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Governmental News

Washington, D.C. – October 10, 2007

Aculabs Earns Exemption Status from CMS’s Competitive Bidding

With the latest turn of events in the battle against competitive bidding, CMS, last week, announced “Laboratories providing services exclusively to beneficiaries residing in nursing homes or receiving home health services in the competitive bidding area will not be required to bid, but will be paid at the demonstration fee schedule for demonstration tests otherwise paid under the Part B Clinical Laboratory Fee Schedule.”

While it is not known how many labs fall under this exemption, it is believed the number is minimal. At AAB/NILA's October 10th “walk-in day”, where many independent laboratories lobbied Congress against competitive bidding, it was determined that Aculabs was the only laboratory that fell under this exemption. With this ruling, ALL other laboratories, including hospital based labs that operate under outreach provisions will be required to bid, and win, in order to continue to provide laboratory services for non-inpatients.

While there is repeal legislation on both sides of Congress, the industry is unsure whether House 3453 or Senate 2099 will




 

garnish enough support to be included inthe last minute "healthcare bill". Whether or not President Bush will give the bill executive approval also remains to be seen. Based on the President's budget for 2008 and his belief that competitive should be instituted nationwide, there is strong speculation that the bill will not receive the needed approval.

As more information becomes available we will keep you informed.

If you would like more information regarding Competitive Bidding for Laboratory Services click here.

March on Washington

Peter Gudaitis, President of Aculabs, took part in the AAB’s (American Association of Bioanalysts) October 10th March on Washington to voice opposition to Medicare’s Part B Competitive Bidding Demonstration Project.

Attendees of this event were able to meet with Members of Congress to express their opposition to the Competitive Bidding Demonstration Project and urge representatives to co-sponsor the House companion bill (H.R. 3453) to repeal the demonstration project.

On October 11, 2007, three new sponsors of H.R. 3453 were announced [Reps. Neil Abercrombie (D-HI), Jerry Moran (R-KS) and Chris Smith (R-NJ)].