Lawmakers question competitive bidding for wheelchairs
May 9th, 2008From the Wall Street Journal:
Members of Congress are expressing concern and scheduling hearings about a Medicare plan to use competitive bidding for products such as wheelchairs and walkers, in a sign that lobbying by medical-equipment companies is gaining traction.
Currently, companies receive a government-set fee to distribute such equipment for patients’ home use. Under the competitive system, companies bid on how low a fee they would be willing to accept. Medicare then limits distribution rights for a particular geographic area to several low bidders.
… Officials at the Centers for Medicare and Medicaid Services say competition could ultimately save $1 billion a year … Critics in Congress and elsewhere say service for the elderly will suffer if the bidding system drives some operators out of business. “We are very concerned about a decrease in quality and access and choice of provider,” says Peter W. Thomas of the Consortium for Citizens With Disabilities.

