1999 NAHC Legislative Blueprint for Action

INTRODUCTION

The 1999 Blueprint for Action represents our legislative agenda for the National Association for Home Care (NAHC). This book contains a discussion of the Association's priorities and other important issues and recommendations concerning home care and hospice. It was prepared through a series of meetings with home care and hospice professionals and a survey of the NAHC members, reviewed by the Government Affairs Committee and approved by the NAHC Board of Directors at its January meeting.

The Blueprint is organized within sections according to the membership's priorities. All items in the Blueprint contain a discussion of the issues and the Association's recommendations concerning home care and hospice. The Blueprint reflects NAHC's continued dedication to ensuring that high quality home care and hospice services are fully available to all individuals in need.

The Blueprint is divided into five sections. The first major section relates to the preservation of access to home care and hospice benefits under Medicare, Medicaid, Title XX Social Services Block Grants, and the Older Americans Act. The second section deals with vital issues related to maintaining the quality of home care and hospice services, consumer and caregiver protection, and fraud and abuse issues. The third section concerns ensuring availability of home care and hospice services. This section includes recommendations on long-term care, hospice benefits, and care of persons with AIDS. The fourth part of the Blueprint concerns recruitment and retention of home care and hospice personnel This section addresses the crisis in personnel shortages as they affect home care and hospice. The fifth and final section provides basic background and statistics on home care for the reader. A subject index is also included.

The central goal of NAHC's legislative agenda is the humane, cost-effective provision of high-quality home care to all who require it, whether they are needy, infirm, elderly, children, or disabled. NAHC believes that quality home care and hospice are the right of all Americans. It believes that home care and hospice are both a humane and cost-effective alternative to institutionalization. Home care and hospice reinforce and supplement the care provided by family members and friends and encourage maximum independence of thought and functioning, as well as preservation of human dignity.

This document has been produced by the National Association for Home Care, a professional association that represents the interests of nearly 6,000 home health agencies, home care aide organizations and hospices, as well as the caregivers who every year provide services to more than five million Americans. It is hoped that this document will be helpful to the Congress in its deliberations and that it will result in the enactment of legislation to improve the quality of life for millions of Americans.

EXECUTIVE SUMMARY

Key Legislative Issues

The following issues will be the focus of the National Association for Home Care's (NAHC) legislative activities in 1999. Central to NAHC's mission is to preserve the integrity of the Medicare program, to protect the rights of both patients and providers, and to maintain a policy of zero tolerance for fraud and abuse.

  1. Reform the Interim Payment System (IPS)

    1. Protect Home Health Agencies from Financial Instability Resulting from IPS Overpayments - Congress should enact legislation which grants agencies overpayment forgiveness for payments in excess of their IPS limits, provided that the care was necessary and appropriate, and that the costs are deemed reasonable by the Medicare program.
    2. Reform per Beneficiary Limits by Restoring Access to Home Care Services for Patients with More Intensive Care Needs - Congress must restore access to the home health benefit for patients with more intensive care needs by including some mechanism for patient or case mix adjustments or outlier payments for sicker patients.
    3. Eliminate the Mandatory 15% Reduction in the Limits - Congress should eliminate the mandatory October 1, 2000, 15% reduction in the limits.
    4. Increase Home Health per Visit Cost Limits - Congress should restore the calculation of the limits to 112% of the mean, rather than 106% of the median, lift the application of the freeze to the cost limits, and require that the data used to calculate the limits be based on all types of home health agencies, including hospital-based programs.
    5. Only Prorate the IPS Per Beneficiary Limits when Patients Are Served by More than One Agency in Order to Circumvent the Limits - Congress should require that HCFA use the prorating provision only in situations where agencies are transferring or prematurely discharging patients for purposes of intentionally circumventing the limits.
    6. Reimburse Agencies for OASIS Costs and Schedule OASIS Implementation to Meet Data Needs - Congress should direct HCFA to require home health agencies to begin implementing OASIS based on the amount of advance time and data actually needed for the development of a home health Prospective Payment System. Congress also should provide for reimbursement of the full costs agencies will incur in implementing and continued management of OASIS. Finally, initial OASIS data submission requirements should be limited to Medicare patients.


  2. Ensure Development and Implementation of an Equitable PPS with an Adequate Case Mix Adjustor

    Congress should ensure HCFA's development and implementation of an equitable PPS with an adequate case mix adjustor that is representative of the current home care delivery system, without an arbitrary 15% reduction, by October 1, 2000. HCFA should be required to develop, with the input of providers and case-mix study contractors, an aggressive timetable and plan for implementation of a sound PPS.

    1. Congress Should Closely Oversee HCFA Administration of the Home Health Benefit - Congress should actively oversee HCFA's administration of the home health benefit, paying particular attention to: HCFA compliance with public notice and comment requirements; coordination and consistent application of policies among HCFA central, regional offices, and fiscal intermediaries (FI); and HCFA's adherence to Congressional intent and direction when implementing changes to the home health program. Congress should also closely study the impact of HCFA's actions, and those of its regional offices and FIs, on providers' abilities to function and on beneficiary access to needed care within the Medicare program. Congress should conduct in-depth oversight hearings to examine these areas of concern.
    2. Restore the Full Market Basket Update to Home Care Payments


  3. Enact a Comprehensive Home- and Community-based Long-term Care Program

    The federal government must take the lead in providing adequate coverage of long-term care needs for the physically disabled, chronically and terminally ill, and cognitively impaired. The foundation of this initiative should be home- and community-based care and hospice.

  4. Protect the Current Home Care Benefit

    1. Oppose Coinsurance for Medicare and Medicaid Home Health Services - Congress should oppose any copay proposal for home health services so that individuals who need medical care are not discouraged from using in-home services that could reduce the need for more costly institutional care.
    2. Oppose Proposals to Bundle Home Health and Hospice Payments in with Payments from Other Providers - Congress should reject proposals to bundle home care payments into hospital DRGs or other provider payments on the grounds that it would cause major disruption to the health care industry, be anti-competitive, increase the federal regulatory burden, and erect a new and unnecessary barrier to beneficiaries' access to quality care.
    3. Ensure Reasonable Application and Implementation of Home Health Surety Bond Requirements - Congress should repeal or significantly alter the surety bond requirements, applying them only to agencies with poor records of repayment to Medicare and/or Medicaid or to new agencies wishing to participate in the program(s). Congress must also ensure that requirements are reasonable so that legitimate, reputable home care agencies can meet them.
    4. Enact a New Homebound Definition That Does Not Restrict Access to the Medicare Home Care Benefit - Congress should enact a homebound definition that ensures access and eligibility to the home care benefit based upon the beneficiary's functional limitations and clinical condition, rather than an arbitrary number of absences from the home. The definition should guarantee that reasonable absences from the home for medical and nonmedical purposes would not disqualify an individual from home care eligibility. The definition should not put additional administrative burdens on home care providers beyond documentation of the beneficiary's functional and clinical status.


  5. Ensure Protection for Home Care Agencies from Year 2000 (Y2K) HCFA Problems

    Congress should provide HCFA with authorization to issue emergency no-interest payments to health care providers where Medicare claims processing, payment, and payment rate updates are delayed as a result of incomplete or erroneous Y2K computer changes. Congress should also adjust reimbursement limits and payments for home health agencies and hospices to allow the respective organizations to complete Y2K compliance efforts.

TABLE OF CONTENTS

I. PRESERVING ACCESS TO HOME CARE AND HOSPICE SERVICES

L1. PROTECT HOME HEALTH AGENCIES FROM FINANCIAL INSTABILITY RESULTING FROM IPS OVERPAYMENTS

L2. RESTORE ACCESS TO HOME CARE SERVICES FOR PATIENTS WITH MORE INTENSIVE CARE NEEDS

L3. ELIMINATE THE MANDATORY OCTOBER 1, 2000 15% REDUCTION IN HOME HEALTH REIMBURSEMENT

L4. INCREASE HOME HEALTH PER VISIT COST LIMITS

L5. RESTRICT THE PRORATION OF THE PER BENEFICIARY LIMITS TO WHEN PATIENTS ARE SERVED BY MORE THAN ONE AGENCY TO CIRCUMVENT LIMITS

