This month's headlines
Joint Commission off the case. The
Joint Commission has stopped work on developing
recommendations for vendor credentialing, saying
that it is not in a position to develop standards on
the competence of sales reps.
Premier considers vendor credentialing contract.
Premier healthcare alliance has issued an RFI to
vendor credentialing firms, but is unsure whether it
will pursue a contract.
Vendor credentialing: Crowded field. Perhaps
reflecting a new market opportunity, the number of
vendor credentialing companies appears to be
growing. IMDA Update contacted them all in an
attempt to find out more about each one. Here's what
we found out.
Vendormate extends pricing program to IMDA members.
After igniting industry concerns with its original
pricing policy, Vendormate has extended its "Open
Access" pricing program, which replaces the
per-hospital-per-rep policy, to IMDA members.
Beyond price. Materials managers need to expand
their focus beyond price, GPO contracts and product
standardization in order to achieve big savings in
their hospitals or IDNs. But it requires a new way
of looking at costs. And suppliers, including IMDA
members, need to help out.
A right to sue? Should people be allowed to sue
medical-device-makers if harmed by a device that
received marketing clearance from the Food and Drug
Administration? Members of Congress heard both sides
of the issue during a public hearing last month. |

Watch for coverage of the 2009 IMDA Annual
Conference in Charleston, SC, in next month's issue of
IMDA Update. |
Vendor credentialing
Joint Commission off the case |
The Joint Commission ceased work on
developing proposed recommendations about vendor
credentialing. A spokesman said that the Oakbrook
Terrace, Ill.-based accreditation organization decided
it was not in the business of developing standards of
competence for healthcare industry representatives, that
is, sales reps. Instead, the Joint Commission is
recommending that the industry turn to "professional
organizations…recommending general credentialing
requirements." The organization specifically cited
AdvaMed, which worked with IMDA and others on
recommended credentialing requirements. (See the IMDA
Website, www.imda.org,
for those recommendations.)
The exact date for Joint Commission's decision is
unknown. No public announcement was made. But suspicions
arose when one IMDA member became aware of a Joint
Commission communiqué on the topic, presented as a "Question-and-Answer" on the organization's
Website. (To
view the entire Q&A, go to
http://www.jointcommission.org/AccreditationPrograms/LongTermCare/Standards/09_FAQs/HR/hc_industry_vendor_representatives.htm.)
The Q&A is telling in what it says, and what it does
not. In response to the question, "Does the Joint
Commission have requirements related to credentialing
health care industry/vendor representatives who are
involved in care, treatment and services provided by
professional staff in accredited health care
organizations," the Joint Commission makes the following
statements:
-
The Joint Commission has no
standards that specifically address healthcare
industry/vendor reps
-
There are no accepted national
standards on competence for sales reps.
-
There is "no specific licensure,
certification, or registration for health care
industry/vendor representatives. . ."
-
Despite the fact that Joint
Commission has no specific credentialing
requirements, "some professional organizations are
recommending general credentialing requirements for
these individuals," such as AdvaMed.
Although
Joint Commission begged off on sales reps credentialing
requirements, it states in the Q&A that a number of its
standards "are relevant to any individual that enters a
health care organization who directly impacts the
quality and safety of patient care." Among them are:
-
Standard EC.02.01.01, which states
that in order to protect patient safety, accredited
health organizations need to be aware of who is
entering their organization and what these
individuals are doing in their organization.
-
Standard RI.01.01.01, which states
that accredited healthcare organizations need to
take steps to ensure patient rights are respected.
-
Standard IC.02.01.01, which states
that accredited healthcare organizations need to
take steps to ensure that infection control
precautions are followed.
Joint Commission also cites standards
relating to the development and implementation of a
patient safety program (LC.02.02.05 EPs 1, 3 and 4).
At last year's IMDA Annual Conference in Oak Brook,
Ill., Laura Smith, associate project director for the
Joint Commission's division of standards and survey
methods, told IMDA members that the organization hoped
to have suggested recommendations about vendor
credentialing -- called a "field review" -- completed and
ready for comment by the end of 2008. At that time,
Smith said that while Joint Commission was intent on
coming up with some general credentialing requirements
for sales reps (incorporating, perhaps, such things as
knowledge of HIPAA, training on infection control,
etc.), it was especially concerned about establishing
guidelines on the competence and knowledge of reps who
call on patient-care areas, such as the OR. Patient
safety is the organization's primary concern, she said,
adding that Joint Commission was also investigating
whether it should recommend that reps -- particularly
those calling on patient-care areas -- demonstrate
knowledge of the products they sell. Return to top
|
Vendor credentialing
Premier considers vendor
credentialing contract |
At press time, Premier healthcare alliance,
Charlotte, NC, had issued an RFI to vendor credentialing
firms, but had not reviewed them, nor had it made a
decision whether to proceed further and pursue an RFP
for vendor credentialing services.
