Archive: July 2007
Price of lead goes crazy
July 31, 2007HME News Staff
The price of lead keeps rising like a helium balloon, setting new records almost every week and weighing heavy on the minds of battery manufacturers.
"It's unbelieveable," said Wayne Merdinger, director of marketing for MK Battery in Anaheim, Calif. "It's really a significant issue for anyone involved in power mobility. Lead represents 65% of the cost of the battery."
On June 27, the price of lead hit $2,518.5 per metric ton. That compares to $2,000 a metric ton in late February and roughly $500...
K0011 leaves mixed legacy
July 31, 2007HME News Staff
BALTIMORE - It's gone now, the most famous and infamous HCPCS code in the history of the durable medical equipment fee schedule: the K0011.
Hatched in 1993, embraced by the industry in 1996 and besmirched by wheeler-dealers throughout the late 1990s and the early 2000s, the K0011 changed the way seniors maneuvered through their golden years and the way the nation thought of HME suppliers.
A faint blip on the radar screens of most Americans before the Wheeler Dealer scandal broke in September 2003,...
The OIG says: You got me
July 31, 2007HME News Staff
WASHINGTON - The OIG raised the white flag in mid June, admitting it had no idea how to determine when providers charge Medicare too much for products and services.
In a proposed rule issued in 2003, the OIG indicated that it would consider a claim "substantially in excess" if a provider charged Medicare more than 20% of what other customers usually paid for the same product. The impetus for this: Tto prevent providers from gouging Medicare. But as times change and providers look to offset Medicare...
M&A market on hold
July 31, 2007HME News Staff
YARMOUTH, Maine -The impact of national competitive bidding on the still slumping mergers and acquisitions market won't be determined until CMS awards its contracts in December, say industry sources.
"Once we see what numbers come out of it, some of the uncertainty will go away," said Rick Glass, president of Steven Richards & Associates in Tarpon Springs, Fla. "That's one of the reasons why the market has stalled--the uncertainty."
Further certainty will come when CMS implements new fee schedules...
A juggling act for providers
July 31, 2007HME News Staff
It's becoming increasingly difficult for nebulizer medication providers to dispense Xopenex, a brand-name version of albuterol, say industry sources. The latest average sales prices make it certain many will discontinue dispensing the drug altogether, they say.
July 1 marked the first quarter of Xopenex and albuterol getting paid under the same code at $1.31 pre-unit dose. The steep drop for Xopenex--down from $3.84--makes it a money loser, providers say.
"We'll most definitely cut back," said Sam...
Mobility group tackles industry issues
July 31, 2007HME News Staff
Members of RESNA's wheeled seating and mobility task group, known as SIG09 (special interest group 09), discussed plans to increase its stature in the industry at the organization's annual conference June 15-19 in Phoenix.
"We used to be big and powerful, then we split into different directions," said Chairman Mark Schmeler, referring to the various groups that now represent the interests of the rehab industry, including NCART, NRRTS and AAHomecare's RATC. "We need a unified voice."
The task group...
Surviving an audit
July 31, 2007HME News Staff
Problematic intake is the biggest reason why HME providers get audited and why they, in turn, call Peggy Walker for help. Walker, a Columbia, S.C.-based billing and reimbursement advisor for The VGM Group's U.S. Rehab, has plenty to say about what providers should do to survive an audit.
HME: How do providers react when they're notified of an audit?
Walker: It scares them. They think someone is going to close them down. Usually, they have nothing to fear. It's usually a pre-pay or post-pay audit...
Opportunity knocks?
July 31, 2007HME News Staff
YARMOUTH, Maine - When it comes to competitive bidding for mail order diabetes supplies, providers can't decide whether the program will open new doors or merely allow them to retain current clients.
For providers who offer only local delivery or regional mail order, competitive bidding could be a boon.
"We're looking at it as a growth opportunity," said Raul Lopez, director of operations for Miami Lakes, Fla.-based Bayshore Dura Medical. "Especially if you're looking into bidding in the different...
Accreditation, bidding tax HMEs to max
July 31, 2007HME News Staff
WASHINGTON - It's getting hairy out there for providers who plan to participate in the first round of competitive bidding but who aren't yet accredited.
"For many, the burden of going through accreditation and the bid process is just about too much," said Mary Nicholas, executive director of HQAA. "We can hear the stress; sometimes we can see the stress."
Providers in the first 10 competitive bidding areas had until July 20 to submit their bids and until Aug. 31 to become accredited. Providers who...
Medtrade appoints new show director
July 31, 2007HME News Staff
ATLANTA - Medtrade named a new show director. In June, Nielsen Business Media promoted Kevin Bird to the position. He replaces Elizabeth Sommerville, who now serves as group show director of the company's hospitality design division. In this role, Bird will oversee operations for the Medtrade and Medtrade Spring events. Bird has worked with the Medtrade events since 2000 in various positions, most recently as national sales director. Medtrade 2007 will take place Oct. 2 to 4 at the Orange County...