Contract suppliers selected under new Medicare program

November 08, 2010

The Centers for Medicare & Medicaid Services (CMS) released on Wednesday, November 3rd, the list of the 356 suppliers that have contracts with Medicare to provide certain medical equipment and supplies to beneficiaries in nine communities across the U.S. at competitive bid rates. This new program, authorized by Congress, is expected to save Medicare and its beneficiaries nearly $28 billion over 10 years.

"The Medicare beneficiaries in the first ten competitive bidding markets have been waiting to receive this list of winning durable medical equipment (DME) bidders who will provide services such as home oxygen. We would like to continue to hear from patients - both in and out of the competitive bidding areas - if they are having access problems," Miriam O'Day, Senior Director of Public Policy for the COPD Foundation, says. "As you may be aware the COPD Call Center Associates have been communicating ongoing problems with home oxygen to the Centers for Medicare and Medicaid Services (CMS).  We want to be sure that as a new CMS program rolls out that the patients are not disadvantaged."

The new competitive bidding program goes into effect on January 1, 2011, for beneficiaries in the Charlotte, Cincinnati, Cleveland, Dallas, Kansas City, Miami, Orlando, Pittsburgh and Riverside. This program used bids from suppliers that represented the local, competitive marketplace to lower the costs for certain durable medical equipment, prosthetics, orthotics and supplies (DMEPOS) for Medicare beneficiaries to obtain medical items and supplies.  Because beneficiaries pay 20 percent coinsurance on the payment amount for DMEPOS, they will directly benefit from the lower prices.  Based on bids submitted by these suppliers, beneficiaries and Medicare will see prices, on average, 32 percent lower than Medicare currently pays for the same items.

To read the entire CMS Press Release issued Nov. 3rd, click here.

For additional information about the Medicare DMEPOS Competitive Bidding Program, click here.

Please call 1-866-731-2673 if you have additional questions.