GPOs Should Be Covered Under ‘Sunshine” Provisions, Provide Transparency

WASHINGTON, DC -- The Medical Device Manufacturers Association (MDMA) reiterated their belief that payments to group purchasing organizations (GPOs) should be subjected to “sunshine” provisions to increase transparency and competition in the delivery of healthcare.  MDMA issued preliminary comments to the Centers for Medicare and Medicaid Services (CMS) following the “Special Open Door Forum: Transparency Reports and Reporting of Physician Ownership or Investment Interests” that was held on March 24, 2011.

The workshop was part of the process to implement Physician Payment Sunshine provisions of the Affordable Care Act.

“MDMA has long supported the goals of enhanced transparency in the healthcare industry, especially payments to GPOs which largely operate out of public scrutiny.  GPOs collect billions from drug and device companies in exchange for preferred access to hospitals,” said Mark Leahey, President and CEO of MDMA.  “This would bring much needed transparency to the inappropriate influence exerted by GPOs that prevents patients and purchasers from getting the best product at the best price.”

CMS is expected to issue formal rulemaking regulations later this year on physician sunshine proposals.

To read the full preliminary comments submitted by MDMA, click on the link below.