If Senate Bill 1932, a provision of the Deficit Reduction Act of 2005, passes next week, it could mean higher costs for patients who use oxygen. After three years of use, oxygen concentrator and related maintenance and service become the patients’ financial responsibility, according to the proposal by Representative Bill Thomas (R-CA). In addition, some groups such as the American Association for Respiratory Care (AARC) is concerned that patients will suffer not only financially, but may experience gaps in service.

Historically, Medicare has provided reimbursement for oxygen, oxygen equipment and services for patients who are eligible to receive oxygen services in their home. So, patients are, in effect, “renting” their equipment from their device providers because it the provider is being reimbursed a set amount of money per patient, per month. The proposed provision, that may make it to the floor of the U.S. Senate next week, will end all reimbursement for oxygen equipment after 36 months of use. So, in summary, after the three-year “rental” period, repairs, replacements or maintenance on the oxygen devices will be the responsibility of the patient.

For patients who are currently on oxygen, the 36-month rental period starts January 1, 2006. No actual change in payments occurs until January 1, 2009, according to the AARC.