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Re: nursing home contract

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Ilene,

This is a question that I have asked many with very few answers.  I have

learned contracts are negotiable, rates vary depending on many factors including

if you will provide extras like chart audits or other consulting type of

services, supply and demand for therapy services in your particular geographical

location, predictability of patient volume,  etc.

I went as far to contact healthcare consulting firms in attempts to get a range

of reasonable rates in writing in preparation for contract negotiations. 

Nobody was willing to put anything in writing for me even though I was willing

to pay a fee for the document stating that it could be construed as price

fixing. 

My goal in obtaining this information was to secure a reasonable rate.  I don't

necessarily need the highest rate in town but want to be sure I'm not being

taken advantage of either. 

One of the consulting firms did verbally give me a range for Part A services of

$.90/minute on the low end to $1.30 on the high end (quite a range).  For part

B services 75% to 80% of the fee schedule rates. 

I have also negotiated a consult time rate in the past in situations where

non-billable services rendered to the facility made such an arrangement

necessary.

Hope this helps,

Mark Leverenz OTR/L

President

United Therapy Services, Inc.

Blue Grass, Iowa

kmlev@...

Subject: nursing home contract

To: PTManager

Date: Tuesday, July 19, 2011, 4:36 PM

 

We are looking at several nursing home contracts. Can anyone tell me what

a

reasonable competitive Medicare A per minute rate would be? Thanks much.

Ilene Larson PT MS

Rehab Agency Administrator

GL Rehabilitation Services

ilarson@...

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