Florida HMEs scores major competitive bidding victory

Sunday, February 2, 2003

February 3, 2003

TALLAHASSEE, Fla. - The Florida Association of Medical Equipment Suppliers won its lawsuit to stave off Medicaid competitive bidding, and hopefully to play a bigger role in crafting future Medicaid cuts.

In a settlement between FAMES and the Agency for Healthcare Administration (AHCA), the state withdrew its competitive bidding request for proposal (RFP) last month and paid FAMES $45,000 for legal expenses.

AHCA must now start over in its efforts to cut costs, and while it can use competitive bidding, it is not required to. Other cost-cutting measures can also be considered, and the industry can participate in rule-making process for cost cutting measures.

The state's existing fee schedule will continue until a new cost-cutting strategy is developed.

AHCA is soliciting comments, suggestions and recommendations regarding ways to achieve cost-cutting measures. These comments are due to AHCA by 02/14/03.