Initial Effects of a Government Shutdown on Medicare, Medicaid Minimal

[This article posted on April 8, 2011. It is posted within the following categories: CMS, Corporate, Healthcare Policy & The Media, Politics & The Law, via Michael Douglas, MD, MBA.]

As the possibility of a government shutdown grows greater by the hour, news media all over the country are offering accounts of what exactly the effects of a federal government stoppage would entail for the economy and the nation. In the case of 1996, it’s essentially déjà vu all over again; the conflict that pitted then-President Bill Clinton against the Contract with America architect and House Speaker Newt Gingrich was essentially a showdown over Medicare spending and public healthcare delivery.

[UPDATE: Government shutdown averted as Dems and GOP strike literal 11th hour deal.]

Fast forward fifteen years and President Obama, Sen. Maj. Leader Reid, and House Speaker Boehner are at a similar ideological stalemate. Although the principal pursuits which led to this moment deal with the budget deficit as an overarching factor, the cost of Medicare and Medicaid to taxpayers is certainly part of the mix. According to the OMB, beneficiaries of these entitlements should be okay, at least in the short term. Officials with the budget agency say that both Medicare and Medicaid are not funded via annual appropriations, and as such, would not be affected in the manner of other programs that do have an annual funding source.

Patients will still receive care. Payments will still be made to providers, hospitals, and other care entities which submit bills for services rendered. If the budget impasse resulted in a protracted government shutdown, the outlook is a little murkier. Salaries for workers within CMS and for those who work in private insurance company settings (that process Medicare claims, for example) are appropriated yearly — and would definitely be affected with payment delays followed by back pay allowances once things get back on track.

Report Details Affects, Challenges of Healthcare of Gays & Lesbians under Reform

[This article posted on April 7, 2011. It is posted within the following categories: Healthcare Policy & The Media, Science & Research, via Michael Douglas, MD, MBA.]

Euphemistically, the population of gay and lesbian adults in this country has always been labeled “the ten percent”, owing to the presumptive political implications that have become significantly mainstream since this century began. Epidemiologic research done since the late-1990s had, perhaps more accurately pegged the true LGBT population at around 1 to 2 percent of US adults. The 2000 census is somewhat noteworthy for the initial inclusion of gays and lesbians into its data aggregates.

As a result of this and major political, policy, and mainstreaming of issues that affect and are affected by this population within the past 10 years or so, it seemed that the time was ripe for a re-evaluation of a traditionally marginalized population in heatlhcare policy research. A think tank dedicated to issues such as this has found that roughly 3.5 percent — or over 9M adults in this country — identify as gay or lesbian. (PDF link here.)

It only follows that the lives of the LGBT population are affected by changes involved with healthcare reform as in the other 97 percent of Americans who identify as heterosexual. Issues arising from preventive care coverage (HIV counseling, breast cancer screening etc.), and the specific prohibitions of claim denials for chronic diseases (active HIV infection, hepatitis C, etc.) are major wins for LGBT Americans who would have not received such comprehensive and competent coverage previously. A very good white paper [PDF] explains this in greater detail and relays the challenges that remain for the LGBT community under reform. Read it.

One Month in, Multiple Parties Already Reporting Problems with Medicare Bidding Program

[This article posted on February 4, 2011. It is posted within the following categories: CMS, Corporate, Healthcare Policy & The Media, Knowledge & Medicine, Pharma & Devices, Politics & The Law, via Michael Douglas, MD, MBA.]

Just over a month into the Medicare competitive bidding program, and patients, their advocates, economists, and just about anyone with a stake in the process has nothing good to say about it. The program, implemented by the government to cut Medicare costs and find the least expensive options for services (like DME), requires that a sealed bid, given to an issuer by an underwriter, come with a prospective price and terms for a contract. At the close date of bidding, the issuer picks the best offer. However, CMS has sharply restricted the numbers of suppliers which can take part in the competitive bidding process.

Patients are complaining that they are not receiving certain goods and services as prescribed by their providers. Poorer quality delivery of services by home care agencies, longer lengths of stays of beneficiaries in acute hospitals due to affected discharge planning, and fewer overall choices for patients for certain DME services — have all contributed to the angst surrounding this process. Critics do not seem to be blasting the process in a strict sense, but they’re concerned that the program’s design undermines transparency, subsists on inaccurate information supplied by Medicare, and increases the potential for fraud and abuse by third parties, as a result.

