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PROGRAM OVERVIEW Section 1847 of the Social Security Act mandates that competitive bidding payment amounts replace the current Medicare Durable Medical Equipment, Prosthetics, Orthotics and Supplies (DMEPOS) fee schedule payment amounts for selected items in selected areas. The intent is to improve the effectiveness of the Medicare methodology for setting DMEPOS payment amounts, which will reduce beneficiary out-of-pocket expenses. The Medicare Modernization Act of 2003 (MMA), Section 302, established these requirements for a new competitive bidding program for certain DMEPOS. This program changes the way that Fee-For-Service (FFS) Medicare pays for these items under Part B of the Medicare program by using bids submitted by DMEPOS suppliers to establish payment amounts. The MMA required the Competitive Bidding Program to be phased in beginning in 10 of the largest Metropolitan Statistical Areas (MSAs). The new payment amounts will be effective on July 1, 2008 for these 10 areas. In 2009 the program will be expanded into 70 additional MSAs and into additional areas thereafter. To view the final rule implementing the program, click on the "Federal Regulations, Notices and Manual Instructions" link on the left side of this screen. To view the list of Product Categories and items, click on the "Product Categories and Items" link on the left side of this screen and go to the "Downloads" section of the page. To view the MSAs and associated Competitive Bidding Areas (CBA), click on the "MSAs and CBAs" link on the left side of this screen. Go to the "Downloads" section of the page for the list of MSAs. Go to the "Related Links Outside CMS" for the list of CBAs. Note that all supplier bidders must be accredited in order to be awarded a DMEPOS competitive bidding contract. For more information on accreditation, please visit the CMS Medicare Provider-Supplier Enrollment Accreditation page which can be found under the "Related Links Inside CMS" section below. A timeline of significant dates pertaining to Round 1 is available in the "Downloads" section below. Information relevant to the bidding process for Round 1 is available in the "Downloads" section below. CMS has contracted with the Competitive Bidding Implementation Contractor (CBIC) to assist in administering the DMEPOS Competitive Bidding Program. Palmetto GBA is responsible for conducting certain functions including performing bid evaluations, selecting qualified suppliers, setting payments for all competitive bidding areas, educating bidders, and supporting CMS outreach and education for program implementation. Palmetto GBA also assists CMS and its contractors in monitoring the program's effectiveness, access, and quality.
Page Last Modified: 05/08/2008 3:41:47 PM
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