"At this point, we don't know if we'll move forward with
a contractual relationship with any or many [vendor
credentialing companies]," Pam Daigle, director of
sourcing, told IMDA Update. "Our members requested we
pursue this path. Our intent is to understand the need
[for a potential contract] and what the cost structure
looks like." Daigle said that some suppliers have "reached out to us, trying to make sure we understand
the supplier side of this equation. We are absolutely
aware of that, and we want to make sure we fully
understand the impact.
|
GPOs and vendor credentialing
Editor's note: IMDA Update asked the
major GPOs if they had contracts with
any vendor credentialing firms. This is
what they told us.
-
Amerinet: Contract with Vendormate.
-
Broadlane: No contract.
-
HealthTrust Purchasing Group: Contract
with PreCheck, which offers the
VendorCheck program.
-
MedAsset: No contract, no endorsement;
but the GPO is working on a new program.
-
Novation: No contract.
-
Premier: RFI has been issued; will
consider whether or not to progress in
the months ahead.
|
|
"I think we need to be clear as we move forward that
ultimately, anything that is a cost to the supplier,
particularly in the distributor space, will ultimately
impact our members," she added.
If Premier members on the contracting committee wish to
move ahead, the GPO could have a contract in place by
year's end, Daigle said. But it's not at all clear
whether they will elect to do that.
Balancing act
Premier Vice President of Supplier Relations and
Business Development Dave Edwards described to IMDA
Update the balancing act in which Premier must engage as
it considers whether to pursue a vendor-credentialing
contract. "It is the hospital's right and obligation,
from a compliance standpoint and patient safety
standpoint, to know who's in their hospital, what
they're doing, and whether they have a specific reason
to be there," he said. Information technology,
particularly the Internet, offers a giant leap forward
from the old "Sign in at materials management" approach.
With the help of Internet-based tools, hospital
administrators can easily see who the reps area, whether
they've read vendor policies, and whether (if they're in
patient-care areas) they've had appropriate inoculations
and adequate training in aseptic technique.
But it is not in hospitals' best interest to use
vendor-credentialing to close the door to vendors,
Edwards added. "Hospitals recognize that reps bring new
technology. They know that the orthopedic rep is central
to the delivery of [an orthopedic case], coaching
physicians on procedures and services. The same is true
with the cath lab, electrophysiology [and other
specialties]. Hospitals won't cut off their nose to
spite their face."
Premier is trying to consider the issue from the
suppliers' perspective, he said. "We know that over
time, through cost in service or markups, [vendors] have
to recoup their costs, which will come back to our
customers [that is, hospitals]. That speaks to our goal,
which is to identify solutions that don't add an onerous
layer of cost on top of the supplier community, which is
already struggling with higher costs."
Edwards said Premier is also concerned about the
potentially harmful impact that high
vendor-credentialing costs could have on small
suppliers. Premier wants to ensure "that the unintended
consequence [of vendor credentialing] is not to increase
the hospital's ability to keep people out or reduce
access for small suppliers.
"We believe that some of the new solutions and best
innovations come from small, nimble companies that have
their ear to the ground," Edwards said. "That's one of
the concerns we have heard about vendor credentialing --
that while it's a solution for hospitals to have
appropriate safeguards, on the flip side, it could be
expensive, with the implication being that it could hurt
small companies more than big ones."
Return to top
Vendor
credentialing: Crowded field
|
Editor's Note: Perhaps reflecting a new
market opportunity, the number of vendor credentialing
companies appears to be growing. Whether there will be a
shakeout in the coming months remains to be seen. In the
meantime, IMDA Update -- with help from IMDA members
-- compiled a list of all the companies we're aware of,
then sent each of them a brief questionnaire to fill out
about their companies. Of 11 companies contacted, six
failed to respond to at least two requests for
information. What follows is the information that was
provided to IMDA directly from the companies. IMDA
members eager to fill in some of the gaps should consult
each of the companies' Websites.
|
IMDA Announcement
Door
Opener
If your reps call on the OR, you know
the drill: They have to demonstrate
their knowledge of OR protocol, HIPAA,
bloodborne-pathogen regulations and
more. Today, with vendor credentialing
in the mix, the barriers to entry into
the OR are higher than ever.
