AAHomecare says DMEPOS bidding program is flawed

May 8, 2008

In testimony before a House subcommittee, a homecare organization labels the DMEPOS competitive bidding program as a train wreck.

In testimony before the House Ways and Means Subcommittee on Health, the American Association for Homecare (AAHomecare) urged Congress to suspend what it calls a controversial, flawed Medicare bidding program for durable medical equipment, prosthetics, orthotics, and supplies (DMEPOS), claiming it is "a train wreck." Past AAHomecare chair Tom Ryan testified as follows, "The bidding program is poorly conceived, it is fundamentally flawed, and it does not account for the way that homecare providers currently compete for business. But the real tragedy is the negative impact on Medicare beneficiaries. Problems with the design and operation of the bidding program will seriously reduce beneficiary access and the quality of care and products that beneficiaries currently receive." Also testifying at the hearing was the Government Accountability Office. It issued a report stating that while competitive bidding may reduce cost, adequate oversight of patient satisfaction is critical to identify problems with suppliers.

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