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The Center for Medicare/Medicaid Services (CMS) is Dismantling the Home Medical Equipment Services Industry

In the last 6 years, Congress passed legislation called “competitive bidding” for the Home Medical Equipment (HME) industry. The aim of competitive bidding is to reduce the cost of home health care, and to reduce the number of providers of home health care services. In theory this is a very good idea, given the high Medicare fee schedules and the fraud and abuse found with certain unscrupulous HME companies. The problem lies in the method in which CMS has chosen to execute this competitive bidding. The program is seriously flawed and is jeopardizing the entire industry. (see link below from Business Week analyst for details) Given that the HME industry is a key component to reducing overall healthcare costs, by keeping people in their homes as opposed to significantly more expensive hospital stays, CMS’s program could have severe consequences once it is completely rolled out.

Patients will be at risk for finding medically necessary services and products that will allow them to remain in the cost effective environment of their own places of residence.

If there is an insufficient number of providers, hospitals will have a difficult time discharging patients from their facilities in a timely fashion which will extend the average length of stay.

The elimination of reimbursement to providers for Medicare patients on Home Oxygen Therapy has already driven providers from the marketplace, caused innumerable problems for patients wanting to change providers, move or travel.

Fairmeadows Home Health Center, Inc. (FHHC) has been fighting for it’s patients and the beneficiaries at large to repeal this law and reestablish the stability of the HMEs industry so that access to Medically necessary services is not impaired. However, it is important that the beneficiaries join in the fight at this time.

Below is the contact information for Senators Coats and Donnelly and Representative Visclosky. FHHC is asking that you contact these legislators to ask them to support the following legislation: HR 1717 to repeal Competitive Bidding and replace it with a new Market Pricing Program. The new Market Pricing Program has the same goal as Competitive Bidding, but it is a fairer, more effective way to ensure that the best companies, who can provide services at the lowest cost, will remain in the market.

Contact your congressperson: only takes 5 minutes!

Should you have any questions, please, contact the office of FHHC and someone will assist you with talking with these legislators.



202-224-4814 Phone
B33 Russell Senate Building
Washington, DC 20510
Medical Aide: Katie Campbell (

202-228-1377 Fax
202-224-5623 Phone
B-40 E. Dirksen Senate Office Bldg.
Washington, DC 20510
Medical Aide: (

219-795-1850 Fax
219-795-1844 Phone

2313 Rayburn Building
Washington, DC 20510
Medical Aide: (

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