VGM Backs New HME Accrediting Body

WATERLOO, Iowa–A new company backed by The VGM Group has been
created as an accreditation body for HME providers.

According to Executive Director Mary Nicholas, Healthcare
Quality Association on Accreditation was formed specifically for
the HME industry in response to the Medicare Modernization Act,
which mandates that all Medicare providers be accredited. The
organization debuted at VGM’s Heartland Conference last week.

VGM had considered the idea of forming an accreditation agency
for years, but began serious research about a year ago, Nicholas
said. “We were asked by VGM members to try to make the
accreditation process more relevant to HMEs and less expensive in
both out-of-pocket cash and staff time,” she said.

“VGM saw a huge need, partly with members and partly across the
industry,” she continued. “Anywhere between 60 to 70 percent of
providers are not accredited. We are well-equipped to offer an
accreditation alternative … and with thousands of HMEs requiring
accreditation in a relatively short period of time, we felt we
couldn’t wait any longer.”

CMS is expected to finalize quality standards for DME providers
this summer and, by the end of the year, designate accrediting
bodies to enforce them. Some industry-watchers have questioned
whether the accrediting organizations currently in existence will
be able to handle the massive number of suppliers expected to apply
for accreditation. In HomeCare magazine’s 2005 Forecast
survey, only 44 percent of responding providers said their
companies were accredited.

HQAA has followed CMS’ guidance about its accreditation
expectations to date, and the agency “was very open to the idea of
a new company coming into this process,” Nicholas said. “We are
confident that we’ll meet the expectations as an accreditation
agency with CMS recognition.”

Nicholas said accreditation by HQAA will include a site visit
when a provider determines his business is ready. But she noted
that the process will be Internet-based and entirely paperless. “My
Workroom” will offer real-time support, allowing providers to
exchange information with HQAA coaches in a personalized
accreditation “workroom.” Pricing will be competitive, according to
the company, and will be customized for each provider.

VGM has committed $500,000 to the non-profit entity, which will
be housed in a separate office building in Waterloo and governed by
a board of directors made up of industry experts. The organization
is expected to stand on its own within a year.