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3/23/2017 1 Welcome Industry Focus With a NEW TRUMP Administration Industry Focus Competitive Bidding Short Term Competitive Bidding -Rural / Non CBA Rollout of Competitive Bid Rates Jan 1, 2017 -Re-Bill of Rates July – Dec 2016 -Restore rural payements for 02 concentrators (CMS double dip) Long Term Competitive Bidding -Bid Rate Expansion to Medicaid -Rep. Price’s MPP Pilot Program Complex Rehab Technology (CRT) 1 year delay / 1 July 2017 Audits Vent Legislation Infusion Legislation State Licensure Freshmen Members/Key Committees Beneficiary Awareness and Mobilization

Industry Focus - VGM Government Relations · Hillary Clinton ~ 232 Donald Trump ~ 306 ELECTION OF 2016 115 th Congress ... Pensions, was asked by Sen. Bernie Sanders (I., Vt.) whether

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Page 1: Industry Focus - VGM Government Relations · Hillary Clinton ~ 232 Donald Trump ~ 306 ELECTION OF 2016 115 th Congress ... Pensions, was asked by Sen. Bernie Sanders (I., Vt.) whether

3/23/2017

1

Welcome

Industry FocusWith a NEW TRUMP Administration

Industry Focus• Competitive Bidding

• Short Term Competitive Bidding-Rural / Non CBA Rollout of Competitive Bid Rates Jan 1, 2017-Re-Bill of Rates July – Dec 2016-Restore rural payements for 02 concentrators (CMS double dip)

• Long Term Competitive Bidding-Bid Rate Expansion to Medicaid-Rep. Price’s MPP Pilot Program

• Complex Rehab Technology (CRT) 1 year delay / 1 July 2017

• Audits

• Vent Legislation

• Infusion Legislation

• State Licensure

• Freshmen Members/Key Committees

• Beneficiary Awareness and Mobilization

Page 2: Industry Focus - VGM Government Relations · Hillary Clinton ~ 232 Donald Trump ~ 306 ELECTION OF 2016 115 th Congress ... Pensions, was asked by Sen. Bernie Sanders (I., Vt.) whether

3/23/2017

2

ELECTION OF 2016Electoral College Vote

Hillary Clinton ~ 232

Donald Trump ~ 306

ELECTION OF 2016

115th Congress

House of Representatives Freshmen Members of Tennessee

David Kustoff

8th District

House Committee on

Financial Services

Page 3: Industry Focus - VGM Government Relations · Hillary Clinton ~ 232 Donald Trump ~ 306 ELECTION OF 2016 115 th Congress ... Pensions, was asked by Sen. Bernie Sanders (I., Vt.) whether

3/23/2017

3

US SENATE 114 / 115th Congress ELECTION 2018

US Senate

President Trump Cabinet

Newly appointed

John Fleming (R-La)

Former Congressman

Physician

HHS Deputy Assistant Secretary

Page 4: Industry Focus - VGM Government Relations · Hillary Clinton ~ 232 Donald Trump ~ 306 ELECTION OF 2016 115 th Congress ... Pensions, was asked by Sen. Bernie Sanders (I., Vt.) whether

3/23/2017

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Dr. Tom Price-HHS Sec Seema Verma Confirmed To Run

Medicare And Medicaid

TRUMPS First Executive Orders

The order does not offer specifics. Rather, the order notes that the

President intends to "seek the prompt repeal" of ACA. Pending the

appeal, the order directs agency heads to "waive, defer, grant exemptions

from, or delay the implementation of any provision or requirement of the

Act that would impose a fiscal burden on any State or a cost, fee, tax,

penalty, or regulatory burden on individuals, families, healthcare

providers, health insurers, patients, recipients of healthcare services,

purchasers of health insurance, or makers of medical devices, products, or

medications."

ACA / Obamacare ~ Repeal & Replace

Page 5: Industry Focus - VGM Government Relations · Hillary Clinton ~ 232 Donald Trump ~ 306 ELECTION OF 2016 115 th Congress ... Pensions, was asked by Sen. Bernie Sanders (I., Vt.) whether

3/23/2017

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Rep. Price-Patient Centric Healthcare

“All Americans Have Right to Health Care”Price, testifying before the Senate Committee on Health, Education, Labor, and

Pensions, was asked by Sen. Bernie Sanders (I., Vt.) whether he believed health

care was a right of all Americans, rich or poor.

“We are a compassionate society," Price responded. "I believe—and I look

forward to working with you—that we make certain that every single American

has access to the highest quality of care and coverage that is possible.”

"We believe that it's absolutely imperative that individuals that have health

coverage be able to keep health coverage and move hopefully to greater

choices and opportunities for them to gain the kind of coverage that they want

for themselves and for their families."

DME Rural Relief and CRT included in

21st Century CURES Act

• DME Rural Relief

– Retro rates to Jan-July 2016 reimbursement rates

– Provides opportunity for new administration and CMS to make proper reforms

under their own authority

– HHS to conduct a study on the impact that the CB program has had on the

number of HME providers and equipment

• Extension of current CRT delay to keep accessories out of the CB program

for Group 3 power chairs.

• Infusion Drugs- changes to the way infusion drugs are paid and excludes

infusion from Competitive acquisition program.

Letter to Sec. Price

• Implementation of Section 16007 in the

Cures Act to Retroactively Reimburse

Suppliers

• Delaying Reimbursement Cuts Beginning

January 1, 2017

• CMS Applying “Double Dip” on Oxygen

Concentrators

• Reform the Competitive Bidding Program by

Implementing Market Pricing Program

• Addressing the Growing Backlog of Audit

Appeals with CMS

• Complex Rehab Technology Separate Benefit

• TRICARE Reimbursement Reductions

Threaten Veteran’s Access to Care

Long Term: Alternative to Competitive Bidding- MPP

Rep. Tom Price (R-GA)Vice Chair of Budget

Ways and Means

Market Pricing Program

(MPP) Pilot

MPP would replace competitive bidding based problems that economist and auction experts identified in the current program.

Page 6: Industry Focus - VGM Government Relations · Hillary Clinton ~ 232 Donald Trump ~ 306 ELECTION OF 2016 115 th Congress ... Pensions, was asked by Sen. Bernie Sanders (I., Vt.) whether

3/23/2017

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“DME NEW CHAMPION”

Rep. Cathy McMorris Rodgers

Cathy McMorris Rodgers

U.S. Representative

Idaho DME Licensure

With Rep. Jason Monks

Kentucky DME Licensure

Rep. Guthrie and Thad Connally

John with

Rep. Chris Sells of ADMEA

Model Licensure by State

Point of Service• Provide licensure of home medical equipment providers and to provide for the development,

establishment, and enforcement of basic standards that will ensure quality home medical

equipment products and services. The board shall establish, by rules and regulations,

standards by which a home medical equipment provider shall be licensed.

• Must have a principal place of business outside this state shall maintain an office or place of

business within this state unless such location is located in a bordering state and whose

physical location is within _____ miles of state line and meet the requirements of this act.

• Any provider accredited by organizations recognized by the Health Care Financing

Administration and/or The Center for Medicare and Medicaid Services may submit

documents evidencing current accreditation and shall be presumed to comply with the

requirements of the board. Licensing of a Home Medical Equipment Provider that has been

accredited by organizations shall become effective upon written notification from the board’s

staff that the accreditation meets the standards set out in the rules and regulations

promulgated pursuant to this section.

NASHVILLE, TN

CPAP

Total Suppliers 15

Average Distance (miles) 86.51

Less than 50 miles 10

Out of state 0

Manual Wheelchair

Total Suppliers 16

Average Distance (miles) 122

Less than 50 miles 8

Out of state 0

Oxygen

Total Suppliers 14

Average Distance (miles) 76.52

Less than 50 miles 10

Out of state 0

Hospital Beds

Total Suppliers 15

Average Distance (miles) 140.66

Less than 50 miles 7

Out of state 0

ENES

Total Suppliers 13

Average Distance (miles) 89.31

Less than 50 miles 9

Out of state 1

Mail Order Diabetic

Total Suppliers 9

Average Distance (miles) N/A

Less than 50 miles N/A

Out of state 8

NPWTP

Total Suppliers 7

Average Distance (miles) 237.82

Less than 50 miles 1

Out of state 1

Support Surfaces

Total Suppliers 14

Average Distance (miles) 129.59

Less than 50 miles 7

Out of state 0

Walkers

Total Suppliers 18

Average Distance (miles) 169.45

Less than 50 miles 8

Out of state 2

Tennessee’s strong DME licensure serves as a model for other states!

