CMS charges ahead with Round 1 'recompete'

BALTIMORE - CMS late yesterday announced plans to “recompete” contracts for the nine areas included in Round 1 of competitive bidding.

The agency plans to announce a schedule and begin registration this summer. It plans to open bidding this fall.

The affected product categories are:

—    Respiratory Equipment and Related Supplies and Accessories (Includes oxygen, oxygen equipment, and supplies; continuous positive airway pressure (CPAP) devices, respiratory assist devices (RADs), and related supplies and accessories; and standard nebulizers)

—    Standard Mobility Equipment and Related Accessories (Includes walkers, standard power and manual wheelchairs, scooters, and related accessories)

—    General Home Equipment and Related Supplies and Accessories (Includes hospital beds and related accessories, group 1 and 2 support surfaces, transcutaneous electrical nerve stimulation (TENS) devices, commode chairs, patient lifts, and seat lifts)

—    Enteral Nutrients, Equipment and Supplies

—    Negative Pressure Wound Therapy Pumps and Related Supplies and Accessories

—    External Infusion Pumps and Supplies

Several of these product categories are new to bidding, such as infusion pumps, and some of these product categories have been combined into one category, such as oxygen and CPAP.

The current Round 1 contracts, except the contracts for mail-order diabetic supplies, expire Dec. 31, 2013.

For more info on the “recompete”: http://www.cms.gov/Medicare/Medicare-Fee-for-Service-Payment/DMEPOS-Round-1-Recompete/index.html

In the wake of this announcement, the U.S. Department of Health and Human Services released a report that claims competitive bidding saved $202 million in its first year. With the future expansion of the program, HHS claims competitive bidding could save up to $42.8 billion over the next 10 years.

For more info on the report: http://www.cms.gov/Medicare/Medicare-Fee-for-Service-Payment/DMEPOSCompetitiveBid/index.html.