Statement of Jim Tozzi of the Center for Regulatory Effectiveness Statement before PAOC on the Competitive Bidding Program

 April 5, 2011  CMS Headquarters Baltimore, MD.

     CRE has just requested that the HHS Inspector General investigate and issue a decision stating that CMS must release the financial standards for competitive bidding, see the attachment hereto.

      I am here to ask you today to write the IG, but not as a member of PAOC, instead as an individual.

   Speaking for yourself, not PAOC you should make the following points:

(1)    Since PAOC has never issued a report in its history and since it is on it way to setting a government-wide record in that respect,

(2)    Since your are an expert on DME issues,

(3)    Since CMS refuses to meets its statutory obligation to release the financial standards to PAOC,  that

(4)    You are requesting that the Inspector General adopt the CRE recommendation and advise CMS that they must release the financial standards.

   In essence I am presenting you with a “Venue to Vent “ your frustrations.

    I realize that you will probably be visited by a platoon of CMS lawyers explaining why you are not permitted to take the aforementioned option. To this end there is no law that prevents you from exercising your right to communicate with the IG; in fact there is law to suggest that such interference is an unlawful act…

  In any regard, CRE will provide legal representation to you in your legal discussions with CMS at no expense.

     Should the IG act as CRE is requesting, two consequences could result:

(1)    there would be an immediate administrative solution to the problem—CMS would release the financial standards.

(2)    it would be of assistance in the ongoing litigation to compel CMS to release the financial standards.

In that CMS has advised the court in its reply brief  in the aforementioned litigation that the release of the financial standards will crater the competitive bidding program, I expect CMS to take every action to discourage or prevent you from communicating with the IG.

    It should be noted that CMS has a history of outlasting its legal opposition; CRE has not intention of walking away from this issue.