Page 7: Industry Focus - VGM Government Relations · Hillary Clinton ~ 232 Donald Trump ~ 306 ELECTION OF 2016 115 th Congress ... Pensions, was asked by Sen. Bernie Sanders (I., Vt.) whether

3/23/2017

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KNOXVILLE, TNCPAP

Total Suppliers 13

Average Distance (miles) 70.18

Less than 50 miles 8

Out of state 0

Manual Wheelchair

Total Suppliers 13

Average Distance (miles) 73.14

Less than 50 miles 8

Out of state 0

Oxygen

Total Suppliers 12

Average Distance (miles) 74.48

Less than 50 miles 6

Out of state 0

Hospital Beds

Total Suppliers 15

Average Distance (miles) 104.49

Less than 50 miles 7

Out of state 0

ENES

Total Suppliers 9

Average Distance (miles) 94.3

Less than 50 miles 4

Out of state 0

Mail Order Diabetic

Total Suppliers 9

Average Distance (miles) N/A

Less than 50 miles N/A

Out of state 8

NPWTP

Total Suppliers 5

Average Distance (miles) 247.44

Less than 50 miles 0

Out of state 1

Support Surfaces

Total Suppliers 14

Average Distance (miles) 103.73

Less than 50 miles 7

Out of state 0

Walkers

Total Suppliers 14

Average Distance (miles) 115.56

Less than 50 miles 8

Out of state 1

8

Success in 2015 & 16! CRT Delayed

Reimbursement Cuts until 1 July 2017

• The last vote in House of the 2015 session was to delay the implementation of CRT

Accessories into competitive bidding. In 36 hours this legislation was introduced and

adopted with zero opposition in the House or Senate through the “hot line” process.

WE

NEED

ACTION

IN

2017!!!

EH1

Audit Reform

• HIP (Hospital Improvement Program)

• Senate Finance Audit Reform (AFIRM Act)

• H.R. 2437- Prior authorization bill by Rep. Marsha Blackburn (R-TN)Seeks to develop and implement improved prior authorization processes for certain durable medical equipment, prosthetics, orthotics, and supplies. Rep. Marsha Blackburn - TN

Face-to-Face DME Rule

• Expect CMS to announce in near future full

implementation

• Manual wheelchairs

• Hospital beds

• Transport and rollabout chairs

• Push rim assist

• Powered seating systems

• Wheelchair accessories (not comprehensive)

• Some oxygen, not Homefill and concentrators

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Page 8: Industry Focus - VGM Government Relations · Hillary Clinton ~ 232 Donald Trump ~ 306 ELECTION OF 2016 115 th Congress ... Pensions, was asked by Sen. Bernie Sanders (I., Vt.) whether

Slide 26

EH1 Emily Harken, 1/8/2016

Page 9: Industry Focus - VGM Government Relations · Hillary Clinton ~ 232 Donald Trump ~ 306 ELECTION OF 2016 115 th Congress ... Pensions, was asked by Sen. Bernie Sanders (I., Vt.) whether

3/23/2017

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Help us make a strong case for audit reform!The new data submission period for the HME Audit Key is now open for data from the 4th Quarter of 2016. Suppliers can go to HMEAuditKey.org to register;

participation is free – you just need one of your organization's NPIs and respective 5-digit zip code to register and get started.

Your participation in the HME Audit Key Survey will help us continue to build a strong data-set of performance benchmarks while also helping the HME community make the

case on Capitol Hill and at CMS for much-needed audit reform.

This survey provides reliable and representative data that clearly demonstrates the burdensome nature of audits, in terms of volumes, overturn rates, and company

resources required to respond to them.

Currently we are in the data submission period for the 4th Quarter of 2016. If you're having trouble getting started, don't hesitate to reach out for further assistance:

• Support contact form

• Email [email protected]

• Call 1-844-HME A KEY (844-463-2539)

Reminder: Individual Data is NOT Required. For those of you who have not yet delved into the system, please be assured that the Audit Key does not require you to submit

data on individual claims, but instead seeks cumulative counts of pre- and post-payment audits and appeal claim outcomes under DME MAC, RAC and SMRC reviews.

Data Security Assured: Your company's individual information will never be shared, but will be included in the aggregate data. See additional details on how your data is

protected in the Audit Key.

If you haven't yet participated in the Audit Key, please consider joining this data-driven campaign to fix Medicare Audits!

Join the data driven campaign to reform HME audits today!

Ventilator Language Progress

• This bill would prohibit CMS from enacting cuts to the Medicare Part B

Ventilator reimbursement unless it is concluded that the reduction would

not affect access, quality of ventilator in the home, or increase hospital

readmissions.

• Appears as CMS’ latest attempt to transition more product categories

toward competitive bidding reimbursement structures.

Rep. Charles Boustany (R-LA)

Home Infusion Therapy Legislation

Providing home infusion therapy involves not only the

delivery of medication, but also requires professional services,

specialized equipment and supplies to ensure safe and effective

administration of the therapy.

