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Week of January 21, 2024
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HEADLINE NEWS
Region D Clarifies Rules for On-Site Oximetry Testing
NASHVILLE--Respiratory technicians from an independent diagnostic testing facility are permitted to perform oximetry testing on the physical premises of a durable medical equipment provider, according to Robert Hoover, medical director for durable medical equipment regional carrier for Region D.

Additionally, according to Hoover, IDTFs may provide to a DME business a sealed oximeter to be used to perform overnight oximetry. In this case, the DME would be responsible for delivery to--and pick up from--the patient, and for returning the oximeter to the IDTF.

In both scenarios, the tests would be downloaded to the IDTF and faxed to the ordering physician.

"The dealer can deliver and return [the test] to us. But the dealer can't use his or her own machines, and [the dealer] can't tamper with the test. It has to be a field situation," explained Janet Peterson, who owns Peterson Oximetry Testing in Modesto, Calif.

Hoover declined to speculate on what effect these developments may have on potential oxygen recertification requirements.

But Peterson said these types of arrangements might benefit providers by decreasing turnaround time for the test results.

"[Providers] won't have to wait for available technicians, and this will allow us to expand our [coverage] area and get the tests done faster," she said.

Peterson in December had contacted Hoover about the permissible arrangements between a DME provider and an IDTF. Hoover forwarded his response to the Region D DMERC Advisory Committee, noting that his response may be useful to other providers in the region.

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PROVIDER NEWS
Option Care to Acquire Mt. Sinai Specialty Pharmacy
BANNOCKBURN, Ill.--In a bid to enter New York's home infusion market, Option Care has announced plans to acquire Mt. Sinai Hospital's home infusion and specialty pharmacy based in Manhattan. The companies did not disclose the details of the agreement, which Option Care's board of directors and lenders have not yet approved.

"This transaction is testimony to an integral component of our growth strategy--to expand our business in geographic markets where we don't currently have a presence, and to offer alternate site and specialty pharmacy services," said Option Care's president and chief executive officer, Raj Rai.

MANUFACTURER NEWS
Concord Elevator Acquires Whisperlift Assets
BRAMPTON, Ontario, Canada--Concord Elevator, a subsidiary of Ricon, has acquired certain assets of Whisperlift Systems, located in Edmonton, Alberta, Canada, including the Liberator vertical platform lift, the MiniLift traversing scissor platform lift and the Web-Belt ceiling track patient lift.

"There is an urgent need in this industry for products that are not only superior in performance and appearance, but easy to install and maintain," said Scott Lewis, Concord's general manager. "Our newly acquired Whisperlift line of products delivers on all four fronts."

Invacare Reports Fourth Quarter Earnings
ELYRIA, Ohio--Invacare has reported fourth quarter 2001 net earnings of $13.5 million, or 43 cents per share, down 4 percent from 61 cents per share during fourth quarter 2000.

Revenue for the quarter was $261.6 million, compared to $268.3 million during the same quarter a year ago. These numbers exclude a non-cash, after-tax charge of $25.3 million, which the company said it recorded "to write down certain investments."

Additionally, the company's per-share earnings for the year were down 2 percent, from $1.95 in 2000 to $1.91. Net earnings for 2001 increased slightly, from $59.9 million in 2000 to $60.4 million.

Tyco International Reports First Quarter Earnings
PEMBROKE, Bermuda--For the first quarter ended Dec. 31, 2001, Tyco International's per-share earnings increased 17 percent over per-share earnings a year ago.

Net income for the first quarter was $1.45 billion, or 74 cents per share, compared to $317.4 million, or 58 cents per share for the same period a year ago. Revenue for the first quarter rose 25 percent to $10.1 billion.

These results do not include non-recurring, acquisition-related charges of $26 million, the company said.

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SOURCES SAY
ALEXANDRIA, Va.--The American Association for Homecare is applauding the Medicare Advisory Panel's Jan. 16 recommendation that Congress eliminate the proposed 15 percent reduction to the home health benefit. "We commend MedPAC for its recommendations, which appear to be based on the realization that home health providers and beneficiaries are in desperate need of some stability for this vital Medicare benefit," said Tom Connaughton, AAHomecare's president and chief executive officer. "We hope that these MedPAC recommendations will finally put the Medicare home health benefit on the path to a rational and reliable payment system that is based on medical necessity." In addition to its recommendation on the 15 percent cut, MedPAC also suggested eliminating the 1.1 percent reduction in the market basket update for home health PPS rates in FY 2003, and the extension of the 10 percent add-on to PPS payments for rural home health beneficiaries for two years beginning next April.

WASHINGTON--While Congress attempts to hammer out a bipartisan patient bill of rights, the Supreme Court heard oral argument last week on whether a state law, the Illinois State Health Maintenance Organization Act, which gives patients the right to independent review of HMO coverage denials, is preempted by federal law. The core of the argument is whether the Supreme Court should uphold a previous federal Court of Appeals ruling which held that the Illinois state HMO Act's external review provision is not superceded by the federal Employee Retirement Income Security Act of 1974, since the HMO Act regulates insurance. State laws regulating insurance are exempt from the ERISA. The HMO's defense is arguing that the Illinois law gives patients provisions that are incompatible with Congress' intent that ERISA's provisions be exclusive. The plaintiff is arguing that medical coverage decisions should be left to physicians. The court ruling could affect 40 states with similar HMO laws as Illinois.

CLEVELAND, Ohio--Sleep apnea research might be headed in the right direction, according to a recent Case Western University study. The study found that individuals with round heads tend to have sleep interrupted by snoring more than long-faced individuals. Researchers used craniofacial X-rays to identify bone characteristics of chronic snorers and found--by using head shape--that they could predict 75 percent of the time whether or not someone was a chronic snorer. The researchers' "head-association" test, however, did not hold true for snorers of African descent.

ROME, Italy--A mouth prosthesis to prevent obstructive sleep apnea in children? According to a research study at the University of Rome La Sapienza, a lower-jaw, acrylic-resin oral bite plate can reduce OSA in children. For six months, the study examined 14 child OSA sufferers. According to the study, 50 percent of patients using the appliance showed a reduction in OSA symptoms, while the remaining 50 percent of patients resolved their symptoms entirely. Italian researchers said the mouth prosthesis enlarges the patients' upper airway, making the airway less prone to obstruction.

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