Paul Gudonis: So the public meeting is held twice a year. And CMS just published the agenda, which is available online. And the agenda includes pricing for a number of products, including ours. We’re right on the agenda item number one with this proposed pricing. So attendees or anyone that wants to submit comments about the proposed pricing or anything else about our product or anybody else’s product that are in the agenda. And then after CMS reviews any of those comments, they will typically come out with then their final fees and put that into what we call the alphanumeric tables. Usually, this takes them a couple of months. So we don’t expect the fees to go into effect until perhaps April 1st, maybe earlier than that, but that’s our current expectation.
Anthony Vendetti: Okay. So you’re saying April 1st and if it’s earlier, great, but that April 1st is the expectation. And then just in terms of revenue recognition, does this change any of your revenue recognition expectations for 2024? Or was this built into what you were expecting?
Dave Henry: I think as we — if CMS publishes a fee and we start getting regularly paid that fee, then we will — our expectation is that we’ll be recognizing revenue delivery for Medicare Part B patients once we can establish collectibility, which is the requirement under GAAP. We’re going to be under — our products will likely be reviewed under what’s called individual consideration, so on a case-by-case basis. And we’ll see as we go forward in 2024, how they’re paying. And then once we feel comfortable, then we’ll go ahead and — us and our auditors are comfortable then we’ll go ahead and start recognizing revenue and delivery.
Anthony Vendetti: Okay, Dave. And just from history and doing this for many years, establishing collectibility, is it — what I’ve learned anyway is that auditors typically want to see a full year, is that what you’re expecting a full year of establishing collectibility? Or do you think it could be shorter than that?
Dave Henry: When we establish collectibility for — or the insurers that I mentioned in my remarks, it was really based on more of a number of patients. And time wasn’t necessarily a factor. It was seeing a number of patients where if we get an authorization and we bill a claim and deliver, we get paid. We see that happening enough times regardless of time that would be the point at which we feel we can take revenue at delivery.
Anthony Vendetti: So more based on number of patients? And do you have a range of what you think that number would be, or hard to say at this point?
Dave Henry: I mean it’s — I mean, I would say it’s got to be a few dozen certainly.
Anthony Vendetti: Okay. Okay. And then based on all the good news in November, on November 1st, CMS published the final rule that reclassifies the MyoPro is a brace, and now this. Do you feel like the TAM for the MyoPro has increased in terms of what it was maybe prior to November?
Dave Henry: It’s at least double, Anthony, because if you look at the majority of the stroke population are seniors, about 50% of seniors are covered by Medicare Advantage plans and 50% of seniors are on the standard Medicare Part B. And we’ve only been able to serve that Medicare Advantage population until now. And so with these Part B patients, if they’re medically eligible for the device, that’s half of the senior population. So the way I look at it is, effectively, our TAM has doubled.
Anthony Vendetti: Okay. That’s helpful. All right. Great. Thanks very much. I’ll hop back in the queue.
