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California budget contains wins for HME

California budget contains wins for HME

SACRAMENTO, Calif. – California’s recently passed $308 billion budget includes several positive changes for home medical equipment.  

Those changes: 

  • It makes permanent the 100% of Medicare for all respiratory equipment and supplies that was established by the Department of Health and Children’s Services during the PHE; 
  • Eliminates the 10% cut on all DME and CGMs; and
  • Eliminates the 10% cut for orthotic devices on July 1, 2022, or when federal approval is obtained, and on Jan. 1, 2023, for prosthetic services/devices.
  • The changes were pushed by the California Association of Medical Equipment Product Suppliers and other industry stakeholders.

“The positive outcome achieved for our industry outlined herein is a prime example of what we can achieve when we identify a common goal, put our collective voices together, and initiate the necessary conversations with the people who can help us achieve our desired outcomes,” said Craig Douglas, vice president of payer relations for VGM & Associates. “When we find ourselves in situations where something is not reflective of our current environment, whether that is a medical policy, a reimbursement rate, etc., regardless of how long that policy or rate has been in place, we need to point out the insufficiency and work together toward a better outcome.”


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