AOPA NEWS ALERT: Federal Study Supports Competitive Bidding -- S parks Hearings on Capitol Hill
AOPA
Description
Collection
Title:
AOPA NEWS ALERT: Federal Study Supports Competitive Bidding -- S parks Hearings on Capitol Hill
Creator:
AOPA
Date:
6/13/2002
Text:
AOPA NEWS ALERT: Federal Study Supports Competitive Bidding -- Sparks
Hearings on Capitol Hill
A report released yesterday by the federal government is stirring up the
already contentious debate over the need for competitive bidding for various
Medicare services.
The report, conducted by the Office of the Inspector General (OIG) of the
Department of Health and Human Services (HHS), found that Medicare vastly
overpays suppliers for certain medical items. The report analyzed 16 common
medical supplies for which Medicare paid $1.7 billion in 2000.
According to the study, if Medicare had been charged the same prices as the
Veterans Administration (VA), Medicare could have saved $958 million. Items
examined in the study included blood glucose strips, IV stands, hospital
beds and wheel chairs and other DME items. This report has received media
attention in USA Today, and the ABC and NBC national evening news programs.
While the OIG did not look at orthotic or prosthetic devices, this and other
reports continue to support and make popular the belief that Congress should
implement competitive bidding to ensure that Medicare and its beneficiaries
are charged a fair price. This perception is one of the major hurdles AOPA
is trying to overcome on behalf of the O&P profession to combat competitive
bidding. The misconception arises when lawmakers and their staff view O&P
simply as a commodity rather than as a vital health care service and do not
recognize that competitive bidding will strip out the clinical judgment and
service components of Medicare's reimbursement rate, which will harm the
quality of patient care.
AOPA attended the Senate Appropriations Subcommittee hearing at which the
OIG report was released and reviewed by legislators. Subcommittee chairman
Tom Harkin (D-IA), who first requested the OIG report, suggested that
Medicare should simply have the VA purchase medical devices for Medicare at
the VA's contract price. Harkin did add, however, that exceptions will need
to be made for highly customized devices.
For more information please contact Walt Gorski, AOPA's manager of
legislative affairs at (571) 431-0809.
American Orthotic & Prosthetic Association (AOPA)
www.aopanet.org
330 John Carlyle Street, Suite 200, Alexandria, VA 22314
Ph: 571/431-0876 Fax: 571/431-0899
Email: <Email Address Redacted>
AOPA has been delivering successful, cost-effective business products and
solutions for over 85 years. AOPA Knows the Business of O&P. Become a
member today!
Hearings on Capitol Hill
A report released yesterday by the federal government is stirring up the
already contentious debate over the need for competitive bidding for various
Medicare services.
The report, conducted by the Office of the Inspector General (OIG) of the
Department of Health and Human Services (HHS), found that Medicare vastly
overpays suppliers for certain medical items. The report analyzed 16 common
medical supplies for which Medicare paid $1.7 billion in 2000.
According to the study, if Medicare had been charged the same prices as the
Veterans Administration (VA), Medicare could have saved $958 million. Items
examined in the study included blood glucose strips, IV stands, hospital
beds and wheel chairs and other DME items. This report has received media
attention in USA Today, and the ABC and NBC national evening news programs.
While the OIG did not look at orthotic or prosthetic devices, this and other
reports continue to support and make popular the belief that Congress should
implement competitive bidding to ensure that Medicare and its beneficiaries
are charged a fair price. This perception is one of the major hurdles AOPA
is trying to overcome on behalf of the O&P profession to combat competitive
bidding. The misconception arises when lawmakers and their staff view O&P
simply as a commodity rather than as a vital health care service and do not
recognize that competitive bidding will strip out the clinical judgment and
service components of Medicare's reimbursement rate, which will harm the
quality of patient care.
AOPA attended the Senate Appropriations Subcommittee hearing at which the
OIG report was released and reviewed by legislators. Subcommittee chairman
Tom Harkin (D-IA), who first requested the OIG report, suggested that
Medicare should simply have the VA purchase medical devices for Medicare at
the VA's contract price. Harkin did add, however, that exceptions will need
to be made for highly customized devices.
For more information please contact Walt Gorski, AOPA's manager of
legislative affairs at (571) 431-0809.
American Orthotic & Prosthetic Association (AOPA)
www.aopanet.org
330 John Carlyle Street, Suite 200, Alexandria, VA 22314
Ph: 571/431-0876 Fax: 571/431-0899
Email: <Email Address Redacted>
AOPA has been delivering successful, cost-effective business products and
solutions for over 85 years. AOPA Knows the Business of O&P. Become a
member today!
Citation
AOPA, “AOPA NEWS ALERT: Federal Study Supports Competitive Bidding -- S parks Hearings on Capitol Hill,” Digital Resource Foundation for Orthotics and Prosthetics, accessed November 2, 2024, https://library.drfop.org/items/show/218994.
