Will you get a new carrier? The Centers for Medicare & Medicaid Services has launched its Medicare contractor reform initiative - and first up is durable medical equipment.
Under the Medicare Modernization Act, CMS must conduct full and open competitions for new Medicare Administrative Contractors, which will perform the work now being handled by fiscal intermediaries and carriers in Medicare's fee-for-service program.
The agency says it chose to start with DME because the workload of the four existing DME regional carriers is stable, minimizing the risk of disruption to beneficiaries and providers.
CMS plans to release a Request for Information inviting the industry and other interested parties to share comments, questions and concerns about the pro-cess. Originally scheduled for release Feb. 1, the RFI was delayed for "technical reasons," a CMS source says.
The agency also plans to hold an Open Door Forum for additional discussion before developing a formal Request for Proposal. More information about the contracting reform process is at www.cms.hhs.gov/medicarereform/contractingreform.
Speaking before a voice vote, Finance chair Chuck Grassley (R-IA) reminded the Senate that the Medicare drug benefit and pay for performance were going to be challenging priorities.
In one of his first speeches as HHS Secretary, Leavitt suggested home care as a way to rein in Medi-caid spending, reports the National Association for Home Care & Hospice.
"There's no point in drawing a line and saying some arbitrary date," a CMS official said in the forum. "As soon as they can finalize the data, we will implement it."
Agents with the Federal Bureau of Investigation searched five offices owned by Bane Medical Services Inc. and seized various documents, according to the paper. Bane Medical is based in Plant City, FL and has offices in Bradenton, Port Charlotte, Sebring and Sarasota. Owner Ben Bane ran the business until December, when Lincare acquired it for an undisclosed amount.
The company expects the acquisitions to contribute $16 million to $17 million in revenues annually. The purchase price included $13 million in cash, a $2 million note payable over two years and about $1.5 million of Amedisys stock.
Last October, Amedisys purchased two HHAs from Winyah (see Eli's HCW, Vol. XIII, No. 36).
After a recent hospital merger, the HHAs were owned by the same parent company, the Journal says. Declining revenues contributed to the move.