CHAMP Act’s Cuts Draw Strong Response; AARP Is Unexpected HME Foe

ATLANTA–News of the so-called CHAMP Act’s oxygen and power
wheelchair provisions–legislation proposed in the House of
Representatives that would reduce the 36-month oxygen rental cap to
18 months and eliminate the first-month purchase option for power
wheelchairs–spurred a number of industry stakeholders into action
last week.

The Council for Quality Respiratory Care, a coalition of 11 key
manufacturers and providers, fired off a letter to House Speaker
Nancy Pelosi, D-Calif., and Minority Leader John Boehner, R-Ohio,
in hopes of keeping the oxygen provision out of the bill, which is
designed to expand the State Children’s Health Insurance
Program.

“Proposals to cap Medicare payments for vital home oxygen
therapy at 18 months would severely impair the provider community’s
ability to ensure access to quality home oxygen services,” CQRC
said in the letter. “Of the more than one million frail and
vulnerable beneficiaries currently relying on oxygen therapy in
their homes, 35 percent will feel the direct, damaging and
potentially irreversible effects of such profound cuts in this
critical benefit.”

The letter also noted the “sweeping changes to the home oxygen
benefit” via the Medicare Modernization Act, which mandated
competitive bidding, and the Deficit Reduction Act, which mandated
the 36-month cap, both of which are in the process of being
implemented. New studies show those actions will slice
reimbursement by about 19 percent, according to the group, which
includes Air Products Healthcare, AirSep, American HomePatient,
Apria, DeVilbiss Healthcare, Invacare, Lincare, Pacific Pulmonary
Services, Praxair, Respironics and Rotech.

“We are deeply concerned that further changes in Medicare’s
payment structure or reducing funding for home oxygen at this time
would deal a devastating blow to providers and the patients who
rely on their care,” the CQRC said.

The letter was also signed by the American Association for
Homecare and advocacy groups including the Coalition for Pulmonary
Fibrosis, COPD Alert-National Patient Support and Advocacy Group
and the National Emphysema/COPD Association.

Wayne Knewasser, vice president of public relations and
government affairs for Premier HomeCare, Louisville, Ky., and
AAHomecare secretary, said when he first became aware of the bill’s
oxygen and power wheelchair provisions, he put 25 to 30 of his
employees on the phones to the offices of legislators to make them
aware of the ramifications.”

AAHomecare, Waterloo, Iowa-based buying group VGM and the
Georgia Association of Medical Equipment Suppliers, to name a few,
all sent members a call to action encouraging them to reach their
legislators.

But their efforts were tripped up, in part, by the AARP, which
has long been considered a friend to Medicare beneficiaries. The
mighty organization for seniors championed passage of the House
bill and said it will continue to press Congress to make the CHAMP
Act a reality.

“The AARP and other groups are talking so positively about this
legislation and they are not identifying the group of beneficiaries
that use oxygen and power mobility. Why are they not defending
these beneficiaries?” asked Knewasser. “You can agree that the
SCHIP program is a beneficial program for the health and welfare of
the children, but you can also disagree with [how they plan to pay
for it].”

Instead of funding the SCHIP expansion completely through an
increase in cigarette taxes, House members elected instead to cut
reimbursements for DME. “It’s just a crazy thing to think that the
tax on cigarettes is being held back in exchange for oxygen
reimbursement,” Knewasser said.

The AARP’s stance on the issue needs to be addressed, and now is
the time for providers to muster their muscle and make the issues
known not only to legislators but to beneficiaries as well, he
said. “We need to let the beneficiaries know that these groups are
not truly representing everybody,” said Knewasser, adding that he
has already alerted a Medicare advocacy group for beneficiaries
about the issue.

According to one GAMES member, “If we can sufficiently convince
[AARP] of the harmful consequences to their members, then they
would have to swing into action (or risk advocating for ‘Americans
of all generations’ at the expense of their own members, which
would be contrary to their explicit priorities). AARP will be
either a strong ally or a strong foe. I think they typically will
be one of our strongest allies, unless they misunderstand the
issues–as is apparently the case here.”

For the full text of the CQRC’s letter to Congress, click here.

To read an AARP press release in support of the CHAMP Act,
click here.

To contact AARP about the CHAMP Act, call Nora Super, senior
legislative rep, at (202) 434-3770.