Citing a host of factors that have increased the price of doing business, NCART is urging state Medicaid programs to raise the reimbursement rates paid for Complex Rehab Technology (CRT).

In a June 26 announcement, NCART said it “has contacted state Medicaid agencies to request increases to reimbursement rates for CRT. The Centers for Medicare and Medicaid Services (CMS) announced a Medicare inflation increase for all CRT providers which went into effect in January 2023; NCART is emphasizing the need for states to follow the lead of CMS and urging them to make similar reimbursement adjustments to ensure continued access to vital equipment.”

NCART referenced the more expensive price of doing business for CRT providers and manufacturers. One example: “Increased shipping costs, which have risen up to 40 percent due to various charges and surcharges, coupled with soaring raw material prices, have forced major manufacturers to implement price increases,” the announcement noted. “Additionally, increased delivery costs like gasoline prices have further burdened the industry.”

But unlike other industries, CRT providers cannot pass their expenses on to consumers.

“CRT providers are bound by fixed Medicare, Medicaid, and third-party payer fee schedules, leaving them unable to raise prices to cover rising costs,” NCART said. “Without fee schedule adjustments that align with market realities, it becomes increasingly unsustainable for manufacturers and providers to maintain critical access for people with disabilities.”

Wayne Grau, NCART’s Executive Director, said in the announcement, “Complex Rehab Technology plays an irreplaceable role in maximizing independence, quality of life, and community access for individuals with significant disabilities. We are calling on payers to acknowledge the considerable cost increases associated with providing CRT equipment and make corresponding reimbursement adjustments. This is crucial to ensure that people in need can continue to receive the equipment they rely on.”