as the competitive bidding program has been correctly implemented.

Access to quality power wheelchairs saves the Medicare program resources by making beneficiaries safe in their environment, allowing them to avoid costly hospitalizations and procedures. Further downward pressure on pricing will force some providers out of the Medicare market, jeopardizing access to this life enhancing medical equipment to eligible beneficiaries.

A complete copy of the OIG report can be found at:

The Power Mobility Coalition (PMC) is a nationwide association of manufacturers and suppliers of motorized wheelchairs and power operated vehicles based in Washington, D.C.

SOURCE The Power Mobility Coalition
Copyright©2009 PR Newswire.
All rights reserved

Related medicine news :

1. The 7 Key Questions About the Schwarzenegger/Nunez Health Care Compromise
2. Study Questions Dead-End Cancer Clinical Trials
3. 6 Years Later, 9/11 Health Questions Linger
4. RFID Implant Cancer Questions Concern Patients
5. Study Questions Genetic Screening for Treatable Diseases
6. New study questions the validity of publishing hospital mortality rates
7. Study Questions Flu Shots Value for Older People
8. Frequently Asked Questions When Considering a Colorectal Cancer Screening Test, From the American College of Gastroenterology
9. Study questions assumptions about human sensitivity to biological motion
10. Childrens Miracle Network Hospital Doctors On Call to Answer Questions About MRSA Infection
11. New study questions disparities in vascular surgery among Hispanics
Post Your Comments:
(Date:12/1/2015)... , ... December 01, 2015 , ... Lutronic, a leading ... Clarity, the latest addition to the devices for sale in the United States. ... Alexandrite and long-pulsed 1064 nm Nd:YAG lasers, into a single platform that is easy ...
(Date:12/1/2015)... ... 01, 2015 , ... PYA’s latest white paper, “ PYA ... main “pain point” for merging or aligning healthcare provider organizations—when mergers and other ... This quick-read guidance suggests that failing to recognize the power of an ...
(Date:12/1/2015)... ... December 01, 2015 , ... PartnerTech , ... membership and leadership since 2008. Gary Bruce, President of PartnerTech North America, currently ... spent a significant amount of time in Sweden since joining PartnerTech based in ...
(Date:12/1/2015)... ... December 01, 2015 , ... Nurotron Biotechnology Co., Ltd., maker ... order to date. , The order will be from the China Disabled Persons’ ... Implant System is an effective solution for children and adults suffering from severe ...
(Date:12/1/2015)... Charlotte, NC (PRWEB) , ... December 01, 2015 ... ... NHS Foundation Trust on receiving the 2015 HSJ Acute Sector Innovation Award on ... of improving the patient care experience, and propose exciting enhancements to the medical ...
Breaking Medicine News(10 mins):
(Date:12/1/2015)... BOSTON , Dec. 1, 2015  The ... (HCOs) to develop shared care plans that help ... These care plans will be digitally enabled, incorporate ... unique needs and desires. They will also allow ... a patient,s health journey is optimal. That is ...
(Date:12/1/2015)... Germany , December 1, 2015 /PRNewswire/ ... leading global manufacturer of eye and gaze tracking solutions, ... SMI remote eye trackers as a component of its ... concussions, eye sight, and medical and performance issues in ... part of SMI,s mass-market-ready eye tracking platform, which is ...
(Date:12/1/2015)... THE WOODLANDS, Texas , Dec. 1, ... LXRX )  announced today that top-line data ... results of telotristat etiprate in treating carcinoid ... tumors consistent with the clinical benefit observed ... study was designed as a companion to ...
Breaking Medicine Technology: