2008 Medicare
Bill Passed
After months of debate, Congress passed a Medicare bill that
funds the program through the first half of 2008. The good news is that
there do not appear to be any fee cuts that would impact O&P
provider fees under Medicare. The 2.7% increase in the Medicare fee
schedule for O&P is on track to take effect Jan. 1, 2008. The
Medicare bill includes a six-month fix to avoid the 10% cuts that would
have been triggered under the Medicare physician fee schedule. This
“correction” will be paid for by some modest
reductions to the Medicare Advantage (managed care) program.
So the battle and discussions over making some substantive
changes to Medicare, including, but not limited to, the Medicare
physician fee schedule, will simply go on through the first six months
of the New Year. That means Congress and physicians are likely to find
themselves in June, 2008 facing the prospect of a large scale reduction
in Medicare physician fees, but in an even less favorable, more
politically charged environment of election-year politics.
AOPA will continue to represent the needs of
orthotic and prosthetic professionals, press the effort for Medicare
refinements to fight fraud and abuse, promote the qualifications of
O&P providers, and monitor this Medicare situation. We will
report any updates about Medicare spending as soon as they become
available to us.
Department
of Justice Expands Medicare Fraud Strike Force
The United States Department of Justice (DOJ) recently
announced that they are converting their Medicare Fraud Strike force
currently operating in Miami, FL from temporary status to permanent
status. The DOJ also announced that they are expanding the program into
Houston and Los Angeles, two additional hotbeds of Medicare fraud.
A spokesman for DOJ cited the success of the programs in
Miami as the primary reason for the expansion. After
operating for only part of 2007, the strike force brought cases against
120 individuals who billed Medicare for more than $408 million in
Miami-Dade County alone. DOJ hopes that the expansion of the
strike force will serve as a deterrent to those who consider committing
Medicare fraud.
Questions? Contact Joe McTernan at
jmcternan@AOPAnet.org
or (571) 431-0811.
Membership
Renewal Deadline Approaching: Dec. 31st!
Don’t miss a day of AOPA 2008
– renew your membership today. This valuable resource for
coding and billing issues and other AOPA services
ends unless AOPA receives your membership renewal.
Call Michael Chapman at (571) 431-0843 if you need another invoice or
to review the reasons you should renew TODAY!
Questions? Contact Michael Chapman at
mchapman@AOPAnet.org
or (571) 431-0843.
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Office Depot and
AOPA: Partnering for Success!
Take advantage of these
negotiated deeper discounts, cost saving initiatives, &
procurement solutions to run
your business. 60-80%off 75 of the most frequently ordered items; Tech
Depot Consultant for IT questions & quotes; custom furniture
solutions for Executive Offices - 50-cubicle stations; Copy Print
& Promotional Services.
START YOUR SAVINGS
TODAY-CALL JAMIE TREUTING AT (703) 532-3666.
|
Fast Fact
For 2005, the upper limb orthotic code with the highest usage was L3908
(wrist extension control cock-up WHO, non-molded, prefabricated) with
212,579 frequencies. These billings resulted in a total
allowed of $9,185,595. Medical supply companies led billing
with 31 percent of the total frequencies, followed by orthopedic
surgeons at 25 percent and pharmacies at 13 percent. No other
specialty billed more that 5 percent of the total frequencies.
Coding
Corner: Functional Level Modifiers
One of the most common reasons for Medicare denial of
prosthetic claims is the omission of functional level modifiers on
knee, ankle, and foot components. These modifiers are mandatory on
these components and must be included in order for Medicare to process
your claim. The modifiers and their descriptors are as follows:
K0: Does not have the ability or potential to ambulate or
transfer safely with or without assistance and a prosthesis does not
enhance their quality of life or mobility.
K1: Has the ability or potential to use a prosthesis for transfers or
ambulation on level surfaces at fixed cadence. Typical of the limited
and unlimited household ambulator.
K2: Has the ability or potential for ambulation with the ability to
traverse low level environmental barriers such as curbs, stairs or
uneven surfaces. Typical of the limited community ambulator.
K3: Has the ability or potential for ambulation with variable cadence.
Typical of the community ambulator who has the ability to traverse most
environmental barriers and may have vocational, therapeutic, or
exercise activity that demands prosthetic utilization beyond simple
locomotion.
K4: Has the ability or potential for prosthetic ambulation that exceeds
basic ambulation skills, exhibiting high impact, stress, or energy
levels. Typical of the prosthetic demands of the child, active adult,
or athlete.
