GAO releases Round 1 report on competitive bidding

The Government Accountability Office (GAO) last week released a report reviewing the first year of Medicare’s Competitive Bidding Program, but left critical questions unanswered.

The 74-page report was issued in conjunction with the hearing on competitive bidding by the House Ways and Means Health Subcommittee.

The GAO said Round 1 of the program was generally successful, but conceded that it was still too soon to determine the full impact on HME providers and Medicare beneficiaries.

The report also noted that utilization of some HME products dropped, but said that doesn’t mean access to products had become more difficult for beneficiaries. It said the declines could be caused by unnecessary use of products, and competitive bidding may have eliminated that waste. The full report is available on the GAO website.