L6. FULLY REIMBURSE HOME HEALTH AGENCIES FOR COSTS OF IMPLEMENTING OASIS; SCHEDULE OASIS IMPLEMENTATION BASED ON PPS DATA NEEDS

L7. ENSURE DEVELOPMENT AND IMPLEMENTATION OF AN EQUITABLE PPS WITH AN ADEQUATE CASE MIX ADJUSTOR

L8. CLOSELY OVERSEE HCFA ADMINISTRATION OF HOME HEALTH BENEFIT

L9. RESTORE THE FULL MARKET BASKET UPDATE TO HOME HEALTH PAYMENTS

L10. ENACT A COMPREHENSIVE, HIGH-QUALITY HOME- AND COMMUNITY-BASED LONG-TERM CARE PROGRAM

L11. OPPOSE COPAYMENTS FOR MEDICARE HOME HEALTH SERVICES

L12. OPPOSE PROPOSALS TO ìBUNDLEî HOME HEALTH AND HOSPICE BENEFIT PAYMENTS WITH PAYMENTS TO OTHER PROVIDERS

L13. ENSURE REASONABLE APPLICATION AND IMPLEMENTATION OF HOME HEALTH SURETY BOND REQUIREMENTS

L14. ENACT A HOMEBOUND DEFINITION THAT ENSURES ACCESS AND ELIGIBILITY FOR NEEDED HOME HEALTH SERVICES

L15. ENSURE YEAR 2000 PROTECTIONS FOR HHAs

L16. SUSPEND THE PER BENEFICIARY LIMIT UNDER THE INTERIM PAYMENT SYSTEM

L17. INSTITUTE MINIMUM PAYMENT FLOOR FOR MEDICARE HOME HEALTH SERVICES

L18. MAINTAIN PERIODIC INTERIM PAYMENT FOR HOME HEALTH AGENCIES AND HOSPICES

L19. INCREASE PER BENEFICIARY LIMITS FOR NEW SOLE-COMMUNITY PROVIDERS AND NEW PROVIDERS IN UNDERSERVED AREAS

L20. MODIFY THE REPORTING OF VISIT TIME REQUIREMENT UNDER IPS

L21. REINSTATE VENIPUNCTURE AS A SKILLED SERVICE FOR HOME HEALTH COVERAGE

L22. MAINTAIN COVERAGE FOR INDIVIDUALS WITH ONGOING HOME CARE NEEDS

L23. MAINTAIN AGGREGATION OF HOME HEALTH COST LIMITS

L24. REINSTATE THE PRESUMPTIVE STATUS FOR HOME HEALTH WAIVER OF LIABILITY

L25. PROHIBIT USE OF SAMPLING AUDITS

L26. SUPPORT MEDICARE COVERAGE OF DRUG THERAPIES IN THE HOME

L27. PERMIT DIRECT PROVIDER APPEAL RIGHTS

L28. REINFORCE BENEFICIARY DUE PROCESS RIGHTS

L29. ESTABLISH PROCEDURES FOR PROVIDER APPEALS OF SURVEY AND CERTIFICATION DEFICIENCIES

L30. AMEND THE EMPLOYEE RETIREMENT INCOME SECURITY ACT TO REQUIRE DIRECT PROVIDER APPEAL RIGHTS

L31. REQUIRE INCLUSION OF HOME CARE COVERAGE FOR EARLY MATERNITY DISCHARGE

L32. OPPOSE USER FEES FOR SURVEY AND CERTIFICATION ACTIVITIES

L33. CLARIFY THE A TO B SHIFT TO PROTECT AGENCIES FROM THE IMPACT OF SEQUENTIAL BILLING

L34. CLARIFY THE DEFINITION OF BRANCH OFFICE

L35. EXEMPT ENTITIES THAT PERFORM WAIVED TESTS FROM CLIA CERTIFICATION

L36. OPPOSE DECREASING HOSPICE REIMBURSEMENT FOR DUALLY ELIGIBLE PATIENTS RESIDING IN NURSING FACILITIES

L37. ENSURE THE PORTABILITY OF ADVANCE DIRECTIVES

L38. REQUIRE DEMONSTRATION PROJECTS TO STUDY SPECIAL SERVICES AND FINANCING OF END-OF-LIFE CARE

L39. ENSURE THE PROVISION OF MEDICARE COVERAGE OF PAIN MEDICATIONS