Refresher
on Business Associate Agreements
The Health Insurance Portability and Accountability Act
(HIPAA) Privacy rule requires that you enter into contracts with your
business associates to ensure that they protect your patients'
protected health information (PHI). A business associate is anyone who,
on your behalf, performs a function or activity involving the use of
your patients' PHI. Business associates include your medical
malpractice insurers and their underwriting agents, who may need access
to your patients' PHI when handling a claim. Business associate
agreements are not required when the sharing of PHI is for treatment of
the patient. In other words, you do not need a business associate
agreement between you and a hospital, referring physician, skilled
nursing facility, etc.
Business associates also include accrediting agencies that
review your patients’ files as part of the accrediting
process. ABC has indicated that it has included a business associate
agreement in its accrediting application process. However for
other accrediting bodies, you should contact them directly for further
information.
Questions? Contact Daniel Gurley at
dgurley@AOPAnet.org
or (571) 431-0812.
Click on the 2008 Media Planner
Find out how AOPA
can help you promote your products in 2008!
AOPA members save 30% on advertising
in the O&P Almanac and AOPA
Yearbook.
Contact
Amy Clontz
at (888) 557-7277, option 2, for a free quote
and marketing assessment.
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Shape Your
Future in Less Than Fifteen Minutes
AOPA’s member survey gathers data that
will help the entire field understand the implications of change
happening every day that affects your business ranging from patient
care issues, reimbursements, threats and opportunities. Your
response requiring less than fifteen minutes of your time can be one of
the best investments you can make in your future. Go to the
AOPA
Web site and complete the easy, user friendly, online
version. You don’t even have to have your
AOPA
member ID – just create your own unique user name and
password specifically for this survey.
Questions? Contact Steven Rybicki at
srybicki@AOPAnet.org
or (571) 431-0835.
Don’t
Miss the B.O.A.T. – It’s On The Way!
Are you satisfied with your business’
profitability? If the answer is no (and it should be) then
don’t miss the B.O.A.T. The Business Optimization
Analysis Tool (B.O.A.T) will have its pre-launch Beta testing beginning
in January. All of the participants in the 2007 Operating Performance
and Compensation study invited to enjoy a six month free subscription
to this sophisticated “profit building” tool, while
they also function as the Beta testers. The B.O.A.T provides a private
and secure Web site for each subscriber that brings together in one
place an orderly process for evaluating your economic and business
health; measuring your external market and competition; analyzing your
management processes and their effectiveness, including patient care
practices; and benchmarking financial results against budget and peer
top performers.
The B.O.A.T. Workgroup reviewed the site in early December and one
member exclaimed, “that it far exceeded my
expectations.” That workgroup is chaired by Tom Kirk
and its members include Anita Liberman-Lampear, Rod Cheney, CPO, FAAOP
and Rick Fleetwood. Industry Insights, the same firm that does
AOPA’s
Operating Performance and Compensation Report has created the site to
the B.O.A.T. Workgroup’s specifications and will maintain the
site ensuring the confidentiality of all data. For the OPC
participants, Industry Insights will populate their Web pages with the
financial operating data they supplied for 2006 and 2005 which gives
users an instant history for comparing 2007 and future results.
No one from
AOPA will have access to any
of the site’s individual data.
Questions? Contact Steven Rybicki at
srybicki@AOPAnet.org
or (571) 431-0835.
Your Help
Needed for National Media Opportunities
AOPA is seeking the help of members in identifying
insured amputee patients that have been denied coverage for the
appropriate prostheses. As a result of efforts by the Amputee
Coalition of America (ACA), the O&P field has a wonderful
window of opportunity, with the right patient story, to have this kind
of story aired on ABC’s
Good Morning America.
AOPA is assisting the ACA in trying to find that
“right” person to follow-up on the interest media
has expressed in this story. If your facility has a patient
or knows of an individual who would fit this
“profile”, please contact Steven Rybicki at
srybicki@AOPAnet.org
or (571) 431-0835.
Even beyond the recent interest in this particular story, having the
right person with the right story can put the spotlight on a disparity
in coverage that has frustrated so many amputees seeking to recover
their former productive lives. National media exposure on
Good
Morning America, the
Today Show or other
high profile programs can be a springboard for more extensive media
exposure and
AOPA is trying to identify patients on
an ongoing basis who might be willing to share their story.
