Bill Popomaronis, R.Ph., NCPA vice president, home health and long term care pharmacy services, provides his thoughts and explanations on the latest DME information from CMS.




Wednesday, January 9, 2008

CMS Announces Plans for Second Phase of Competitive Bidding

The Centers for Medicare & Medicaid Services (CMS) Tuesday announced 70 new areas across the nation will be part of the second phase of the durable medical equipment, prosthetics, orthotics, and supplies (DMEPOS) competitive bidding program. Ten areas currently participate in the program.

CMS expects to begin pre-bidding activities of the second round, such as announcing the specific zip codes that constitute the CBAs, specific items in each product category, and bidder education and registration for user IDs and passwords, in the spring of 2008. The bidding period is expected to run 60 days and is planned to begin in the summer of 2008. A more detailed timeline will be provided as the pre-bidding activities begin.

Suppliers must also meet quality standards established by CMS and be accredited by one of 10 organizations chosen by Medicare. The final deadline for all suppliers to obtain an initial accreditation is September 30, 2009. However, suppliers that want to participate in the second phase of the competitive bidding program will have to be accredited well in advance of that deadline to be awarded a contract with CMS.

“I cannot stress enough the importance for all Part B DMEPOS suppliers to apply for accreditation early, and not wait until September 30, 2009,” said CMS Acting Administrator Kerry Weems. “Suppliers considering participating in the second phase of the competitive bidding program should apply for accreditation immediately.”

The competitive bidding program also includes special considerations for small suppliers, and options for beneficiaries in the competitive bidding areas (CBAs) who have existing rental agreements with suppliers that are not chosen as winning bidders in the competition.

For more information on the competitive bidding program and accreditation requirements, visit www.pharmacistelink.com/medicaredme.

Additional information on the DMEPOS competitive bidding program is available at the following websites: http://www.cms.hhs.gov/CompetitiveAcqforDMEPOS/ and
http://www.medicare.gov/Supplier/Static/About/DMEPOS.asp.