Overview of the Medicare competitive bidding program | LINK

American Association for Homecare concerns & resources for affected patients and other parties | LINK

Study: For-Profit Hospice Providers Have Higher Numbers of Less Costly Patients Enrolled

[This article posted on February 2, 2011. It is posted within the following categories: CMS, Healthcare Policy & The Media, Knowledge & Medicine, Science & Research, via Michael Douglas, MD, MBA.]

In 2009, more than 1 million patients received some form of organized palliative or end of life care. The vast majority of hospice patients in this country (over 80 percent) are Medicare beneficiaries. A study out in this week’s JAMA takes a look at the types of patients enrolled in for-profit hospice care organizations as opposed to the non-profit providers and finds that the former group provides care to less intensive patients at EOL than latter — suggesting a preference for “less expensive” patients. Consequently, non-profits could be operating at huge potential losses, raising the cost of cares for poorly-equipped or staffed non-profit providers during a Medicare-covered 6 month run.

The team also found that the average length of stay for patients in for-profit hospice was 20 days, while the average length of stay in a nonprofit hospice was 16 days.  Because costs are highest at the onset of enrollment and near death, longer stays in hospice are more profitable for providers.

Between 2000 and 2007 the number of for-profit hospice agencies more than doubled, from 725 to 1,660, while the number of nonprofit operators stayed about the same.  For-profits have “significantly higher” profit margins than nonprofits, reported the researchers. Indeed, nonprofits, true to their name, operate at a loss.

Before reacting to this study on its face, it’s important to note that it tracked discharged patients from hospice care, lacking data on patients who died during cares; also, there is no indication or measure of quality of care given by for-profits as opposed to non-profit providers and if this contributed to the selection of patients by one provider organization over another. | LINK

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Commission Advises Congress on Additional Fees for Medicare Coverage

[This article posted on January 14, 2011. It is posted within the following categories: CMS, Corporate, Healthcare Policy & The Media, Politics & The Law, via Michael Douglas, MD, MBA.]

MedPAC, the Medicare Payment Advisory Commission, is advising Congress to consider imposing a new charge — or copay — for seniors who receive home healthcare-based services. Until this point, home visits for a variety of conditions from nursing and other providers was free of charge. A payment of at least $150 would constitute the amount the commission is advising Congress to implement. It’s all a part of the effort to continue to streamline Medicare and attack waste.[1] So-called dually eligible patients (those on Medicaid, as well) would obviously not be affected.

More than 3M beneficiaries utilize home healthcare services, and, as expected, some lobbies (including the AARP) pushed hard against the imposition of such additional fees required of many patients with low-to-modest incomes. The charge would be collected for each home health agency admission, not for every visit by a nurse or provider. All of this news comes on the heels of a recommendation by MedPAC to increase the levels of Medicare reimbursement to providers by 1 percent in 2012.

  1. There have always been allegations among lawmakers — the GOP in particular — of waste in this sector of Medicare delivery. []
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Medicare to Reimburse Voluntary Physician Counseling of End-of-Life Care

[This article posted on December 28, 2010. It is posted within the following categories: CMS, Healthcare Policy & The Media, Politics & The Law, via Michael Douglas, MD, MBA.]

Remember the “death panels” the GOP and other right-wing pundits used to describe special provisions in the healthcare reform bill (before it became law) that would allow Medicare to cover counseling services as part of end-of-life cares for patients?[1] After conservative and Tea Party outrage sent Obama and his handlers into PR regrouping on the issue, it appears to be more than a drawing-board idea at this point.

It was widely reported yesterday that these end-of-life services will be covered under Medicare as part of reform. Under the rule, Medicare will cover visits with doctors to discuss how to prepare an advance directive, stating how aggressively they wish to be treated if they are so sick that they cannot make health care decisions for themselves. This runs counter to concerns on the right that the provision would give government the power to decide whether seniors and the disabled were worthy of care at all at the end of life.

It’s about time the crafters of the reform include such a provision in the care of beneficiaries. Discussion of advance directives is not only a necessary component of care planning for the elderly, but for all patients ant any stage of life, regardless of health status. The ability for a patient to have his or her wishes prior to an event is of paramount importance. Advance care planning allows a person to make his or her wishes and care preferences known before being faced with a medical crisis.

