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Industry Reacts, Gears Up for Bidding in Next 70 MSAs

GAMES members on getting ready to bid:

"As far as preparing for the second round, our particular MSA was obvious, so we were thinking about it. Now we have to go through with the implementation. Do I think there's an opportunity there to survive? Yes. My end result is probably going to be to change my business plan, change the way I do business ... Not having the results of the first round is the most devastating part because you don't know how to address it or how to react."

--David Petsch, owner, Petsch Respiratory Services, Martinez, Ga.

"I think that half of the small providers are not even going to submit a bid. I think of the ones that do submit a bid, half of them will screw themselves out of the bid because they won't understand how to do it."

--L. Jack Clark, RRT, founder and principal, Mid Georgia Respiratory, Macon, Ga.

"I feel like we'll be more prepared for this round when it comes through Atlanta. I had attempted to bid in Charlotte, and it was so complicated and confusing and time-consuming that I quit halfway through. I was disheartened because it was so overwhelming. But with us having information from the first bid, the second round should go a whole lot better."

--Todd Tyson, president, HiTech Healthcare, Norcross, Ga.

"I think this is positive. Through each challenge, ultimately you get better. You have to continue to improve your processes and improve your company."

--Andrew Simmons Jr., vice president of field operations, Cornerstone Medical, Atlanta, Ga.

On the inclusion of complex rehab in Round Two:

"Obviously I disagree with the inclusion of complex rehab. There's no rationale for including that in competitive bidding. That's why we need to redouble our [legislative efforts] to carve that out."

--Tim Pederson, CEO, WestMed Rehab, Rapid City, S.D.

"I am very disappointed that CMS included complex rehab in Round Two. Utilization of complex rehab power wheelchairs has declined since the implementation of new codes and coverage policies. And utilization of these devices was already low relative to other products ... There is evidence that the impact of coding, coverage and pricing changes has already caused tremendous financial stress on the rehab industry. I had hoped that efforts ... would convince CMS to pause long enough the see the results of Round One before putting thousands of individuals with disabilities at risk in 70 of the largest MSAs. This will not have the impact CMS is claiming; competitive bidding of complex rehab cannot even guarantee the same quality goods and services available today."

--Rita Hostak, vice president of government relations, Sunrise Medical, Longmont, Colo., and president of the National Coalition for Assistive and Rehab Technology

On pending lawsuits and legislation that would stop/alter competitive bidding:

"I hope that [competitive bidding] will accelerate the industry's [legislative] actions, and some people that were standing in the background waiting for other people to do what needs to be done--waiting for CMS to see that this is illogical and reckless--will now step up to the plate ... Together we can get it done more effectively."

--Jason Rogers, president, Care Medical, Athens, Ga.

"The announcement by CMS regarding Round Two for competitive bidding hits the industry hard. Providers are more worried now than ever about the future of their businesses. The industry needs to come together to fight the current state of affairs by reaching out to their legislators. We can't sit back idly and allow this to happen without a fight. AAHomecare, state associations, Invacare, VGM, The Med Group and many other organizations have been trying to get members of our industry to stand up and be counted, but few have answered the call."

--Sarah Hanna, vice president, ECS Billing & Consulting, Tiffin, Ohio

"Anytime legislation is challenged in the court, it's an uphill battle. We feel that we have good arguments in the Dallas case and in the Cleveland case, and we plan to push forward with them, but the industry cannot look at these lawsuits as the magic bullet. The industry needs to prepare for competitive bidding, work within the parameters of competitive bidding, and then if one of these lawsuits is successful, then that's very good for the industry."

--Jeff Baird, chairman of the Health Care Group, Brown & Fortunato, P.C., Amarillo, Texas

"There are legislative opportunities with the Tanner-Hobson legislation, which would provide some legislative relief. We want to build on the momentum that we built in 2007."

--Don Clayback, vice president, government relations, The Med Group, Lubbock, Texas

"I'm interested to know how many of [the areas CMS has chosen] have more than half-a-million people (in total population). These areas would be automatically excluded under Tanner-Hobson. We need to continue to get sponsors. Also, H.R. 2231 is gaining more cosponsors, but it's at a snail's pace."

--Tim Pederson, CEO, WestMed Rehab in Rapid City, S.D.

"Congressional action is the only way [competitive bidding] is going to get stopped. What we have to hope happens is what we feel in our hearts--that it's not going to work. I think [competitive bidding] is going to be devastating to the beneficiary population, and I think once all the people see the impact, there will be congressional action to delay it, but if we can stop it or not, I'm not sure."

--David Petsch, owner, Petsch Respiratory Services, Martinez, Ga.

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