Computer Applications Unlimited, Inc.

Hopefully, you’ve had an opportunity to read Part 1 of Todd Tyson’s guest post regarding national competitive bidding. Let’s continue with Part 2:

“What does this mean for Medicare beneficiaries? Limited access, no choice, substandard equipment and services. What good can come from low bid providers being awarded contracts with Medicare? Savings sure, but at what cost? Extended hospital stays, patients’ safety concerns, restricted number of providers, elimination of 90% of small business providers.

“HME is the most cost-effective and slowest-growing portion of Medicare spending according to the most recent National Health Expenditures data from CMS. HME accounts for less than 1.5% of the Medicare budget; and, CMS hopes to expand CB to physicians, hospitals and other health care providers in order to cut costs and ration health care to seniors and people with disabilities.

“CB will likely increase spending because it will shift cost from Medicare Part B (Home) to Part A (Hospital). Longer hospital stays and cost shifting from home to the institutional setting will surely follow service disruption and limited access for beneficiaries. Currently under Medicare, a day of oxygen therapy costs less than $7 per day while a day in the hospital costs more than $5500.

“Home care is the most cost effective way to treat most patients; and, home is where most people would rather be. HME is one solution to rising health care costs; but, once again the Federal government has put our Medicare beneficiaries at risk in order to eliminate providers, because they cannot control costs, fraud or abuse in the system. Once again they want to say that providers are the crooks when they [the Feds] are the ones that issued the provider a supplier number and are responsible for policing the behavior.

“There are numerous home care heroes that are out at all hours of the day and night providing in-home services so that patients can live independently in their homes where they prefer to be. These heroes appear at a moment’s notice ready to discharge you from the hospital, follow you home to install equipment, educate/instruct patients and caregivers on proper use, and then leave only to provide 24 hour, 7 day per week on-call services and follow-up to those that need it. Congress is clueless about the services component involved with HME and only reimburses for the equipment. HME is so much more than that and deserves the recognition that HME is the solution and NOT the problem.

“Crook or Caregiver? You be the judge! Call your representatives and ask them to protect HME by sponsoring HR3790 to repeal Medicare Competitive Bidding.”

Thanks to Todd for his contribution. He’s touched on several valid points. Please comment if you have anything to add.