The rule goes into effect on 1/1/11, as physicians will begin advising patients voluntarily about their preferences for end-of-life care treatment during their annual Medicare well visit. | LINK

  1. The claim began on former Alaska Gov. Sarah Palin’s Facebook page, but it was quickly picked up by other GOP luminaries. []

Innovation in Minnesota Chain of Nursing Homes Offers Critical Look at Dementia Symptom Treatment and Care Delivery

[This article posted on December 5, 2010. It is posted within the following categories: Diversions, Knowledge & Medicine, via Michael Douglas, MD, MBA.]

Since the late 20th century, innovation in long term care (LTC) has been fueled by a desire of healthcare systems  – in this case, owners of skilled nursing facilities — to achieve new quality benchmarks in healthcare delivery at a reasonable cost. Thanks to major pieces of legislation over the past 15 years emphasizing patient safety, healthful outcomes, and cheaper methods of treatment delivery; LTC as a discipline has undergone a sea change for the better. As a geriatrician, I have seen this evolution firsthand. That’s why I absolutely love seeing developments like this

Working with a psychiatrist and a pharmacist, [nurse and resident care coordinator in a Two Harbors, MN nursing home, Eva] Lanigan started a project last year to find other ways to ease the yelling, moaning, crying, spitting, biting and other disruptive behavior that sometimes accompany dementia. They wanted to replace drugs with aromatherapy, massage, games, exercise, personal attention, better pain control and other techniques. [..] Within six months, they eliminated antipsychotic drugs and cut the use of antidepressants by half.

The savings in cost due to the cessation of expensive psychotropics (even if informed consent enabled usage), the avoidance of chemical restraint and its obvious negative effect on patient safety, and the increase in patient quality of life without the need for specialized dementia care (again, at an enormous increase in care delivery cost) are at least three major reasons why innovation in geriatric care is so important in the age of reform. And it’s happening right here in Minnesota. Excellent.

Worldwide Dementia Costs: $604 Billion in 2010

[This article posted on September 21, 2010. It is posted within the following categories: Healthcare Policy & The Media, Knowledge & Medicine, Science & Research, via Michael Douglas, MD, MBA.]

Nobody said that it would be cheap. The Alzheimer Disease International (ADI) report projects worldwide costs of over $600 for 2010. It’s no coincidence that this news comes out today — on World Alzheimer’s Day. The ADI report combines the most recent global data on disease prevalence and research. ADI predicts that as populations age, dementia cases will almost double every 20 years to around 66 million in 2030 and 115 million in 2050 — much of the rise from disease incidence in poorer nations.

On these shores, it is known only too well that the costs of treating the symptoms, developing drugs to reverse the disease process itself, covering ancillary costs associated with caregiving, and the constant research in the race for a cure will add to the burden President Obama’s healthcare initiatives must overcome in the next 10 years. The main advocacy organization in the U.S. isn’t waiting; it has already begun pushing for the funding and implementation of a national “dementia plan”. | LINK [PDF]

Democratic Lawmakers Wary of Budget Reduction Measure in Medicare Bill

[This article posted on September 16, 2010. It is posted within the following categories: CMS, Pharma & Devices, Politics & The Law, via Michael Douglas, MD, MBA.]

The response of seniors and healthcare providers to a new Medicare bidding program for so-called durable medical equipment (DME) will be somewhat compelling to Democratic legislators in Congress who will not apparently stand in the way of House Energy and Commerce Chairman Henry Waxman (D-CA) and his push for the program. Under the tenets of the bill [HR-3790], reimbursements for devices such as wheelchairs and oxygen supply units would be cut as an inevitable consequence of the bidding process. Unknown is whether this legislation (which will be tested in some markets beginning in Jan. ’11) would eventually make this sector of healthcare more expensive — increasing costs in other sectors, such as acute care (longer hospital stays) or subacute care (augmented skilled nursing and physical therapeutic delivery systems). | LINK

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Study Offers New Path of Preventive Medical Care in an Unlikely Patient Population

[This article posted on July 6, 2010. It is posted within the following categories: Knowledge & Medicine, Pharma & Devices, Science & Research, via Michael Douglas, MD, MBA.]

Although the results of a study from the Annals of Internal Medicine are out today noting an increase in the rate of sexually transmitted infections (STIs) among those taking drugs for erectile dysfunction, this item “hot off  the wires” practically invites the media to take a stance assuming direct causation.