L40. ENSURE ACCESS TO MEDICATIONS NECESSARY FOR PAIN CONTROL

L41. ELIMINATE MEDICARE PROVISION REQUIRING HOSPICE SOCIAL WORKER TO PRACTICE UNDER THE DIRECTION OF A PHYSICIAN

L42. COORDINATE GOVERNMENT REVIEWS OF HOME HEALTH AGENCIES TO REDUCE PAPERWORK BURDEN

L43. STRENGTHEN THE HOME HEALTH AIDE TRAINING REQUIREMENTS CONTAINED IN OBRA-87 AND APPROPRIATELY REIMBURSE AGENCIES FOR TRAINING COSTS

L44. IMPLEMENT INFORMAL COST REPORT REIMBURSEMENT APPEALS

L45. PERMIT SUITS AND AUTHORIZE PUNITIVE DAMAGES AGAINST FISCAL INTERMEDIARIES FOR BAD FAITH MEDICARE DECISIONS

L46. AUTHORIZE PUNITIVE DAMAGES LAWSUITS FOR BAD FAITH INSURANCE DECISIONS

L47. ENSURE THE RIGHT OF HOME HEALTH AGENCIES AND HOSPICES TO SELECT THEIR FISCAL INTERMEDIARIES

L48. CLARIFY STANDARDS FOR THE IMPOSITION OF INTERMEDIATE SANCTIONS ON HOME HEALTH AGENCIES UNDER THE MEDICARE ACT

L49. LIMIT RETROACTIVITY OF FISCAL INTERMEDIARY DETERMINATIONS

L50. PRESERVE INDEPENDENCE OF ADMINISTRATIVE LAW JUDGES

L51. ENACT A NATIONAL STANDARD FOR PROCESSING ALJ APPEALS

L52. IMPROVE ACCESS TO JUDICIAL REVIEW FOR MEDICARE CLAIMS

L53. ENSURE AND ENFORCE BENEFICIARY CHOICE IN ALL HEALTH CARE PROGRAMS

L54. PRESERVE THE PUBLIC NATURE OF THE MEDICARE PROGRAM

L55. ALLOW EXPEDITED JUDICIAL REVIEW OF MEDICARE REIMBURSEMENT DISPUTES

L56. PROTECT CONSUMERS FROM ERRONEOUS SERVICE AND COVERAGE DETERMINATIONS

L57. STRENGTHEN REQUIREMENTS FOR PUBLICATION OF POLICY CHANGES BY HCFA

L58. OPPOSE COST-SHARING BY MEDICAID BENEFICIARIES

L59. REQUIRE COVERAGE OF HOME CARE, HOSPICE, AND PERSONAL CARE SERVICES IN ANY MEDICAID REFORM

L60. ESTABLISH FEDERAL MINIMUM STANDARDS FOR HOME HEALTH COVERAGE UNDER MEDICAID

L61. IMPROVE REIMBURSEMENT REQUIREMENTS FOR HOME HEALTH UNDER MEDICAID

L62. PROHIBIT STATES FROM USING COSTLY INDIVIDUAL CLAIMS REVIEW IN THIRD-PARTY PAYOR RECOVERY EFFORTS

L63. EXTEND SPOUSAL IMPOVERISHMENT PROTECTIONS TO HOME CARE

L64. ALLOW HOME CARE AGENCIES TO SERVE AS CASE MANAGERS IN FEDERALLY FUNDED PROGRAMS

L65. REINSTATE ACCESS TO MEDICAID IN WELFARE REFORM

L66. MONITOR SECTION 1115 MEDICAID WAIVER INVOLVEMENT IN CHRONIC CARE

L67. ENSURE HOME CARE REPRESENTATION ON MEDPAC

II. QUALITY MANAGEMENT, CONSUMER AND CAREGIVER PROTECTIONS, AND FRAUD AND ABUSE ISSUES

L68. ENSURE ACCESS TO QUALITY SERVICES IN MANAGED CARE PLANS

L69. ENACT HOME CARE SPECIFIC ANTI-FRAUD MEASURES

L70. ENCOURAGE APPROPRIATE COLLABORATIVE ROLE OF PHYSICIANS IN HOME CARE

L71. ENSURE ACCESS TO HOME CARE AND FULL FEDERAL FUNDING IN ANY PROPOSALS TO REQUIRE MEDICAL DOCTORS IN HOME HEALTH AGENCIES