In addition to conveying important messages, our field may see results
that can help make legislators more knowledgeable in the
various states which are considering “parity”
legislation, and as they consider Medicare, VA and Medicaid policy and
research priorities relative to O&P.
LCodeSearch.com:
Quick Response to Coding Questions
LCodeSearch.com
is gaining momentum as more and more
AOPA members
are logging into this Web based quick reference site on appropriate
coding for hundreds of O&P products.
AOPA
member manufacturers are adding their products and codes to the site
and the
AOPA Coding and Reimbursement Committee is
verifying accuracy and resolving any coding questions. If you
don’t see products of a favored manufacturer already on the
site, remind them that as an
AOPA member their
products can be added to the site free of charge. All
manufacturers will be given an opportunity to enhance their listings,
enabling them to communicate extensive product information and post
pictures, for a modest annual fee, covering all products posted on the
site.
Questions? Contact Devon Bernard at dbernard@AOPAnet.org
or (571) 431-0854.
AOPA
and Chase: If You’re Paying More Than 1.9%, You’re
Paying Too Much
AOPA members should check their current
credit card processing rate to determine whether it makes sense to
switch to the
AOPA Chase Paymentech program with
processing fees as low as 1.9%. Savings can amount to
“found” dollars for the bottom line. As
an example, if your current rate is 2.5% or more and you process
$500,000 annually in credit card payments — the .6% savings
can mean another $3,000 to the bottom line. That’s like a
patient care facility getting a 200% return on their annual dues
investment in
AOPA. Or it’s the same as
getting two years of
AOPA membership free!
Check your rate and if you’re paying too much, call
AOPA’s
dedicated payments expert, Eric Mock, at (214) 849-3603. Be sure and
mention your
AOPA membership.
Questions? Contact Michael Chapman
mchapman@AOPAnet.org
or (571) 431-0843.
Limited
Supply: End of Year Clearance
The AOPA Bookstore’s limited
supply of year-end inventory can save you BIG DOLLARS. Among
the terrific values are the O&P Business and Clinical Forms
(Version 2) the Coding and Billing suite and the Coding &
Billing/Mastering Medicare (Version 2) combo deal.
You can also pre-order the 2008 Coding Suite, which will be available
in March!
Check out the specials on the
AOPA
Bookstore’s Web site or call the
AOPA
Bookstore at (571) 431-0865.
October 18
Medicare Audio Seminar Now Available on CD
The “Guidelines on Billing Different Venues
& Should I Participate with Medicare?” audio seminar
is now available for purchase on CD from the AOPA
Bookstore. This seminar covers
the complex rules of who to bill for services in various venues, from
inpatient hospitals and SNFs to home health and hospice care.
It covers not only the Two Day Rule, but also the differences in
billing between orthotic and prosthetic care. In addition, this seminar
discusses the pros and cons of Medicare participation and what it can
mean to your facility’s bottom line.
The cost is $99 for
AOPA
members and $199 for non-members. CDs may be purchased on the
AOPA
Web site; please visit the
AOPA
bookstore to order.
Each informative audio seminar is worth 1.5 continuing
education credits. Past topics, also available on CD,
include: “Medicare Changes for 2007: New
Codes, New Fees, New Medical Policies;” “Why Was My
Claim Denied? Hints on Minimizing Claims Denials;”
“The New CMS-1500 Form: Get It Right the First
Time;” and “Hints on Billing for Diabetic and
Orthopedic Shoes.”
The schedule and list of topics for 2008 will be posted to the
AOPA
Web site as soon as it’s announced.
Questions? Contact Erin Kennedy at
ekennedy@AOPAnet.org
or call (571) 431-0834.
National
Assembly Planning Already Under Way
The 2008 Assembly Advisory Committee met in Chicago to start
mapping out plans for next year’s Assembly (Sept. 10-13,
2008). Russ Hornfisher of Becker Orthopedic Appliance Company chaired
the Advisory Committee and led the tour of the Hyatt Regency Chicago
facilities, chairing the working lunch and overseeing the process of
planning the biggest and best National Assembly event ever.
Expect some changes reflecting the evaluations completed by
members at the 2007 National Assembly including high-level speakers and
programs that spark that “wow” quality.
Contributing to the success of the event is its outstanding location in
the heart of Chicago’s booming commercial
area. It’s a short walk to the best restaurants, top
tourist attractions and the Miracle Mile.