Jokes aside — and you can assume that lead-ins are probably replete with them — the compelling numbers[1] suggest a greater problem afoot: the overall numbers of sexually active men over 55 years of age is increasing. Re-evaluating incidence and prevalence rates to include this ever-burgeoning population will only become more commonplace in medical education as this retrospective study underscores one major point: the necessity of other types of trials studying the effects of preventive practices toward STIs in those much younger and applying them to this patient population. | LINK

  1. Researchers followed over 1M men (average age of 60) by examining their insurance records. Among non-users of drugs like Viagra, 106 in 100,000 contracted an STD. That number increased to 214 in 100,000 for men who were using Viagra, Cialis or Levitra — the major drugs to treat ED. []
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Advocacy Group Prepares Consensus on Little Discussed Aspect of End of Life Care

[This article posted on May 17, 2010. It is posted within the following categories: Science & Research, via Michael Douglas, MD, MBA.]

The use of medical technology is as commonplace today as the doctor’s ubiquitous black bag was sixty years ago. Technological advances have been both blessing and bane, allowing those who benefit to live longer, as with their chronic diseases. Of course, for many patients, this means being sicker longer. In end of life care scenarios, one such advance is creating complications — the automatic internal cardioverter-defibrillator (AICD), a life changing device use to pace and assist heart failure patients whose disorder would have shortened lives just a few years ago. An interesting tidbit of medical news today notes that the willful disconnection of such a device rarely occurs in such end of life discussions with patients and families in the way that cessation of drugs and other aspects of medical care are. An advocacy group of cardiologists and other medical subspecialists is out to change that. It has released guidelines on the withdrawal of support in the hospice and palliative patient and the ethics surrounding such an action. | LINK

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Study: Spouses of Dementia Patients May Be at Increased Risk of Incident Dementia

[This article posted on May 6, 2010. It is posted within the following categories: Knowledge & Medicine, Science & Research, via Michael Douglas, MD, MBA.]

Although the prevalence rate of dementia is higher overall in women over 65; this is due to a variety of factors — overall elderly age demographic prevalence, hormonal declines (circulating estrogens), and the presence of certain vascular related disorders, just to name a few. But what about the incidence of dementia in a male spouse as an association for the incidence of dementia in females — both of whom had no signs of the disorder initially?

A trial published in the latest Journal of the American Geriatrics Society shows that over 1000 patients (married couples in a single Utah county) were followed for a period of at least 12 years[1]. Initially without the diagnosis of Alzheimer dementia, those caregiving wives developed dementia along with their husbands in 30 cases. Although the study did not specifically examine wives as caregivers using explicit criteria, most lived in the same space as the male spouse at the time of diagnosis. An interesting result that should spur more study in the gerontological (social scientific) realm of dementia treatment and incidence in the community. | LINK

  1. All married couples were dementia-free at baseline in 1995 and were followed-up for an average of 12.6 years (median follow-up, 3.3 years) to monitor for incident dementia in husbands, wives, or both, according toDiagnostic and Statistical Manual of Mental Disorders, Third Edition, Revised, diagnostic criteria. []
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Florida Considers Complete Medicaid Privatization

[This article posted on April 23, 2010. It is posted within the following categories: CMS, Corporate, via Michael Douglas, MD, MBA.]

Is Florida sensing an “advantage” for its subsidized healthcare delivery? If the legislature’s voting is any indication, the state could be on the path to privatization of its Medicaid program in its entirety. Facing an extreme budget crunch, Florida could allow state-based and national for-profits contracts with the government program to help pay for care.

States’ Medicaid funds are usually matched by government subsidy to assist in the delivery of care to all ages who qualify on a means-tested basis. Traditionally, elderly long term care and care of the disabled have been responsible for the lions share of costs to many states’ healthcare coffers. And in a system where private payers in Medicaid managed care plans are increasingly denying payment to hold on to profit, privatization is an option.

So it doesn’t come as a surprise that HMOs and other plans are lobbying hard for this; the Florida GOP couldn’t be happier.

Republicans in the Legislature say Florida can’t afford to wait, or rising Medicaid costs will overwhelm the budget. Almost all states have some portion of Medicaid recipients in so-called “managed care,” but Florida would be one of the first to put the elderly and disabled requiring special care in the hands of commercial HMOs.

Advocates of taxpayer-subsidized care to this patient population say that the state is “abdicating its care” in this case, as fears of a corporatized healthcare infrastructure threaten care access (to physicians who cannot afford to provide care) in the name of profits while incentivization to get the patient better and out of Medicaid will be sacrificed. Senate Republicans want to move — and fast. Dems “want more data”. Should be a lightning-rod issue in a state with fireworks in yet another political arena. | LINK

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