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■ Tom Collins, Sr., opened a drugstore in 1931. Eighty years later, Collins Home Medical Equipment is still in the family. See story page 18. Bid winner launches bid tool ....................... 17 Binson's donates lift chair ......................... 17 Q&A: Elizabeth Keough of CareCentrix. . . . . . . . . . . . . . . 17 Host a health fair, get your name out there ........... 19 Providers WWW.HMENEWS.COM / JANUARY 2012 / HME NEWS 17 BRIEFS Global Medical feels at HOME in Florida PHOENIX – Global Medical Equipment of America (GMEA) in November acquired Hospitality Oxygen & Medical Equipment (HOME) in Palm Coast, Fla. HOME offers a full line of DME and respiratory equipment throughout northeast Florida. "HOME's solid reputation for providing quality care and great customer service has resulted in substantial growth each year it has oper- ated," stated Harold Halman, GMEA CEO, in a release. GMEA plans to use the acqui- sition as a springboard for a more national presence. Cape Medical: 'Family Business of the Year' CAMBRIDGE, Mass. – The Family Business Association honored Cape Medical Supply in November as the "MA Family Business of the Year." The award is special for Cape Medical, stated CEO Gary Sheehan in a release. "Though we are a family owned business we recognize our success is de- rived primarily from the non-family mem- bers who make up our team…this award is really recognition of their efforts and something they should all take great pride in," he stated. Mark and Nancy Sheehan founded Cape Medical Supply in 1977; to- day, three second-generation family mem- bers work there. Feds allege siblings swindled government MCALLEN, Texas – Velma Alaniz, owner of Ace Medical Equipment and Supplies, and her brother, Valente Alaniz, manager, were arrested in November on charges of con- spiracy to commit healthcare fraud and aggravated identity theft, according to lo- cal news reports. From July 2008 through June 2010, the pair allegedly falsified and forged physicians' reports and other docu- ments for power wheelchairs. They are also accused of delivering less expen- sive mobility scooters, rather than power wheelchairs, to beneficiaries. Provider's new website offers blog, product info STAFFORD, Texas – Active American Mobil- ity and Medical Supply launched a new website in November. The site, www.tex- aswheelchair.com, features information about the HME and home modifications the company offers, as well as insurance coverage information. Also on the site: a new media center that offers case stud- ies, videos and blog entries containing advice and news. Short takes QuickMedical has added Covidien health products to its mix. The Issaquah, Wash.- based provider offers more than 27,000 items…HLS Home Medical was accred- ited by HQAA in November. The Carmi, Ill.-based providers offers pharmacy, HME and long term care services. CareCentrix speaks 'It makes sense to streamline delivery' M THERESA FLAHERTY, Managing Editor ENTION THE name CareCentrix in a room- ful of HME providers and the reactions tend to range from fear to shoulder shrugs. That's because over the past few years, the Hartford, Conn.-based home health benefits manager has signed several exclusive con- tracts with insurers—something that providers often worry will leave them out of the loop. Eliz- abeth Keough, director of mar- keting and strategic products for CareCentrix, spoke with HME News recently about the com- pany's commitment to working with its HME partners. HME NEWS: How do you approach HME providers when you sign a new contract? Elizabeth Keough: In Tennes- see, for example, we put togeth- er meetings in each region to introduce who CareCentrix is, answer questions and provide a forum for HME providers to give any kind of concerns a fair hearing. Then we went through a contracting process that was basically open to any HME pro- vider who would be interested in working with CareCentrix. We make sure they are in good standing and credentialed. I am not aware that we turn HME pro- viders away if they are interested in working with us. HME: Some HME providers feel your reimbursement is too low. Keough: I think that everyone in health care is facing margin compression and price concerns. I don't know that it's exclusive to the HME industry. We are enter- ing an era where health care, unfortunately, has to get smaller. What's going on in our industry and in our economy is really forcing all healthcare businesses to look at how they can be more efficient and more effective, and do more for less. HME: Is CareCentrix targeting specific geographic regions? Keough: We are focused on areas where we have membership con- centration, so Tennessee and Florida are certainly big areas for us. But we don't look at it region- ally as much as we do looking at our systems globally and under- standing how HME businesses work so we can make authoriza- tions easier to obtain, and make billing processes simpler. HME Apria racks up losses BY T. FLAHERTY, Managing Editor LAKE FOREST, Calif. – Apria Healthcare on Nov. 4 reported net revenues of $584.9 million for the three months ended Sept. 30, 2011, com- pared to $526 million for the same period last year. It reported a net loss of $4.7 million vs. $100,000. "We feel we had a strong quarter, as we move step by step," Chris Karkenny, execu- tive vice president and chief financial officer, told investors during an earnings call. "There have certainly been some challenges, but we are proud of what we've accomplished this quarter." The provider reported net revenues of $1.7 billion for the nine months ended Sept. 30, 2011, compared to $1.55 billion for the same period last year. It reported a net loss of $35.1 million vs. a net income of $2.4 million. Apria has its home infusion segment to thank for increased revenues so far this year, and Karkenny credited the provider's nation- al platform and "patient first" mentality for its growth in this area. "We have innovative clinical programs sur- rounding improved outcomes and reduced spending," he said. "That's really helping our commercial payers and managed care part- ners. We also have a strong use of technology with field folks that keeps us ahead of the competition." Increases were offset by non-renewal or termination of, or changes to, certain contracts. APRIA SEE PAGE 19 National reach During a recent earnings call, Apria Exec- utive Vice President and Chief Financial Officer Chris Karkenny touted the pro- vider's national reach. "We have the ability to serve 98% of the nation's population from our branch and distribution network," he told investors. Need proof? Here's how the numbers stack up: EMPLOYEES: 14,000, including 2,350 cli- nicians, 1,000 salespeople and 1,300 driv- ers and delivery techs LOCATIONS: 550, including 460 respira- tory/HME locations and 90 home infusion locations DELIVERIES: a fleet of 2,000-plus vehi- cles makes 3.3 million deliveries to 2 mil- lion patients annually MANAGED CARE: 1,800 contracts HME Binson's Home Health Care donates Pride lift chair Phillip Wallace, an amputee living on a fixed income, received a Pride lift chair from Binson's Home Health Care. The Center Line, Mich.- based provider donated the chair through the Disability Network of Wayne County Detroit. Pictured with Wallace are Jacqueline Stefko, an independent living specialist, and James LeGree of Binson's. Meet BidPrep Debbie Provider seeks to help others submit successful bids BY THERESA FLAHERTY, Managing Editor RIVERSIDE, Calif. – Provider Chris Rice is no fan of competitive bidding but he says, since it's probably here to stay, the industry needs to be prepared. "There's enough folks trying to dis- mantle the program, and more power to them," said Rice, director of mar- keting for Riverside, Calif.-based Dia- mond Respiratory Care, which won contracts in every category it submit- ted bids for in Rounds 1 and 1.2. "I am focused on, if we have to live with this, how do we live with it?" In October, he launched BidPrep, www.bidprep.com, an online system that walks providers through the bid- ding process. He developed the pro- gram based on Diamond Respiratory's experience and that of other winners and non-winners. Talking to other providers gave Rice a handle on what winning bidders had in common, as well as what led non-winners to be disqualified. A huge amount of confusion sur- rounds the logistics of the program, said Rice. "The pricing is the easy part," he said. "It's all of those thousands of things you need to do to get ready to bid is what providers got disqualified for." BidPrep offers everything from credit report guidance to counseling services to post-bid advice, depend- ing on which package level providers BIDPREP SEE PAGE 18