1. The Medicare fee schedule must be adopted for all "A" code equipment and rental equipment. The Medicare rate must be adopted for service labor. Medicare standards and rates must be adopted for respiratory equipment.

2. Reimbursement must be based on manufacturer's suggested pricing less 15% on purchased equipment. Distinctions between new and used equipment must be eliminated. All copays must be fully reimbursed. Reimbursement for labor must include all time in providing products and services, portal to portal, and must include mileage. There may not be a fee cap on rehabilitation and assistive technology.

3. Respiratory equipment may be changed from purchase to rental only for frequently serviced equipment, as under the Medicare program, such as oxygen, respiratory therapy equipment and ventilators.

4. Prior authorization in Medicaid requirements must be simplified as follows.

A. The types of equipment requiring prior authorization must be reduced in number and limited to costs over $1,000 for replacement parts and costs over $500 for other items and services. Prior authorization for rental and respiratory equipment must be eliminated. The Medicare certificate of medical necessity guidelines must be adopted.

B. Reimbursement for Group II support services must follow Medicare codes, guidelines and fee schedules.

C. Decisions regarding prior authorizations must be made within 14 days or will be considered to be granted. There must be criteria for emergency authorizations.

D. Prior authorization must be processed for electronically powered rehabilitation equipment for individuals with dual insurance eligibility.

E. Standards for determining whether rehabilitation equipment will be purchased or rented must be clarified.