CMS announces steeper cuts for Round 1 re-compete
BALTIMORE – The reimbursement rates for certain home medical equipment will be, on average, 37% lower as part of the Round 1 re-compete of competitive bidding, CMS announced today.
The Round 1 re-compete is scheduled to kick off in nine cities on Jan. 1, 2014.
The reimbursement rates for Round 1 of competitive bidding, which kicked off Jan. 1, 2011, were, on average, 32%, below the current fee schedule.
In the Round 1 re-compete, providers submitted bids for a revamped list of product categories:
• Respiratory equipment (oxygen and CPAP)
• Standard mobility equipment (walkers, manual and power wheelchairs)
• General HME (beds, support surfaces, TENS devices, commode chairs, patient lifts and seat lifts)
• Enteral nutrients
• Negative pressure wound therapy
• External infusion pumps and supplies
The reimbursement rates for the Round 1 re-compete will be, on average, 41% lower for enteral nutrients; 21% lower for external infusion pumps; 47% lower for general HME; 42% lower for negative pressure wound therapy pumps; 40% lower for respiratory equipment; and 34% lower for standard mobility equipment.
CMS’s next steps:
• It will now begin the contracting process.
• In the fall of 2013, it plans to announce the contract suppliers, and begin its supplier, referral agent and beneficiary education campaign.
• On Jan. 1, 2014, it plans to go live with the payment amounts and contract suppliers.
For reimbursement rates:
For average reimbursement rates:
For number of contract offers by bid area and product category: