Providers Must Head Off SCHIP Provisions, HME Lobbyists Say

>ATLANTA–When Congress returns to Washington in September,
the House and Senate will put together a conference committee to
hammer out a compromise bill on the State Children’s Health
Insurance Program, or SCHIP.

Just before adjourning for their August recess, House members
passed the Children’s Health and Medicare Protection Act (H.R.
3162) to expand the children’s insurance program, which covers
low-income children whose families don’t qualify for Medicaid. (See
HomeCare Monday, Aug. 6.)

Known as the CHAMP Act, the $50-billion bill would be financed
by a 45-cent tobacco tax and Medicare cuts. Within the latter, the
bill carries two onerous provisions for HME providers: an 18-month
cap on oxygen rental (with the exception of new technology) and
elimination of the first-month purchase option for power
wheelchairs.

The Senate also passed a version of the bill, but its
$35-billion SCHIP expansion would be financed by a tobacco tax of
61 cents and includes no Medicare issues.

According to Cara Bachenheimer, senior vice president of
government relations for Invacare, Elyria, Ohio, it’s unlikely that
a workable compromise can be reached because of the vast political,
policy and budget differences in the two versions of the bill. In
addition, President Bush has said he will veto any version of SCHIP
expansion that costs more than $5 billion.

That means, Bachehheimer said, the more likely outcome in
Congress’ wrangle over SCHIP could result in a small
reauthorization of the program, which is set to expire Sept. 30,
funded by a small tobacco tax.

However, she stressed, that doesn’t mean the industry is off the
hook.

Along with SCHIP, all of the industry-related bills Congress may
consider are critical to the health not only of Medicare
beneficiaries but also HME providers (see “Key Industry Bills
Await Congressional Action” in this issue).

Bachenheimer urged stakeholders to seize the opportunity to
educate lawmakers about HME while Congress is in recess. In terms
of legislators’ understanding of the issues, she continued, “There
is no question that as an industry we are light years ahead of
where we were five years ago, but you can never do enough.”

The target on the industry’s back won’t go away until
“policymakers are sure they are paying appropriately” for DME, she
said.

Seth Johnson, vice president of government affairs for Exeter,
Pa.-based Pride Mobility Products, said now is the time for HME
providers to attend the town hall meetings legislators
traditionally sponsor during the recess or invite lawmakers to
visit their businesses so they can learn more about the products,
the industry and the people it serves.

Because it is hard to predict what might happen when Congress
takes up the SCHIP legislation, Johnson said, it is crucial that
providers talk to their legislators about getting the HME
provisions excluded from the bill that will emerge from the
conference committee.

Both Johnson and Bachenheimer said federal lawmakers pay
attention when they hear from a number of constituents on any
issue. “When they get 20 phone calls, it can make a difference,”
Bachenheimer said.

“The future of our industry and the future of this legislation
is dependent on our grassroots efforts during August,” Johnson
said.

To contact members of Congress, call the U.S. Capitol
switchboard at (202) 224-3121.