L72. OPPOSE EFFORTS TO STRIP BANKRUPTCY PROTECTIONS FROM HEALTH PROVIDERS

L73. ESTABLISH SAFE HARBORS AND DE MINIMUS THRESHOLDS UNDER THE FALSE CLAIMS ACT

L74. OPPOSE IMPLEMENTATION OF FEES FOR MEDICARE OVERPAYMENTS AND AUDITS

L75. REQUIRE FEDERALLY FUNDED CRIMINAL BACKGROUND CHECKS AND ESTABLISH A NATIONAL REGISTRY SYSTEM

L76. PROHIBIT GAG RULES IN MANAGED CARE CONTRACTS

L77. REQUIRE CONTRACTORS OF CARE IN THE HOME TO ENSURE SUPERVISION AND SUPPORT OF PARAPROFESSIONALS

L78. ENHANCE CONSUMER PROTECTIONS FOR HOME CARE RECIPIENTS

L79. DEVELOP QUALITY OF CARE STANDARDS FOR CONSUMER-DIRECTED CARE

L80. PREVENT VIOLENCE AGAINST HOME CARE WORKERS

L81. COORDINATE HOME CARE AIDE AND NURSING HOME AIDE TRAINING REQUIREMENTS

L82. ESTABLISH FEDERAL MEDICAID STANDARDS FOR PERSONAL CARE SERVICES

L83. MODIFY PREEMPTION PROVISION OF THE EMPLOYEE RETIREMENT INCOME SECURITY ACT

L84. ELIMINATE ELDER ABUSE

L85. AUTHORIZE THE IRS TO ISSUE RULINGS REGARDING INDEPENDENT CONTRACTOR STATUS

L86. ENCOURAGE STATES TO ADOPT A LICENSURE LAW AND REGULATIONS FOR HOME CARE AGENCIES

L87. RESTORE PERSONAL ASSISTANCE SERVICES AS A MANDATORY MEDICAID SERVICE

L88. PROVIDE SUFFICIENT HOME CARE PAYMENTS SO THAT AGENCIES CAN PROVIDE APPROPRIATE WAGES AND BENEFITS TO PARAPROFESSIONALS

III. ENSURING AVAILABILITY OF HOME CARE AND HOSPICE SERVICES

L89. PROVIDE ACCESS TO MEDICARE HMO ENROLLMENT INFORMATION

L90. ALLOW PAYMENT FOR HOME HEALTH SERVICES FOR THOSE RECEIVING ADULT DAY CARE

L91. SUPPORT TAX INCENTIVES FOR FAMILY CAREGIVERS

L92. MAKE HOME CARE MORE ACCESSIBLE TO PERSONS IN RURAL AREAS

L93. REQUIRE MEDICARE PAYMENT FOR TELEHOME CARE SERVICES

L94. MAKE ALL PROFESSIONAL HOME HEALTH SERVICES QUALIFYING SERVICES

L95. PROMOTE RESPITE CARE FOR FAMILY CAREGIVERS

L96. INCLUDE IN-HOME RESPITE CARE IN THE MEDICARE HOSPICE BENEFIT

L97. CREATE A NUTRITIONAL SERVICES HOME HEALTH BENEFIT

L98. CREATE A PHARMACEUTICAL SERVICES HOME HEALTH BENEFIT

L99. PROTECT PATIENTS' FREEDOM TO CHOOSE

L100. ENACT INSURANCE MARKET REFORMS

L101. ENSURE COVERAGE OF ACUTE AND LONG-TERM HOME CARE AND HOSPICE

L102. PROVIDE ACCESS TO MEDICAID ENROLLMENT INFORMATION

L103. CREATE A COMPREHENSIVE HOME CARE BENEFIT IN THE MILITARY HEALTH SERVICES SYSTEM

L104. MAKE THE PROGRAM FOR PERSONS WITH DISABILITIES SUPPLEMENTAL TO STANDARD CHAMPUS BENEFITS

L105. FINANCE A HUMANE SYSTEM OF CARE FOR PERSONS WITH AIDS

L106. MANDATE HOSPICE COVERAGE UNDER MEDICAID

L107. PROVIDE APPROPRIATE MEDICAID REIMBURSEMENT OF CARE INTENSIVE SERVICES

L108. IMPROVE HOME CARE SERVICES FOR VETERANS

L109. PRESERVE RIGHTS OF HOME CARE PATIENTS IN FEDERALLY QUALIFIED HMOs

L110. REAUTHORIZE AND AMEND THE OLDER AMERICANS ACT

L111. ESTABLISH MEANINGFUL STANDARDS FOR PRIVATE LONG-TERM CARE INSURANCE

IV. RECRUITMENT AND RETENTION OF HOME CARE AND HOSPICE PERSONNEL

L112. ALLOW LPNs TO SUPERVISE HOME CARE AIDES

L113. INCREASE AVAILABILITY OF THERAPISTS AND OTHER HOME CARE AND HOSPICE PERSONNEL

L114. PROVIDE FINANCIAL ASSISTANCE TO HOME CARE AGENCIES TO IMPLEMENT ELECTRONIC CAPABILITIES

L115. REQUIRE MEDICAL RESIDENTS AND INTERNS TO HAVE HOME CARE AND HOSPICE EXPERIENCE AS PART OF THEIR GRADUATE MEDICAL EDUCATION

V. HOME MEDICAL EQUIPMENT ISSUES

L116. ALLOW FAXED CERTIFICATES OF MEDICAL NECESSITY FOR HOME MEDICAL EQUIPMENT

L117. ENSURE REASONABLE APPLICATION AND IMPLEMENTATION OF HOME MEDICAL EQUIPMENT SURETY BOND REQUIREMENTS

L118. PROTECT ADEQUATE REIMBURSEMENT FOR DURABLE MEDICAL EQUIPMENT AND PARENTERAL AND ENTERAL NUTRITION

L119. REPEAL CONSOLIDATED BILLING FOR SNF SERVICES

L120. MAINTAIN INDUSTRY INPUT IN HCFA'S MEDICARE INHERENT REASONABLENESS AUTHORITY

L121. ENSURE ADEQUATE REIMBURSEMENT FOR DURABLE MEDICAL EQUIPMENT AND PARENTERAL AND ENTERAL NUTRITION

L122. ENCOURAGE STATES TO ADOPT A LICENSURE LAW AND REGULATIONS FOR HOME MEDICAL EQUIPMENT PROVIDERS

L123. PROTECT HOME OXYGEN SERVICES MEDICARE REIMBURSEMENT

L124. REPEAL HOME MEDICAL EQUIPMENT COMPETITIVE BIDDING DEMONSTRATION PROJECTS

VI. PEDIATRIC HOME CARE ISSUES

L125. ALLOW PAYMENT FOR HOME HEALTH SERVICES FOR CENTER-BASED CARE FOR TECHNOLOGY-DEPENDENT CHILDREN

L126. IMPROVE REIMBURSEMENT REQUIREMENTS FOR PEDIATRIC HOME CARE UNDER MEDICAID

L127. REQUIRE DEMONSTRATION PROJECTS TO STUDY SPECIAL SERVICES AND FINANCING OF END-OF-LIFE CARE FOR PEDIATRIC PATIENTS

L128. PROVIDE ACCESS TO HOME CARE SERVICES FOR PEDIATRIC PATIENTS WITH MORE INTENSIVE CARE NEEDS

L129. PRESERVE RIGHTS OF PEDIATRIC HOME CARE PATIENTS IN FEDERALLY-QUALIFIED HMOs

L130. ENACT A HOMEBOUND DEFINITION THAT ENSURES ACCESS AND ELIGIBILITY FOR NEEDED HOME CARE SERVICES FOR PEDIATRIC PATIENTS

VII. FACT SHEETS ON HOME CARE


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