Help your reps pass through those
barriers by enrolling them in online OR
training courses from HealthStream. As
an IMDA member, you'll receive a
discount. Upon completing them, your
reps will receive a wallet-sized card
provided by AORN and HealthStream. That
card is a door-opener.
To learn more about the program, visit
this URL today:
www.healthstream.com/products/sts.htm. To take advantage of the special IMDA
discount, go to the "Members Only"
portion of the IMDA Website (www.imda.org)
and scroll to the box on "Surgical
Environment Training."
|
|
1. Compliance Depot
www.compliancedepot.net
(214) 291-8900
Editor's Note: Did not respond to IMDA Update's
inquiries.
2. Medical Vendor Watch
Syracuse, NY
(888) 532-3930
www.medicalvendorwatch.com
Editor's Note: Did not respond to IMDA Update's
inquiries.
3. ProTech Compliance
Pittsburgh, PA
(Editor's Note: Appears to be owned by the University
of Pittsburgh Medical Center)
(412) 586-0730
www.protechcompliance.com
Editor's Note: Did not respond to IMDA Update's
inquiries.
4. REPtrax
Lewisville, TX
www.reptrax.com
Vendor contact: Peter Sheehan, (312) 388-8729,
psheehan@deviewelectronics.com
(Editor's Note: IMDA Update spoke with Sheehan but
was unable to get responses in time for publication.)
5. Status Blue
Marietta, GA
www.status-blue.com
-
Supplier contact: John Wills,
founder, (678) 324-4487,
jwills@status-blue.com
-
Month in which
vendor-credentialing service established:
October 2005.
-
Number of hospital or
multihospital system clients: N/A.
-
Number of hospital
locations/sites: Over 250.
-
Number of non-hospital clients:
A few nursing homes, less than two dozen
ambulatory surgery centers.
-
Credentialing fee for supplier:
No more than $85 per rep per year (not per
hospital).
-
Contract or endorsement from a
GPO? At this point, no. We have some regional
relationships, whether statewide or separate co-ops.
We pay no administrative fees. More of an
endorsement.
6. Vendor Credentialing Service
Spring, TX
www.vcsdatabase.com
-
Supplier contact: Troy Kyle,
president, (281) 863-9500,
troykyle@vcsdatabase.com
-
Month in which
vendor-credentialing service established:
November 2006.
-
Number of hospital or
multihospital system clients: 300+.
-
Number of hospital
locations/sites: 800+.
-
Number of non-hospital clients:
100+ (medical offices)
-
Credentialing fee for supplier:
Between $29 and $149 annually per
representative. (The fee for a clinical rep and
non-clinical rep are different: $149 and $29-$99,
respectively.) When the representative registers, we
also credential the representative's company
(supplier) at no additional cost. Once the annual
fee is paid, the representative's and supplier's
details can be shared with any hospital/medical
office in the VCS system.
-
Contract or endorsement from a
GPO? Contracts with VHA Texas, VHA Montana,
Greater New York Hospital Association, First Choice
Co-Op, Ascension and others.
-
Please summarize your company's
key benefits for vendors: Vendor Credentialing
Service offers more benefits to the vendor community
than any other credentialing provider. Due to these
benefits, and differences, VCS has partnered with
vendors of all sizes. The VCS solution can be
utilized by your company at a net zero cost.
Additionally, VCS offers many tools, at no
additional cost, that will save you time, effort and
money.
|
IMDA Announcement
Are you LinkedIn? IMDA is.
Heard about social networking sites from
your kids? Well, there are a few for
professionals too.
Go to
www.linkedin.com, click on "Search
groups." Input IMDA. And test the
waters. It could be your missing link.
|
|
7. VendorCheck (offered by PreCheck)
Houston, TX
(713) 590-1139
www.vendor-check.com
Editor's Note: Did not respond to IMDA Update's
inquiries.
8. VendorClear
Eden Prairie, MN
(888) 850-7484
www.vendorclear.com
Editor's Note: Responded to IMDA Update's e-mail, but
did not give information.
