Say It’s Not So: O2, PWC Cuts Still Possibilities

WASHINGTON–Noting that the threat still looms and is very real,
various industry groups urged providers last week to help battle
further home oxygen and power wheelchair reimbursement cuts by
lobbying their senators and representatives.

Stakeholders thought they had sidestepped such cuts when a bill
reauthorizing the State Children’s Health Insurance Program, or
SCHIP, went to President Bush without any DME provisions to offset
its funding. But Bush vetoed the measure, and legislators have gone
back to the table to hammer out a compromise bill. According to
insiders, they have not dismissed the possibility of lowering the
oxygen cap from its current 36-month rental period, nor have they
eliminated the idea of doing away with the first-month purchase
option for power chairs.

Congress is also looking for funds to reverse, or at least
lessen, a 10 percent reduction in Medicare physician fees set to
take effect Jan. 1. Among the suggested ways to pay for the
so-called “doc fix”: HME oxygen cuts.

“As Congress tries to wrap up pending issues before year’s end,
both oxygen and power wheelchair reimbursement issues remain on the
table,” AAHomecare reported in its newsletter last week.

According to a post on the VGM Group’s Web site, as the Senate
Finance Committee struggled through Friday to shape a doc-fix
package, “What’s being heard now is rather than shrinking down the
capped rental period from 36 to 18 or 13 months, the committee is
looking at other ‘payment reforms’ that might save some money with
the understanding that arbitrarily shrinking the rental period is
still an option.”

The groups called on providers to get in touch with their
legislators to lobby against such measures.

AAHomecare “urges that providers speak with members of key
committees that have jurisdiction over Medicare (Senate Finance,
House Ways and Means, House Energy and Commerce committees),” the
association said. And VGM, along with a number of state
associations, will host a Capitol Hill call-in on Wednesday to
raise awareness of HME issues.