Buying Provider Number Isn't Always the Best Deal Does a Medicare provider number transfer with the sale of a company to the new owner? Can it be included in the deal? Is state licensure transferable?

A MEDICARE PROVIDER NUMBER can be acquired along with the purchase of a company, but the purchasing company must recognize that everything ever involved with that provider number will transfer to the new owner. That includes all potential liabilities. The purchase of the Medicare provider number can be negotiated along with the deal, although a company can also choose to drop it.

There is better value in purchasing the certificate of need along with the company, because without one, it is not possible to get a provider number.

State licensure can also be transferred with a sale, but in most cases, that is subject to re-survey by the state.

Before buying a Medicare provider number, or negotiating for any licenses, a severe and significant operational due diligence that includes a compliance review is recommended. The compliance review evaluates operations from clinical and financial standpoints.

-Answered by Pat Laff, managing partner of Home Care Consulting Partners, 3605 Woodhead Drive, Suite 111, Northbrook, IL 60062; 888/570-4227, 847/480-7030; fax: 847/480-7793.

At what point is it advantageous to have an information system specialist on staff vs. using the software company's support staff or contracting with an IS service?

INFORMATION SYSTEM SPECIALISTS ARE BECOMING more of a fixture in the world of home medical equipment providers. Hardware and software applications have become commonplace within the industry and have reached a point of sophistication that often requires expert help.

Most providers contract IS services and rely on software vendors for help with their applications. Contract services are often expensive, but a larger issue may involve the timeliness of getting the service you require. If you are having hardware problems, how reasonable is it to have to wait two hours for a call back or two days for a service rep to visit your site and correct the problem?

However, making the commitment to hire a full-time IS staff member is not always economically feasible, particularly for smaller organizations. Having a staff member who can take on the additional responsibility of handling IS issues is ideal in this situation. This individual can also serve as a liaison between the organization and the software vendor. Having one employee as the contact person simplifies the handling of problems or questions that employees have with software applications. It also offers the company an opportunity to have a resident expert and a familiar name with the vendor.

-Answered by Bill Mallard, a management consultant for Peak Professional Consultants, 4992 Cameron Valley, Charlotte, NC 28210; 704/552-8618; fax: