tci Medicare Compliance & Reimbursement - 2003 Issue 33

Home Health: HHAs Caught In The Middle On Supplies Bundling

Home health agencies' failure to report medical supply costs under the prospective payment system could mean they are stuck with bundling of pricey nonroutine supplies under PPS for good. So indicates the General Accounting Office in a new, long-awaited report on PPS supplies bundling (GAO-03-878). Because furnishing costly supplies for wound care and ostomies is so financially draining to HHAs, "patients who require costly supplies may have problems accessing home health care and the agencies that treat them may be financially disadvantaged," the GAO says in the report. When it figured supplies costs into PPS rates, the Centers...

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