New Chair Sets AAHomecare Goals
American Association for Homecare (AAHomecare) members approved the nomination of David Savitsky of Tender Loving Care, Lake Success, NY, as their 2001-2002 association chair. In his first official address to members at the AAHomecare Leadership Conference in Asheville, NC, on Thursday, May 31, Savitsky outlined his agenda for his 1-year term.

The top priority, Savitsky said, is for AAHomecare and the home care industry to “build a voice on Capitol Hill.” As chair, he will advocate for five top agenda items, including an adjusted consumer price index for HME and services, elimination of the 15% home health reimbursement cut, a fair average wholesale price list for respiratory drugs and infusion, and data collection reform for setting reimbursements under inherent reasonableness.

Finally, he hopes for Medicare reform that provides patient access, choice, fairness, and accessibility to health care services at home. “We have an exceptional opportunity to enact reform at the Health Care Financing Administration and in the Medicare system,” he said.

After focusing on these goals, Savitsky said he hopes to re-establish the AAHomecare Foundation to begin work on funding a baseline study on the cost-effectiveness of home care. “We could use the study to prove that home care is the patient-preferred, cost-effective alternative to institutionalization,” he said.

Savitsky is on the right track, said Corrine Parver, JD, of Dickstein Shapiro Morin and Oshinsky, Washington, DC, and former president of the National Association for Medical Suppliers. “Providers must shift their advocacy focus to something that David Savitsky alludes to in his 2001 goals for AAHomecare—providing access, fairness, value, and quality of care. These are areas that need to be strengthened in health policy arguments. Shifting from ‘please pay me’ to ‘let’s ensure ongoing access to products and services for patients in the home’ is essential.”

AAHomecare members also approved the following executive committee members for 2001-2002:

• Steve Knoll, vice chair, Knoll Patient Supply, Topeka, Kan.
• Joel Mills, secretary, Advanced Home Care, Greensboro, NC.
• Larry Higby, treasurer, Apria Healthcare Group, Costa Mesa, Calif.

Legislative News

Patients’ Bill of Rights Overshadows Prescription Drug Coverage Plan
With the defection of Senator James Jeffords (I-Vt) from the GOP causing the Senate majority to switch to the Democrats, Congress is shifting its focus from Medicare prescription drug coverage—an expensive program some industry advocates worry could leave less money for home care funding—to a patients’ bill of rights. Negotiating the legislation will test the compromising abilities of the closely divided Senate and could delay resolution of other issues, such as Medicare reform.

The Democratic bill (S 283), sponsored by Sen John McCain (R-Ariz), would allow suits to be brought in state court against health plans over level of care issues and in federal courts for all other issues such as law violations. The cap for damage awards would be $5 million in federal courts and limits set by state courts. The bill would grandfather current state laws and require new ones to be comparable with federal law.

The Republican bill (S 889), sponsored by Sen Bill Frist (R-Tenn), would allow suits against health plans only in federal courts after exhausting the appeals processes spelled out in the bill; cap damage awards at $500,000; and recognize current state laws if they are consistent with federal law.

Compromise hinges on the liability health plans would have in lawsuits brought by patients. The cost of the bill is also a big factor. The Frist bill is estimated to increase the average annual insurance premium by 2.9%; the McCain version by 4.2%.

HHS Task Force Will Streamline Regulations
On June 8, Department of Health and Human Services (HHS) Secretary Tommy Thompson created a cross-Departmental Task Force on Regulatory Reform to review and oversee changes to HHS regulations. Headed by the Assistant Secretary for Planning and Evaluation, the task force will also review requirements from the Centers for Medicare and Medicaid Services, formerly the Health Care Financing Administration (HCFA).

“Health care providers have been telling HCFA for years that many of our regulations are overly burdensome. It is time for action,” Thompson said. “This effort is about listening better to the people we serve and working more effectively with organizations as our partners.”

Bush Chooses Rehnquist for HHS Inspector General
President Bush nominated Janet Rehnquist, daughter of US Chief Justice William Rehnquist, to the post of Department of Health and Human Services (HHS) Inspector General, replacing June Gibbs Brown who retired earlier this year. Janet Rehnquist is an assistant US attorney for the Eastern District of Virginia. Bush also nominated Alex Azar II, a former law clerk for Supreme Court Justice Antonin Scalia, for HHS General Counsel.

News in Brief

Happy 15th, NEMH
New England Medical Homecare (NEMH), Auburn, Mass, celebrates its 15th anniversary this year. Since its inception in 1986, the company has served more than 45,000 patients.

HIDA Promotes Walsh
The Health Industry Distributors Association (HIDA) named Lesley Walsh as vice president of industry relations. The former industry relations director will oversee all fundraising and sales efforts for HIDA and the HIDA Educational Foundation, including exhibit and sponsorship sales and grant funding.

Sleep Show Sweeps Chicago
More than 3,940 attendees and 98 exhibiting companies came to Chicago for the Associated Professional Sleep Societies (APSS) 15th annual meeting on June 5-10. Approximately 1,900 physicians, researchers, and clinicians attended the educational program, which covered 17 courses including obstructive sleep apnea, circadian rhythms, and narcolepsy. The APSS 16th annual meeting will take place on June 8-13, 2002, in Seattle. For more information, visit www.apss.org.

State Watch

North Carolina — A bill that would hold out-of-state HME providers accountable to the same laws as in-state providers passed the state house unanimously on May 17 and was turned over to the state senate. According to Beth Bowen, executive director of the North Carolina Association for Medical Equipment Services, the bill is unlikely to be heard in a senate committee until after budget negotiations are resolved. Ohio — The Senate Committee on Health will review SB 117, which would require the State Board of Pharmacy to establish and implement a medical gases safety program. In addition to color-coding gas devices, the bill requires that connectors be one of the following: a threaded socket that is silver brazed or welded to the valve, a permanent or integral part of the valve, or a device that indicates tampering.