WASHINGTON--Athough CMS has yet to issue its final rule on national competitive bidding, the industry is moving ahead with renewed plans to ease its effects.

Last year Reps. David Hobson, R-Ohio, and John Tanner, D-Tenn., introduced a bill that would have softened several provisions of the Medicare Modernization Act's DME competitive bidding mandate. While H.R. 3559, which came to be known as the Hobson-Tanner bill, picked up 151 cosponsors in the House and a companion bill in the Senate, Congress adjourned with no action on the proposed legislation.

But according to some in Washington, many of those cosponsors are ready to sign on again to a new version of the bill, which could be introduced as soon as this week.

With more than 130 cosponsors of H.R. 3559 who returned to office, "we believe that there already is a base of strong support," said Walt Gorski, vice president of government relations for the American Association for Homecare.

While efforts to repeal competitive bidding continue, he added, "based on the political environment here in Washington, if repeal is not achievable, efforts must be made to modify competitive bidding so that it does not adversely impact beneficiaries and suppliers."

Much of the new bill, this time around with Tanner as the lead, will mirror H.R. 3559, but there are some changes, Gorski said. The new proposal would allow any willing provider--that is, any qualified home care company that submitted a bid below the current allowable--to continue to supply equipment under Medicare at the bid rate that is set. A similar exemption in H.R. 3559 would have applied only to small providers, then defined as those with revenues under $6 million.

Under MMA, bidding must start in 10 of the country's largest MSAs (also yet to be announced) in 2007, then expand to encompass 80 areas in 2009.

Gorski said another new provision of this year's bill would require Medicare to conduct an impact analysis on beneficiary access to quality products and services after competitive bidding has been fully implemented in the first 10 cities. The bill also would prohibit HHS from expanding the bid program to additional MSAs, or applying bid rates to non-bid areas, unless specifically authorized by Congress.

As far as passage of the new bill this year, "I really think our chances are good," said Seth Johnson, chairman of AAHomecare's Rehab and Assistive Technology Council and director of government affairs for Pride Mobility. However, he cautioned, it's still early in the congressional session and lawmakers "haven't started having specific hearings on developing Medicare legislation yet.

"The main thing we need to do in order to ensure success this time is to get the cosponsors that are still in office to sign on to the bill again, and then we need another 80 or so [representatives] to support it," Johnson said.

Johnson said Sen. Orrin Hatch, R-Utah, who introduced the Senate companion to H.R. 3559 last session, is expected to champion the measure again in that chamber with Sen. Kent Conrad, D-N.D.