CMS unveils competitive bidding fee schedule for DMEPOS

Wednesday, March 19, 2008

WASHINGTON - Providers in the first 10 competitive bidding areas submitted bids that on average will lower the fee schedule rates on many DME items by 26%, CMS officials stated during a late afternoon press conference.

"This new program means that Medicare beneficiaries will have access to some medical equipment and supplies at substantially lower prices than they are paying now," said CMS Acting Administrator Kerry Weems. "The Medicare program and taxpayers will share in these savings. This program represents yet another way to use the competitive marketplace to bring the best possible and most efficient care and services to people with Medicare. Because new accreditation and quality standard initiatives are being implemented in conjunction with the phase in of competitive bidding, this program will provide assurance to beneficiaries that they are receiving high quality medical equipment for home use."

The first round of the program begins July 1, 2008 in Charlotte, Cincinnati, Cleveland, Dallas, Kansas City, Miami, Orlando, Pittsburgh, Riverside and San Juan. Suppliers that wished to participate in the program submitted bids last year. CMS will announce the contract suppliers once all contracts have been executed.

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