9. Vendor Credentials LLC
Philadelphia, PA
www.vendorcredentials.com
-
Supplier contact: Ed Hilem,
president, (800) 971-5006,
ehilem@vendorcredentials.com
-
Month in which
vendor-credentialing service established: August
2007
-
Number of hospital or
multihospital system clients: Due to the fact
that this entire industry is no more than a few
years old, we anticipate a lot to change in the
coming year or two. We have spent a lot of time
perfecting our software in anticipation of these
changes. At this time, our actual number is not
reflective of the time and effort that has gone into
our product. However, we are in the middle of
negotiations with a number of hospital and
multi-hospital systems.
-
Credentialing fee for supplier:
$59 per vendor. This includes nationwide access and
doesn't differentiate on access privileges (clinical
vs. non-clinical).
-
Contract or endorsement from a
GPO? Pending.
-
Please summarize your company's
key benefits for vendors: Our company was
founded by two vendors who have between them over 50
years experience in healthcare sales. We saw a
growing industry set to exploit the vendors from the
outset, and wanted to prove that this service could
be done fairly and sensibly while still maintaining
the necessary security and features that facilities
have grown to expect. We aim to be the most
people-friendly service: simple signup procedure;
verification is done with a driver's license, so you
don't have to remember a badge; and our tech support
line routes to the same people who helped design the
system, and it is the reason we pride ourselves on
solving problems as quickly as we have. As outlined
above, we have no hidden fees or complicated pay
structures, and we do not believe in rating vendors.
We offer a discount to vets and are the least
expensive service in the industry.
10. Vendormate
Atlanta, GA
www.vendormate.com
-
Supplier contact: Kristine
Hayes, director of vendor services, (404) 920-3138,
Kristine.hayes@vendormate.com.
-
Month in which
vendor-credentialing service established: March
2005.
-
Number of hospital or
multihospital system clients: 600+.
-
Number of hospital
locations/sites: 600+.
-
Number of non-hospital clients:
We currently serve customers in a variety of
other industries, especially financial services.
-
Credentialing fee for supplier:
Various pricing options exist. Vendor companies
that work with several Vendormate healthcare
customers may opt for Vendormate Open Access, a
single annual fee that allows the vendor company to
register with all Vendormate customers. Other
companies opt for a pay-as-you-register structure.
Still others outsource their entire healthcare
credentialing program for Vendormate to manage. In
all three programs, the company, the principals, all
registering reps and other registering staff (both
current and on-boarded during the registration
period) are included. Credentialing requirements are
typically driven by the risk and requirements of the
business relationship. Vendors essential to service
delivery (high dollar contracts) or vendors with
access to clinical areas or patient data are the
highest risk to the healthcare system's ability to
serve its market; therefore, the credential
requirements are commensurately greater.
-
Contract or endorsement from a
GPO? Yes. Amerinet.
-
Please summarize your company's
key benefits for vendors: Healthcare
credentialing compliance means documenting your
company's standing as well as every representative
that enters your customers' facilities. Hospitals
select Vendormate as their credential and compliance
solution because we understand their requirements
and the vendor's realities. At the vendor company
level, [Vendormate offers] flexibility (ala carte
pricing to fully outsourced credential management)
and insight (management reports that let vendors
know which reps are registered and are fully
compliant at which healthcare systems.) At the
representative level, [Vendormate offers] 24/7
access to each healthcare system's unique
requirements, ability to manage your documents
securely online, e-mail alerts of compliance status,
privacy (no social security numbers, no driver's
licenses, no "community" commentary), and live phone
and e-mail support.
11. VeriRep
Williamsville, NY
www.verirep.com
(Editor's Note: From the Website, it appears the
company may be at least partly owned by Kaleida Health
in western New York.)
Company did not respond to IMDA Update's inquiries.
Return to top
|
Vendor credentialing
Vendormate extends pricing
program to IMDA members |
Vendormate Inc., Atlanta, GA, has
extended its "Open Access" pricing program to IMDA
members. The program allows suppliers to gain access to
all Vendormate accounts for one year with one annual
fee. IMDA members with one rep pay $450 annually; those
with two reps pay $900; three reps, $1,350; four reps,
$1,620; and five reps, $1,800. Those with more than six
reps are asked to contact Vendormate. "Vendormate
respects your privacy and never asks for SSNs or
driver's licenses," the company said in its
announcement. "You'll enjoy 24/7 access to your profile,
courtesy alerts as new hospitals select Vendormate, and
toll-free and email account support."
