Government Wants to Create Jobs.
 Medicare’s Competitive Bidding Program Will Eliminate Them!

 

John, Lynn, and I are living the “American Dream.” We, along with the great staff at J & L have been able to build a nationally awarded business by providing superior care to our customers (patients, referral sources, and insurance providers). Improving the quality of life of many, while employing 60 people in our community, is very rewarding.

However, as each day passes, we come one day closer to the implementation of Medicare’s flawed “Competitive Bidding” program. Competitive Bidding will be implemented on January 1, 2011 in nine of the largest Metropolitan Statistical Areas in the United States. The program will expand to include most of Connecticut in 2012.

Following are a couple of facts that, as a local business owner, keep me up at night.

• 93% of local providers will NOT be awarded competitive bidding contracts (1).
• 39% of all suppliers located in a competitive bidding area will likely go out of business.
• “Competitive Bidding” is estimated to cost more than 940 jobs in Connecticut, and 80,000 jobs nationwide over the next three years.

 

Bid rates will result in a significant reduction in reimbursement from all payers, so even “winning” bidders will have significant financial strain. This strain will make it near impossible for a “winning” provider to add staff to serve the additional patients being referred to them.

This could all be prevented by passing H.R. 3790, a budget neutral bill that would repeal the “Competitive Bidding” Program. This legislative bill, if passed, will save more than 80,000 American jobs while ensuring beneficiary access to quality healthcare. Please take a moment to contact your local legislator by dialing the U.S. Capitol Switchboard at    202-224-3121 and asking your elected official to support H.R. 3790.

 

                        Sincerely,

                        Brian

 

(1) 2008 Competitive Bidding results. The Centers for Medicare and Medicaid Services have stated that the 2011 and 2012 bid results are very likely to resemble the results of the 2008 bid process.