ARLINGTON, VA – The American Association for Homecare says provisions in the new health reform law will harm homecare patients and providers.
According to AAH officials, the provisions aimed at the home medical equipment sector could reduce the ability to provide the level of services that homecare patients and physicians expect in Medicare.
"Unfortunately, this health reform bill contains several provisions that will hurt homecare providers and patients," said AAH President Tyler J. Wilson. "We will continue to work with Congress in the weeks and months ahead to correct these problems."
He said the home medical sector is paying a disproportionate price in terms of funding healthcare reform.
According to the AAH, the new health reform law:
- Expands Round Two of what the AAH calls a misguided "competitive" bidding process for durable medical equipment and accelerates implementation of the pricing timetable.
- Eliminates the first-month purchase option for standard power wheelchairs.
- Imposes an excise tax on medical device manufactures ($20 billion over 10 years).
- Eliminates the 2 percent increase for Round One bidded items in 2014.
- Requires a face-to-face exam for all home medical equipment items and services.
- Includes a yet-to-be-defined "productivity adjustment" that would lower future CPI-Urban payment updates to the home medical equipment fee schedule, which will lower the annual HME update by about one percentage point annually.
"The bill accelerates the controversial 'competitive' bidding program for durable medical equipment, which simply creates a race to the bottom in terms of quality of care for Medicare seniors and people with disabilities," said Wilson. "This bid program will actually reduce competition by putting most providers out of business, even if they agree to rock-bottom reimbursement rates."
The association, along with many consumer and disability groups, supports H.R. 3790, a bipartisan bill to eliminate the bidding program and replace it with a fiscally responsible alternative that reduces Medicare spending for durable medical equipment and services.