It was Vendormate's original pricing strategy -- calling
for suppliers to pay as much as $250 per company per
hospital (or IDN) -- that ignited the concerns of IMDA
members and other suppliers and manufacturers over the
past two years.
To take advantage of the "Open Access" program, IMDA
members with up to five reps should contact Freddie
Snell at
Freddie.snell@vendormate.com. Those with six or more
reps should contact Flo Gentry at
flo.gentry@vendormate.com.
|
Beyond
price
Hospitals need to revamp
their approach to value analysis, and IMDA
members can help |
Materials
managers need to expand their focus beyond price, GPO
contracts and product standardization in order to
achieve big savings in their hospitals or IDNs. But it
requires a new way of looking at costs. And suppliers,
including IMDA members, need to help out. That's the
opinion of Robert Yokl, chief value strategist for
Strategic Value Analysis In Healthcare®, Skippack, PA.(www.strategicva.com).
"Taking the time, effort and expense to prove your value
to your customers is what being a value analysis advisor
is all about," says Yokl, who spoke about the topic
recently with IMDA Update. True, not all materials
managers or suppliers want to devote the time to do
that. But in today's environment, it's simply something
that must be done, particularly as more materials
managers adopt a broader, more sophisticated view toward
cost.
Prior to founding his company in 1987, Yokl spent many
years in materials himself, first in a number of
stand-alone facilities, then in a 926-bed multihospital
system. He also served as vice president of support
services for a nursing home chain and vice president of
operations for a small med/surg distributor.
He created Strategic Value Analysis in Healthcare® to
provide healthcare organizations with software, training
and consulting services to give them better information
and better focus, so they could make better decisions
and exert more control over their supply chains.
For some time, hospitals and IDNs have used so-called
"value analysis teams" to help them decide whether to
bring in new products and equipment. But those teams
have lost much of their power, says Yokl. "They're
focused solely on price, GPO contracts and
standardization," or what Yokl calls "traditional value
analysis." What's more, committee members too often are
selected on the basis of their titles -- e.g., director
of nursing, infection control practitioner, etc. --
rather than on the basis of their abilities or
enthusiasm for the process. Consequently, hospitals are
missing the boat on somewhere between 7 percent to 15
percent of new savings opportunities.
Perhaps the biggest missed opportunity -- and the one
that IMDA members must help providers address -- is what
Yokl refers to "utilization misalignment," which he
defines as "wasteful, inefficient consumption, misuse,
misapplication and value mismatches in products,
services and technologies." Example: Prior to a surgical
procedure, the surgeon routinely orders three cartridges
of staples, and ends up using one and throwing out the
other two. Or the surgeon routinely orders a specialized
electromechanical in his or her custom pack, but uses it
only in only a fraction of the cases.
|
IMDA Announcement
Refer a member and get $50
Every time IMDA gains a
member, our collective voice grows
louder, our collective wisdom becomes
greater, and our collective influence in
the market grows. It's good for
everyone.
And there's no better
source for new members than current
ones. After all, you know the market,
you know the people. That's why IMDA is
offering members $50 for every new
member who joins as a result of your
referral.
So when you're walking
the floor at your next trade show, or
taking a break at your next sales
meeting, keep an eye out for companies
that might benefit by joining IMDA.
Collect business cards and send them to
headquarters.
Fifty bucks is nice. But
the added wisdom, knowledge and
camaraderie that a new member brings are
even greater payoffs. |
|
Rather than sit around a table over coffee and discuss
how much an item costs, then, the hospital's value
analysis members need to venture out into treatment
areas and see firsthand how -- and in some cases, whether
--devices are being used appropriately. Just as
important, the team members need to measure how the
hospital's or IDN's usage compares with others of
similar size, demographics, etc. Are the surgeons using
more devices than others? Are their total costs per
procedure higher? Although data like this provides
important clues for value analysis team members, it is
almost impossible to collect manually, that is, without
the help of automated systems and a database that spans
several hundred hospitals, says Yokl.
In one case, using his company's automated information
system and database, Yokl's team found that a hospital
client was using many more point-of-service diabetes
tests than others. Upon investigation, they found that
the test itself was defective, necessitating the use of
multiple strips for each test. They also found that the
nurses, out of generosity and goodwill, were giving
their diabetic patients some tests to take home upon
discharge.
