CMS delays PMD, RAC demos

Wednesday, December 28, 2011

BALTIMORE – CMS announced today that it has “delayed until further notice” a new power mobility device (PMD) demonstration that was scheduled to kick off in seven states on Jan. 1.

As part of the first phase of the demo, all PMD claims submitted by providers will be subject to a prepayment review process. In the second phase, scheduled to begin three to nine months later, physicians and practitioners will be subject to a prior authorization process.

“CMS received many comments/suggestions on the demonstration,” the agency stated. “CMS is considering these comments carefully. Therefore, CMS will delay implementation.”

CMS has also delayed a Recovery Audit Contractor (RAC) demo that was scheduled to kick off in 11 states Jan. 1. As part of the demo, RACs will be allowed to review claims before they’re paid to ensure providers have complied with Medicare payment rules. The RACs will target certain types of claims that have, historically, resulted in high rates of improper payments.

CMS stated that it still plans to conduct the demos “to strengthen Medicare by aiming at eliminating fraud, waste and abuse” and that it will provide at least 30 days notice before the demos begin.

To read CMS’s announcement, go to:




This is definitely a move in the right direction. Also, the 7 month 100% prepay period is excessive. 90 days is still too much but at least that is workable. Hopefully they will not abuse providers in Texas, Florida and North Carolina unneccisarily. Good news!

Great news for the companies who bask in mega profits from delivering unnecessary PMD's. No wonder our government is broke.

Scooter, who in the heck is making mega profits? If you want to target the scooter store and hoverround then target the scooter store and hoverround. But this "cure" is gonna wipe out everyone except the nationals. And I assure you the little guys aren't basking in mega profits. lol

Scooter, what do you think constitutes and unnecessary PMD? I would love to here more than vague accusations and cheesy generalities from you.

Scooter sounds like Sumone who must wk for Medicare and knows bout as much as they do bout what it cost to take care of people who need these Pwc. Why don't we just eliminate Pwc all together and turn er into the new clinics and fill up nursing homes and hospitals and lets see how much that cost Medicare. This industry is only 1.6 percent of cms budget that's exactly the reason that cms gets away with how they are attacking this industry. We are the ones that save cms billions buy keeping people at home were they rather be.. Scooter why don't u apply for a job a cms u Hv there simple minded mentality

Actually Scooter sound like a disgruntled employee for a national power mobility provider to me. He seems to be looking at this issue through the prism of his petty grudges.