NAHC Urges its Members to Contact their Lawmakers Asking them to Oppose a Home Health Surety Bond
February 11, 2015 01:09 PM
President Obama’s recently-release budget for the 2016 Fiscal Year includes a proposal that would increase the required surety bond amount for Medicare home health agencies to an amount that is no less than $50,000 and commensurate with the volume of payments to the agency.
In addition to the President’s proposal, legislation that was introduced in the House late in the last Congress, H.R. 5780, also includes such a provision.
The imposition of a surety bond requirement on all home health agencies will have serious negative effects:
It will hurt small home health businesses that struggle to comply with the many expensive and unreasonable regulatory burdens that threaten access to care;
It’s effectively a tax on the vast majority of ethical providers to cover the cost of a few bad actors;
It gives too much discretion to CMS in setting the bond amount and implementing the requirement; and
Surety bond requirements should be time-limited and targeted to new providers only. Longstanding providers rarely present a risk to Medicare.
NAHC urges all of its members to take action and contact their elected officials asking them to oppose this misguided initiative.
For more on the surety bond legislation, please see NAHC Report, December 9, 2014.