Home Health & Hospice Week

Beneficiaries using durable medical equipment in nine competitive bidding areas are set to see their choices severely restricted in a few short weeks.

At this late date, DME suppliers seem resigned to bidding taking effect without any lastminute reprieve from Congress. But they are still working hard to point out flaws in the program.

For example: Wheelchair and DME manufacturer Invacare Corp. reports that nearly onethird of round one bid winners have shaky finances. More than 8 percent have credit limits of less than $10,000 with Invacare, meaning they can buy very little product, Invacare says. And more than 5 percent are on credit hold (meaning they cannot purchase any product), reports the American Asso-ciation for Homecare.

Nearly 7 percent are so far behind on their payments that their accounts have been turned over for collections or legal process, Invacare says. And 14 percent have no account with the company, meaning they may be brand new and inexperienced firms, AAHomecare warns.

"The Medicare bidding program will impose unsustainably low reimbursement rates and will dramatically and artificially reduce the number of allowed companies to provide the bid-upon items and services," the trade group protests. Bidding is scheduled to expand to 91 areas next year.