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CBIC Announces DMEPOS Competitive Bidding Round 2019

On January 31, the Centers for Medicare & Medicaid Services (CMS) announces plans to recompete the supplier contracts and consolidate all current rounds and areas included in the Medicare Durable Medical Equipment, Prosthetics, Orthotics, and Supplies (DMEPOS) Competitive Bidding Program into a single round of competition named Round 2019. CMS is required by law to recompete contracts under the DMEPOS Competitive Bidding Program at least once every three years. The Round 1 2017, Round 2 Recompete, and the National Mail-Order Recompete contract periods for all product categories will expire on December 31, 2018.

To ensure suppliers have ample time to understand the new bidding rules and prepare for the competition, CMS has provided detailed fact sheets on the Competitive Bidding Implementation Contractor (CBIC) website and will be offering additional educational resources. Refer to the timeline for the Round 2019 target bidding schedule. Suppliers may contact the CBIC at 877-577-5331 between 9 a.m. and 5:30 p.m. prevailing Eastern Time if they have additional questions or need assistance.

Round 2019 will take place in 141 competitive bidding areas (CBAs) across the country. All but 10 are currently included in Round 1 2017, Round 2 Recompete, and the National Mail-Order Recompete. Ten of the Round 2019 CBAs are new to the program and are specific to the continuous positive airway pressure (CPAP) devices and related accessories product category only. Please refer to the CBIC website for more information about the CBAs.

Round 2019 will have a total of 11 product categories. New for 2019 is the insulin pumps and supplies product category, which will be bid in the national CBA, and CPAP devices and related accessories. A list of the specific items in each product category is available on the CBIC website.

  1. Continuous Positive Airway Pressure (CPAP) Devices and Related Accessories (Capped Rental)
  2. Continuous Positive Airway Pressure (CPAP) Devices and Related Accessories (Non-Capped Rental)
  3. Enteral Nutrients, Equipment, and Supplies
  4. General Home Equipment and Related Accessories
    • includes hospital beds and related accessories, group 1 and 2 support surfaces, commode chairs, patient lifts, and seat lifts
  5. Insulin Pumps and Supplies
  6. Mail-Order Diabetes Testing Supplies
  7. Nebulizers and Related Accessories
  8. Negative Pressure Wound Therapy (NPWT) Pumps and Related Accessories
  9. Respiratory Equipment and Related Supplies and Accessories
    • includes oxygen, oxygen equipment, and supplies; continuous positive airway pressure (CPAP) devices and respiratory assist devices (RADs) and related supplies and accessories
  10. Standard Mobility Equipment and Related Accessories
    • includes walkers, standard power and manual wheelchairs, scooters, and related accessories
  11. Transcutaneous Electrical Nerve Stimulation (TENS) Devices and Supplies

CMS is adding 10 new CBAs for the CPAP devices and related accessories product category only. In five of these 10 new CBAs, payment for the CPAP device, related accessories, and services will be made on a non-capped monthly rental basis, while payment in the other five CBAs will be made on a capped monthly rental basis like all other existing CBAs. For a listing of the new CBAs and the bidding and payment rules, please refer to the fact sheet.

Beginning in Round 2019, CMS is implementing the 'lead item bidding' methodology for certain durable medical equipment. Suppliers will bid for a lead item within a grouping of similar equipment with or without certain features. Refer to the Lead Item Bidding fact sheet for more information.

Bidders must obtain a $50,000 bid surety bond from an authorized surety on the Department of the Treasury’s Listing of Certified Companies for each CBA for which a bid is submitted. A copy of the bid surety bond(s) must be uploaded to the DMEPOS Competitive Bidding Program’s secure online portal, Connexion, by the deadline for bid submission. Refer to the CBIC website for more information.


GET BONDED: Bidders must provide proof of having obtained the required bond(s) by uploading a copy of the bond(s) to Connexion by the close of the bid window. It is important to note, however, that bid surety bonds required for bidding in the DMEPOS Competitive Bidding Program are NOT the same as the surety bonds required for DMEPOS supplier enrollment purposes.

GET LICENSED: Contracts are only awarded to suppliers that meet all licensing requirements by the close of the bid window. Licensing requirements change periodically, and it remains the responsibility of the bidder to identify, obtain, and have all current, non-expired required licenses reflected in the Provider Enrollment, Chain, and Ownership System (PECOS) by the close of the bid window. Each physical location on the bid must be licensed for the product category by the state or area in which it provides items and services. Suppliers bidding for mail-order diabetes testing supplies or insulin pumps and supplies in the national CBA must have all the required licenses. It is up to the bidder to confirm which states or areas require a license(s).

A DMEPOS State License Directory for each state, the District of Columbia, and the US territories may be found on the National Supplier Clearinghouse (NSC) website at This directory provides general licensing requirements for DMEPOS product categories and contact information for each licensing board or agency. This is only a guide. For more information about licensing requirements, please consult the appropriate licensing board/agency listed in the directory.

GET ACCREDITED: In order to submit a bid, each supplier location must be accredited by a CMS approved accrediting organization for the items it provides in a product category. Suppliers who are interested in bidding for a product category and who do not have its location(s) currently accredited for that product category must take action NOW to get accredited for that product category. Accrediting organizations report any accreditation updates to the NSC, so it is important that suppliers get accredited early so their information will be up-to-date. CMS cannot contract with suppliers that are not accredited by a CMS approved accrediting organization. Further information on the DMEPOS accreditation requirements along with a list of the accrediting organizations and those professionals and other persons exempted from accreditation are available on the CMS website.

REVIEW AND UPDATE ENROLLMENT: Suppliers must maintain accurate information on its CMS-855S with the NSC and in PECOS including:

  • Contact information (name, Social Security number, and date of birth) for authorized official(s)
  • Products and services furnished by the enrolled location(s)
  • Each state in which the enrolled location(s) furnishes items and services

NOTE: Suppliers with only one authorized official listed on their enrollment file should consider adding one or more eligible authorized officials to help with registration and bidding. It is important to note that if suppliers' files are not current at the time of registration, they may experience delays and/or be unable to register and bid.

The CBIC is the official information source for bidders and the focal point for bidder education. The CBIC website features important and helpful resources to ensure that suppliers have the information necessary to understand the new bidding rules and prepare for Round 2019. To sign up to receive important competitive bidding announcements and reminders, suppliers and others are encouraged to subscribe to E-Mail Updates on the CBIC website.

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