Government

DME supplier bidding starts in late October

NEWS IN BRIEF — Posted Aug. 17, 2009

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The Centers for Medicare & Medicaid Services announced Aug. 3 that a 60-day supplier bidding period will begin in late October for the round-one rebid of the Medicare competitive bidding program for durable medical equipment, prosthetics, orthotics and supplies.

The Obama administration announced earlier this year that it would proceed with the 2010 relaunch of the DME competitive bidding program after initially delaying the effective date of a rule to review changes approved by the Bush administration. The competitive bidding program originally was launched July 1, 2008, in an effort to lower DME costs, enhance quality and prevent fraud. But the initiative was halted after two weeks when lawmakers agreed to an 18-month moratorium.

The American Assn. for Homecare and other organizations representing suppliers have been critical of the bidding program. They say it lowers quality, reduces access to care and ultimately will force out firms that use high-quality equipment or provide critical patient services. They are lobbying for another legislative intervention before 2010.

Note: This item originally appeared at http://www.ama-assn.org/amednews/2009/08/17/gvbf0817.htm.

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