Davita Spent $1.5 Million Lobbying the Government in the First Half of 2007

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Davita Spent $1.5 Million on Lobbying

Tuesday September 18, 3:29 pm ET

Davita Spent $1.5 Million Lobbying the Government in the First Half of 2007

WASHINGTON (AP) -- DaVita Inc., which runs kidney dialysis centers, spent $1.5 million lobbying the federal government in the first half of 2007, according to a recent disclosure form.

DaVita lobbied on bills that control how much the government pays dialysis centers and sets what qualifications are required for dialysis center employees.

Since the government's Centers for Medicare and Medicaid Services pays for the care of nearly all of the 390,000 people in the U.S. on dialysis, DaVita has a huge stake in policies that affect dialysis reimbursement.

Some members of Congress are working to change the system CMS uses to reimburse dialysis centers for buying the anemia treatment Epogen from Amgen Inc.

Investigations by government watchdogs have shown the government pays clinics about 5 percent more than what it actually costs them for the drugs. Anemia, a blood disorder which causes fatigue, is a common side effect of kidney disease.

The lawmakers argue the current system encourages centers to use more of the drugs than necessary, running up government costs and putting patients at risk of dangerous complications.

Medicare officials are working on a new payment system that would remove the incentive to overuse the drugs, though they said it could years before it is implemented.

DaVita and other dialysis chains have said they will support a revised payment policy as long as it covers the costs of caring for patients.

Under a federal law enacted in 1995, lobbyists are required to disclose activities that could influence members of the executive and legislative branches. They must disclose how much they spend on lobbying during the first six months of each year.

DaVita Inc. is based in El Segundo, Calif.

http://biz.yahoo.com/ap/070918/davita_lobbying.html?.v=1