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Fast Facts

DMEPOS competitive bidding process will begin April 2007.
CMS has announced the 10 MSAs where competitive bidding will be introduced.
CMS has announced the product categories included in the first competitive bidding project.
The Final Rule governing competitive bidding ensures that at least 30 percent of bid winners are small businesses.
Suppliers must obtain accreditation to participate in competitive bidding. The ONLY exception to the rule is a pharmacy that maintains a Part B supplier billing number to submit Part B drug claims and administer vaccinations.
Ten agencies have been approved to accredit suppliers of DMEPOS.

Important Links:

Grandfathering for DMEPOS Rentals

By William Popomaronis, R.Ph.

The Centers for Medicare & Medicaid Services (CMS) has provided guidance to account for rental agreements created with suppliers furnishing items (i.e. oxygen) prior to implementation of the competitive bidding program, so that service can be continued with minimal disruption to the beneficiary.

The choice is left to the beneficiary to decide whether to continue renting the item from the grandfathered supplier or switch service to the winning bidder.

To keep the business, the grandfathered supplier MUST agree to accept the same payment terms as the winning bidder (contract supplier) AND accept the same payment terms for ALL beneficiaries that the supplier is servicing.

If your beneficiaries are traveling from a competitive bid area to a non-competitive bid area, they are required only to purchase from a supplier with a valid Part B billing number. Payment will be based on the single payment amount for the item in the area where the beneficiary maintains permanent residence.

William Popomaronis, R.Ph., is vice president, long term and home health care services for the National Community Pharmacists Association (NCPA). He is also the only pharmacist member of Medicare’s Program Advisory and Oversight Committee (PAOC), which provides advice on the development and implementation of the DME Competitive Acquisition Program.

Bayer HealthCare, Diabetes Care, has underwritten the costs of this communication. The information expressed in this communication are the views of NCPA. Bayer is not responsible for the accuracy of the information expressed in this communication. Any questions related to DME Accreditation and/or Competitive Bidding for DMEPOS should be directed to the Centers for Medicare and Medicaid Services or NCPA.


	Sponsored by Fast Facts DMEPOS competitive bidding process will begin April 2007. CMS has announced the 10 MSAs where competitive bidding will be introduced. CMS has announced the product categories included in the first competitive bidding project. The Final Rule governing competitive bidding ensures that at least 30 percent of bid winners are small businesses. Suppliers must obtain accreditation to participate in competitive bidding. The ONLY exception to the rule is a pharmacy that maintains a Part B supplier billing number to submit Part B drug claims and administer vaccinations. Ten agencies have been approved to accredit suppliers of DMEPOS. Important Links: Medicare DME Home Page Medicare DME blog Medicare DMe-Alert Archive Grandfathering for DMEPOS Rentals By William Popomaronis, R.Ph. The Centers for Medicare & Medicaid Services (CMS) has provided guidance to account for rental agreements created with suppliers furnishing items (i.e. oxygen) prior to implementation of the competitive bidding program, so that service can be continued with minimal disruption to the beneficiary. The choice is left to the beneficiary to decide whether to continue renting the item from the grandfathered supplier or switch service to the winning bidder. To keep the business, the grandfathered supplier MUST agree to accept the same payment terms as the winning bidder (contract supplier) AND accept the same payment terms for ALL beneficiaries that the supplier is servicing. If your beneficiaries are traveling from a competitive bid area to a non-competitive bid area, they are required only to purchase from a supplier with a valid Part B billing number. Payment will be based on the single payment amount for the item in the area where the beneficiary maintains permanent residence.

	William Popomaronis, R.Ph., is vice president, long term and home health care services for the National Community Pharmacists Association (NCPA). He is also the only pharmacist member of Medicare’s Program Advisory and Oversight Committee (PAOC), which provides advice on the development and implementation of the DME Competitive Acquisition Program.

	Bayer HealthCare, Diabetes Care, has underwritten the costs of this communication. The information expressed in this communication are the views of NCPA. Bayer is not responsible for the accuracy of the information expressed in this communication. Any questions related to DME Accreditation and/or Competitive Bidding for DMEPOS should be directed to the Centers for Medicare and Medicaid Services or NCPA.