HME Advocates Call on Sebelius to Follow Through on Bid Review

WASHINGTON — With the government’s response to the H1N1
flu outbreak in full swing, newly sworn in Health and Human
Services Secretary Kathleen Sebelius can begin to focus attention
on other matters. And not a moment too soon, HME observers say, as
CMS is waiting in the wings on a restart of competitive
bidding.

The former Kansas governor, confirmed in a 65-31 vote by the
Senate on Tuesday, is charged with shepherding the Obama
administration’s ambitious effort for a complete health care system
reform, which the president has said he wants completed this year.
She will also play a pivotal role in determining the future of
Medicare’s DMEPOS competitive bidding program.

One of her first tasks, insiders say, will be to choose a new
administrator for CMS, which has been rudderless since Kerry Weems
left the agency’s top spot in January. With no permanent
leadership, CMS has plunged forward with its interim final rule on
competitive bidding. Issued Jan. 16 — literally in the waning
hours of the Bush presidency — the IFR, which calls for a
rebid of Round One this year, took effect April 18.

Sebelius had indicated in Senate confirmation hearings that she
would review the bidding program before a restart.

“Now that there is [an HHS secretary] to weigh in with, the
industry continues to ask members of Congress to request that
Secretary Sebelius do a full review and be fully briefed on the
problems with the IFR before she makes a determination on how and
when to move forward,” said Seth Johnson, vice president of
government affairs for Pride Mobility Products Corp., Exeter, Pa.

“We have also heard from others in Washington that CMS has
indicated they were not planning to restart the bid process until
after the [Program Advisory and Oversight Committee] has an
opportunity to meet,” he added, “so there are a couple of things in
play that should take place prior to any restart of the
program.”

A meeting of the 17-member PAOC has been scheduled for June 4
(see related story this issue). Johnson said he expects a timeline
for the Round One rebid could be presented at the meeting, along
with any changes CMS may make within the current framework for the
bidding program.

The industry is also hoping to take advantage of a surprise move
last week by Pennsylvania Sen. Arlen Specter, who after 30 years as
a Republican, changed party affiliation to the Democratic side of
the aisle. That could help Democrats, now within one seat of a
60-vote, filibuster-proof majority, in moving any legislation.

The switch could also lend more weight to the industry’s push to
halt the IFR with Sebelius. In March, Specter wrote then-Acting HHS
Secretary Charles Johnson calling for rescission
of the bidding rule.

Specter will give the keynote speech at the American Association for Homecare’s Washington
Legislative Conference June 3, just one day before the PAOC
meeting convenes.