What IMDA members can do
The question for IMDA members is, "What does this have
to do with me?" Plenty, says Yokl. More and more
materials executives and clinicians are recognizing that
the potential savings through correction of "utilization
misalignment" is greater than that through
price-shopping. That means they are going to be more
demanding of their suppliers to prove not only the
clinical efficacy of their products, but their
cost-effectiveness as well. "You have to validate your
claims," he says.
"I get calls several times a month from manufacturers
who are scrambling for ideas" on how to sell their
products, he says. "I tell them, ‘You can't use studies
you've done somewhere else,' though that's a nice place
to start a conversation. ‘You have to do a study at the
hospital.'" The goal is to demonstrate in the hospital
that the total cost (not the purchase price) of your
device is lower than that of your competitors or of
existing technologies, he says.
The supplier must first develop the metrics, or
"measuring sticks," which it will use to prove its case;
then observe the new device in use; then compare the
cost of the new device or procedure with that of the
customer's existing technology or procedure. "It has to
be with data in order to be credible," he says. And it
has to be quantifiable. In other words, the supplier
must assign a dollar amount to every benefit -- even the
soft ones -- which its device brings the hospital or IDN.
"This isn't theory," says Yokl. "We do it." And so must
suppliers, including IMDA members.
"Cost management is everybody's business," he says. "It's something that has to be done, like putting gas in
your car or brushing your teeth in the morning." That's
true for both the customer and the supplier. "The
alternative is that millions of dollars are left on the
table."
Return to top
|
At
issue: Should medical device makers be subject
to lawsuits?
Congress gets an earful |
Should people be allowed to sue medical-device-makers if
harmed by a device that received marketing clearance
from the Food and Drug Administration? Members of
Congress heard both sides of the issue during a public
hearing last month.
At issue is the Medical Device Safety Act of 2009,
introduced in March by U.S. Representatives Frank
Pallone Jr. (D-N.J.) and Henry Waxman (D-Calif.). A
companion bill was introduced into the U.S. Senate by
Senators Edward Kennedy (D-Mass.) and Patrick Leahy
(D-Vt.).
IMDA members may recall that in February 2008, in Riegel
v. Medtronic Inc., the Court ruled that once a medical
device receives premarket approval by the FDA, federal
law bars most claims challenging its safety or
effectiveness, design or label. (See May 2008 IMDA
Update.) In the Riegel case, claims brought about by
Charles Riegel, who suffered permanent injury when a
Medtronic balloon catheter burst during an angioplasty,
were thrown out on the basis that they were "preempted"
by the FDA's approval of the device.
Earlier this year, in March, the Court found no such
pre-emptive language in the statutes governing drug
regulation. As a result, the Court upheld Vermont state
rulings that awarded damages to a woman who developed
gangrene and had part of her arm amputated after being
treated with an anti-nausea drug.
The Medical Device Safety Act would in essence overrule
Riegel v. Medtronic and allow people to sue
medical-device makers.
"[Riegel v. Medtronic] left consumers without any
ability to seek compensation for their injuries, medical
expenses and lost wages resulting from injuries caused
by defective premarket approval (PMA) devices or
inadequate safety warnings," according to the U.S. House
of Representatives Committee on Energy and Commerce,
which is chaired by Waxman. "It also removed one of the
industry's most important incentives to maintain product
safety after approval and disclose newly discovered
risks to patients and physicians. The Medical Device
Safety Act of 2009 protects patients from dangerous and
defective devices by correcting the Court's flawed
interpretation of the [Medical Device Amendments]. The
legislation explicitly clarifies that state product
liability lawsuits are preserved.
The two sides
|
IMDA Announcement
Looking for lines?
View a list of all medical devices
receiving FDA marketing clearance in
May by visiting the
FDA Website.
You might find a company in need of your
expertise.
|
|
There are two sides to just about every argument. Such
is the case with the Medical Device Safety Act, as
proven by the recent one-day hearing by the health
subcommittee of the Energy and Commerce Committee.
Opponents of the bill argue it would stifle innovation
by subjecting device-makers to scores of lawsuits across
the country. One of them, Michael Kinsley, a Washington
Post columnist who suffers from Parkinson's disease,
voiced his dissent at the hearing. Kinsey uses a brain
stimulator made by Medtronic to help manage the disease.
