In The News

Small Business Person of the Year

Small Business Person of the Year
Texas law helps orthopedic provider grow
By Jodi Record

HOUSTON, Texas - The Texas law aimed at putting people like Joe Sansone out of business is the very same regulation that has helped the HME provider flourish. Since founding TMC Orthopedic in 1992, Sansone's company has grown from seven employees to more than 70. Billings for braces has swelled from $20,000 a month to $200,000 - all. Sansone says, because he got legal.

In 1997, Texas passed the Orthopedic and Prosthetic Act, charging anyone fitting braces on patients to become licensed. Creating a regulating body took time, however, and Texas will only start enforcing the law this spring.

Margo Williams, a certified licensed orthotist in Dallas, calls the law a good one, saying it provides protection where none existed previously. "Before there was no control of the O&P industry in the state of Texas," Williams says. "Now, people who need devices have some protection if they have problems; they can go to the state. It's kind of like the lemon law for cars.

As Sansone tells it, there were two views when the law passed. Supporters of the new regulation took the position that sales people were not knowledgeable enough to fit braces without risking injury to patients. Opponents - "probably me back then," Sansone says - were afraid the law would prohibit free market trade.

The Texas legislature didn't agree and the law went through. HME's who weren't prepared to make the change had to give up that portion of their business. As a result, the number of companies fitting braces dropped from 40 to 15.

"When the law was passed, people had three choices. Sansone says. "They could bury their heads in the sand, cease and desist fitting braces or become legitimate and hire licensed orthotists and open facilities. I choose the latter because I was going to lose too much profit if I didn't join them."

Sansone had hoped to get his sales people certified because they had already been doing the work. However, the law stated that, to be exempt from licensing requirements, an orthotist needed two years experience and had to know how to fit at least 10 out of 13 kinds of braces.

"Unless you were already certified, that was almost impossible;" Sansone said.