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HRD-81-140 1 (1981-09-10)

handle is hein.gao/gaobabclc0001 and id is 1 raw text is: 
                     RE5TF-r7        - 7 t) %e re-leased ---:

                     by the Office of Congzessional Relations.

BY THE US, GENERAL ACCOUNTING OFFICE

Report To The Honorable                                  /         !

Russell B. Long

United States Senate



Medicare's Reimbursement Policies for

Durable Medical Equipment Should Be

Modified And Made More Consistent



Medicare payments for durable medical equipment--hospital
beds, wheelchairs, commodes, etc.--were estimated at $125
mtlion for 1979. For two items of equipment (standard hos-
pital beds and wheelchairs), payments for rentals or purchases
may not exceed the lowest charge level at which these items
are widely and consistently available in a locality.

Because the standard items cannot be bought at the amounts
allowed and are being purchased in small quantities, the pre-
sent method of computing the lpwest charge levels should be
discontinued for purchases.
Different and more restrictive durable medical equipment re-
imbursement and coverage screens are being imposed by the
Government in the Atlanta region. Although the screens do
help identify claims for unnecessary items, beneficiaries in
the Atlanta region must meet criteria that beneficiaries in
other parts of the country do not have to meet. In a national
program, such as Medicare, the imposition of local require-
ments by the administrative agency does not seem appropriate.







      \t'D sr,





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