• While most infusion drugs may be covered by the Medicare Part D prescription drug benefit,

the Centers for Medicare & Medicaid Services (CMS) has determined that it does not have

the authority to cover the infusion-related services, equipment and supplies under Part D.

• In Medicare Part B, there is some coverage for certain therapies administered using durable

medical equipment (a mechanical or electronic external infusion pump). Unfortunately, only

a select few therapies are covered and only under very specific conditions.

• As a result, many Medicare beneficiaries are effectively denied access to home infusion

therapy and are being forced into receiving infusion therapy in hospitals and skilled nursing

facilities at a significantly higher cost to Medicare and at great inconvenience to the patients.

• NHIA is underway with a critical legislation initiative to rectify this situation.

H.R. 605 and S. 275 Amends title XVIII (Medicare) of the Social Security Act to authorize

Medicare coverage of home infusion therapy and home infusion drugs.

Grassroots Efforts

• In-State meetings

• Key members of Congress in your states

• Senate Finance

• Action Center-What can you do?

Page 10: Industry Focus - VGM Government Relations · Hillary Clinton ~ 232 Donald Trump ~ 306 ELECTION OF 2016 115 th Congress ... Pensions, was asked by Sen. Bernie Sanders (I., Vt.) whether

3/23/2017

9

Spring 2017 Meetings

Rep. Simpson-ID

Sen. Crapo-ID

Sen. Hatch-UT

Rep. Jenkins-KS

Sen. Daines-MT

Sen. Roberts-KS

Sen. Tester-MT

Sen. Thune-SD

Rep. Bucshon- IN

Meeting with Rep. Larry Bucshon (R-IN)

Congressman Larry Bucshon at Williams Brothers Health Care Pharmacy, Inc. in

Washington, Indiana.

This was an important meeting as Congressman Bucshon is a member of the

Energy and Commerce Committee.

At the event, Rep. Bucshon said he fully understands the issues and concerns

with DME providers and their beneficiaries.

Congressman Bucshon, a former heart surgeon, is fast becoming one of the

Republicans’ go-to members when it comes to health policy.

Lead to a meeting with St. Vincent’s Health System in Indiana.

2017 Spring Meetings

Sen. Warner - VA

Rep. Blackburn - TN

Sen. Manchin – WV

Rep. Hudson – NC

National Federation of Independent Business (NFIB)

Don Jones of Southern Medical Equipment in Alabama was elected to the Alabama NFIB

(National Federation of Independent Business) Board. He was able to draw a meeting to the

ADMEA conference with state director of the NFIB, Rosemary Elebash. This meeting was a

great stepping stone to another meeting with the NFIB in Washington D.C.

Networks and relationships continue to be built!

We encourage state leaders and DME suppliers to reach out to your state’s NFIB to

present the case for the HME industry-to keep small business alive!

NFIB

support

letter for

S. 2312

Tennessee State Director – Jim Brown

Phone: 615-874-5288

53 Century Blvd. Ste 250

Nashville, TN 37214

Page 11: Industry Focus - VGM Government Relations · Hillary Clinton ~ 232 Donald Trump ~ 306 ELECTION OF 2016 115 th Congress ... Pensions, was asked by Sen. Bernie Sanders (I., Vt.) whether

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10

GO TO:

www.peopleforqualitycare.org/Resources/Personal-Stories

TO VIEW/SHARE STORIES OF BENEFICIARIES IMPACTED BY COMPETITIVE

BIDDING

How can we help you?

Can we help you by educating your patients on why accessing their

equipment is difficult?

People for Quality Care is a

resource for you. Let us know…

Can we help share your story by coordinate a town-hall

event in your community?

Can we connect your patients to non-profits in your area

that can help them with their conditions?

The opportunities are endless! Lets work together!Contact Kelly Turner, 1-866-342-6643

Industry Focus• Competitive Bidding

• Short Term Competitive Bidding-Rural / Non CBA Rollout of Competitive Bid Rates Jan 1, 2017-Re-Bill of Rates July – Dec 2016-Restore rural payements for 02 concentrators (CMS double dip)

• Long Term Competitive Bidding-Bid Rate Expansion to Medicaid-Rep. Price’s MPP Pilot Program

• Complex Rehab Technology (CRT) 1 year delay / 1 July 2017

• Audits

• Vent Legislation

• Infusion Legislation

• State Licensure

• Freshmen Members/Key Committees

• Beneficiary Awareness and Mobilization

VGM and AAHomecare

working for you.

John GallagherVGM Group, Inc.

[email protected]

Thank you ATHOMES!!

Jay WitterAAHomecare

[email protected]