Congress Takes a Holiday as MPP and Providers Hang With Uncertainty

With Congress on holiday from gridlock in Washington, HME leaders are still urging providers to contact their senators and representatives in hopes of getting Market Pricing Program (MPP) language included in so-called “doc fix” legislation.

The legislation is needed to halt a 27 percent cut to physician payments, and HME advocates in Washington are hoping to have the MPP language attached in an effort to moderate the extreme, devastating impact of Medicare’s competitive bidding program on the HME industry.

“It’s anyone’s guess as to what will happen in the next few weeks, or if the House or Senate will allow us to add the MPP language to a bill in the near future,’’ said a newsletter last week from the National Association of Independent Medical Equipment Suppliers. “The industry is still working in concert to ensure that the MPP provisions are attached to whatever final legislation addressing the ‘doc fix’ issues. In order to accomplish this, we must keep up the pressure on Congress.”

AAHomecare reported that the “doc fix” could be delayed until next year, which would give HME stakeholders more time to educate lawmakers about the benefits of MPP. It posted these keys points for HME industry advocates to cite when contacting a senator or representative:

The current competitive bidding system has failed and needs to be replaced at the earliest legislative opportunity
• MPP is a sustainable pricing system for HME
• MPP includes the same HME items as the current Medicare bidding program and would be implemented across the country in the same timeframe
• Two product categories are bid per geographic area. Eight additional product categories in that same area would have prices reduced based on auctions conducted simultaneously in comparable geographic areas
• Bid areas are smaller than metropolitan statistical areas (MSAs) and more homogeneous
• Bids are binding, and cash deposits are required to ensure only serious bidders participate
• The bid price is based on the clearing price, not the median price of winners
• The same areas that are exempted under the current Medicare bidding program would be exempted under the MPP