"So here's the problem," said Kinsey, who called himself
a "grateful customer" of the pharmaceutical and medical
device industries. "We all want the government to
protect us from dangerous drugs and devices. But we
don't want the government to prevent us from getting
helpful or even life-saving drugs and devices. Yet the
most important drugs and devices are both. They save
lives, and they can cost lives. The government's job is
to weigh the risks against the benefits." In Kinsley's
opinion, that job should be left to the FDA, not state
courts.
The other side of the debate was represented at the
hearing by Bridget Robb, Gwynedd, Pa., a 35-year-old
mother with cardiomyopathy and congestive heart failure.
"On December 31, 2007, I was awoken from my sleep by a
series of shocks to my heart that felt as if a cannon
was being repeatedly shot at my chest at close range,"
she testified. Throughout the night, she received a
total of 31 shocks from her implantable cardiac
defibrillator. "It was excruciating pain," she said. "Ever since that day, I have been unable to sleep in my
own bed due to the trauma I experienced." (Subsequently,
the Medtronic Spring Fidelis lead was recalled due to
its potential to fracture.) "I find it discouraging and
demoralizing that I have no recourse for my injuries,
and that a company that manufactured a defective product
that has harmed me and thousands of other individuals
has no accountability."
Medical industry weighs in
Not surprisingly, the medical device industry opposes
the Medical Device Safety Act. In March, when it was
introduced, AdvaMed President and CEO Stephen J. Ubl
issued a statement. "If enacted, this legislation would
effectively allow state courts to review medical devices
and ultimately lead to a patchwork of inconsistent and
confusing guidance on the use of medical treatments for
patients and physicians, or limit their availability
altogether," he said. "America needs a central expert
authority to regulate medical devices based on a
scientific risk-based approach to public health and
safety for all Americans, not ad hoc regulation through
state court verdicts."
On the other side, the New England Journal of Medicine
published an opinion piece in April by two medical
doctors and a Ph.D. in strong support of the bill.
"Every medical intervention has benefits and risks,"
wrote the authors. "Patient safety can be ensured only
when the makers of drugs and devices fully and openly
disclose both the benefits and the potential adverse
effects associated with an intervention. . . .Unfortunately,
one major stakeholder, the medical-device industry, has
been shielded from the potential consequences to
adequately disclose risks.
"Since the Supreme Court ruling in Riegel, thousands of
lawsuits against medical-device manufacturers have been
tossed out of court by judges following the Court's lead
in deeming such lawsuits to be preempted. We believe
that preemption will result in medical devices that are
less safe for the American people."
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IMDA Update
Published by IMDA
5204 Fairmount Ave., Downers Grove, IL 60515
Phone: (630) 655-9280
(866) IMDA-YES (866-463-2937)
Fax: (630) 493-0798
Website:
www.imda.org
E-mail:
imda@imda.org
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| Staff
Katie Swartz: Executive
Director
Judy Keel: Executive Vice President
Patti Perillo: Senior Administrator
Mary Moran: Chief Financial Officer
Mark Thill, Editor &
Communications Director (847) 255-0716
Mitchell Kramer, Legal Counsel (800) 451-7466
Barbara Kramer, Legal Counsel (734) 930-5452
George Ayd, Jr., Insurance
Administrator
(703) 652-1309
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| 2009-2010 Directors
President
Kevin Trout, Grandview Medical Resources, Inc.
(412) 914-0950
President-Elect
Anthony Marmo, Martab Medical (201) 512-1100
Secretary/Treasurer
Hal Freehling, Jr., O.E. Meyer Company (419) 609-1633
Chairman of the Board
Dave Campbell, PhD, Vital/Med Systems Corporation
(303) 660-0888
Directors-at-Large
Tom Birmingham, Bay State Anesthesia, Inc. (978) 682-6321
George Howe, Mercury Medical (727) 573-0088
Philip M. Reilly, KOL Bio-Medical Instruments, Inc.
(703) 378-8600
Don Reiter, Specialty
Respiratory Care, Inc.
(818) 717-8807 x19
Bill Schultz, IPV Medical, LLC (760) 212-2769
Past-President
Shawn Walker, Bay State Anesthesia, Inc. (978) 682-6321
Manufacturer Representative to Board
Tim Beevers, Beevers
Manufacturing & Supply
(503) 472-9055 |
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| The ideas presented in this newsletter may or
may not be applicable to your particular situation. Always
consult your tax advisor, attorney or CPA before putting them
into effect. |
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