Homecare Industry Urges Congress To Overturn Veto Of Medicare Bill, Which Preserves Access To Home Medical Equipment And Saves Taxpayers Billions

Main Category: Medicare / Medicaid / SCHIP
Also Included In: Caregivers / Homecare
Article Date: 16 Jul 2008 - 0:00 PDT

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Statement by Tyler Wilson, President and CEO American Association for Homecare, July 15, 2008.

It is unfortunate that President Bush has chosen to veto H.R. 6331, "The Medicare Improvements for Patients and Providers Act of 2008." This legislation would save taxpayers billions of dollars through reduced spending on home medical equipment and it would help seniors and people with disabilities to continue receive quality home medical equipment and services through Medicare.

We urge Congress to override the President's veto so that Medicare beneficiaries can live with dignity in their own homes. The Senate and the House overwhelmingly approved H.R. 6331. Overriding the veto is important for the following reasons:

- H.R. 6331, "The Medicare Improvements for Patients and Providers Act of 2008," includes improvements to the Medicare competitive bidding program for home medical equipment that will help to ensure that seniors and people with disabilities continue to have access to quality medical equipment and services at home.

- The bill saves Medicare billions of dollars in reduced payments for home medical equipment. The bill delays the Medicare bidding program, but the home medical equipment industry pays a price for the delay in the form of a 9.5 percent nationwide reimbursement reduction on the bid upon items and services. This reimbursement cut saves every dollar that the flawed program would have saved. So taxpayers win through reduced Medicare spending, and beneficiaries win because they will continue to receive quality care from their local providers.

- The legislation, H.R. 6331, also strengthens accreditation requirements by mandating an accreditation deadline and by closing a loophole that would allow unaccredited companies to provide equipment and services to Medicare beneficiaries. Accreditation for home medical equipment providers will also help to reduce fraud and abuse in Medicare. The Association has been a long-time proponent of mandatory accreditation for home medical equipment providers.

- The bidding system has been fraught with problems that have confused seniors, threatened access to care, and disqualified hundreds of accredited homecare providers. In the cities where competitive bidding has been implemented, the process has befuddled hospital discharge personnel to the point where patients are being forced to stay longer in hospitals while frantic efforts are underway to locate the hospital beds, power wheelchairs, home oxygen therapy, and other equipment and services needed for patients to continue their recovery and therapy in their homes.

The home medical community welcomes competition, but this flawed bidding program actually reduces competition and reduces quality of care and access to care. The reforms to the bidding program in the Medicare bill are a win-win for taxpayers and for beneficiaries.

It was careless and shortsighted for the Centers for Medicare & Medicaid Services (CMS) to enact a competitive bidding program before fully understanding the havoc and danger it would create for stakeholders ranging from physicians to beneficiaries and providers. Clearly, it is only a matter of time before the problems associated with this ill-advised program turn from administrative headaches to life threatening tragedies for beneficiaries and their families.

The Congress has studied the bidding program, understands its shortfalls, and now seems poised to overturn the President's veto.

Home medical equipment, or durable medical equipment, is the most cost-effective sector of Medicare as well as the smallest and slowest-growing. Homecare is not the cause of the escalating healthcare costs in the United States. It is an integral part of the solution.

The American Association for Homecare represents durable medical equipment providers, manufacturers, and other organizations in the homecare community. Members serve the medical needs of millions of Americans who require oxygen equipment and therapy, mobility assistive technologies, medical supplies, inhalation drug therapy, home infusion, and other medical equipment and services in their homes.

The Association's members operate more than 3,000 homecare locations in all 50 states. Visit www.aahomecare.org

American Association for Homecare
www.aahomecare.org