Senate Passes Durable Medical Equipment Bidding Delay

The Senate passed a bill last week delaying the Medicare competitive bidding program for durable medical equipment, prosthetics, orthotics and supplies (DMEPOS).

The legislation, H.R. 6331, the Medicare Improvements for Patients and Providers Act, delays implementation of Round 1 of the program, which began July 1. The House passed its version last month. But voting on the bill in the Senate had been blocked, which delayed its passage until after the program went into effect.

Although industry has resisted the program, the delay will cost DMEPOS manufacturers as it would be funded by a 2 percent reduction in Medicare payment rates for those items.

If signed by the president, the legislation would terminate any contracts already awarded under the program, and suppliers would have to submit new bids for contracts in the affected geographic areas. The new contracts would take effect in 18–24 months.