Bid News Blog

From: Memphis Business Journal

Cole Epley

Come July 1, the Centers for Medicare & Medicaid Services will implement a new process through which businesses that service and sell durable medical equipment and supplies will compete for Medicare business.

The program is designed to foster more competition and, in turn, influence more cost-effective supplies and service for Medicare beneficiaries.

But local businesses in the space have already sounded off on the so-called competitive bidding program — one of whom told MBJ the program is a “de facto way of not providing services” — and study results published in the May issue of the Quarterly Journal of Economics are likely to add fuel to those entities’ opposition of the program.

From: Home Care Magazine

From: HME News

by: Liz Beaulieu

BALTIMORE – Industry stakeholders believe CMS may have shot itself in the other foot when it released the names of the 799 suppliers who won 13,126 contracts as part of Round 2 of competitive bidding.

“There are glaring problems with this list,” said Wayne Stanfield, president and CEO of NAIMES. “CMS has failed on every level: They have selected unqualified companies; they have given hundreds of contracts to suppliers that have no ability to fulfill them. It goes on and on.”

From: CMS

CMS has announced the contract suppliers for Round 2 and the national mail-order program of the Medicare Durable Medical Equipment, Prosthetics, Orthotics and Supplies (DMEPOS) Competitive Bidding Program.

A list of contract supplier names is available at www.dmecompetitivebid.com. Contract supplier locations for each product category in each competitive bidding area can be found in the Supplier Directory at www.medicare.gov/supplier.

For additional information:

• Press Release
• Fact Sheet

New Name for CBIC Ombudsmen

Editor’s Note: The following is an excerpt from Medicare cuts expected in Obama budget, but not big structural changes By Jessica Zigmond published in ModernHealthcare.com.

Meanwhile, one area to watch closely in the budget is Medicaid, although sources  have said they expect  the administration to spare the program. For example, the administration  could crack down on fraud and abuse in the program; apply competitive bidding to  durable medical equipment similar to what exists in Medicare; or phase down  Medicaid provider taxes that are paid to states to help them operate their  Medicaid programs.

From: Florida Today

Sheldon Prial

Far too much money is being stolen from Medicare, which affects every recipient. These events are regularly reported in FLORIDA TODAY.

In Brevard County, there are many hard-working home medical equipment (HME) independent dealers who asked for a meeting with Congressman Bill Posey, R-Rockledge, to discuss this situation. During the meeting, they spoke about how part one of the competitive bid legislation failed, and what part two would create when it is activated. The threatened reimbursement reductions would force many dealers to close their doors.

From: Home Care Magazine

Round 2 of competitive bidding has dealt providers of diabetes supplies a roundhouse blow; how to recover?

by Greg Thompson

Tim Binkley got out while the getting was good, opting to sell the Medicare portion of Valentine’s Diabetic Supply last year. As president and CEO of the Roswell, Ga.-based supplier, he had seen enough. “We saw what happened with the first round of competitive bidding and its 56 percent cut,” he says. “It was unbelievable to think we could stay in business, and now they have cut it even more, 72 percent, with Round 2.”

Editor’s Note:  The following is the verbatim communication received from a health care provider.  CRE thanks the writer for their insights and their commitiment to caring for Medicare beneficiaries despite CMS’ policies that harm the quality of care.  The legal issue raised by the reader should be addressed by HHS/CMS.

To Whom It May Concern,

From: Home Care Magazine

CUMMING, Ga., March 15, 2013—Rob Brant of Accredited Medical Equipment Providers of America (AMEPA) has coordinated a relaunch of the White House petition to replace Medicare’s current bidding program with the Market Pricing Program. White House petitions only last 30 days and need 100,000 signatures in order to gain a response from the president. Brant believes the industry can gain well over 100,000 signatures with the use of www.savepatientaccess.com, which redirects browsers to the new White House petition link. Now patients, providers and the health care community can add their voice against the current flawed program by entering www.savepatientaccess.cominstead of a 100+ character weblink.

From: Health Care Finance News

Debra A. McCurdy, Reed Smith