CMS re-compete categories for Round 1 raise concerns

The Centers for Medicare & Medicaid Services (CMS) last week announced the re-compete categories for the nine metropolitan areas in Round 1 of the Competitive Bidding Program. The HME industry is voicing concern about seemingly illogical regrouping of some product categories.

Existing Round 1 contracts, except for mail order diabetic supplies, expire Dec. 31, 2013. The re-compete bidding schedule will be announced this summer.

Medicare officials have added a completely new product category, external infusion pumps and supplies, and radically regrouped some product categories. The re-compete bid categories announced by CMS are:
• Respiratory equipment and related supplies and accessories, which includes oxygen, CPAP devices, respiratory assist devices (RADs) and standard nebulizers.
• Standard mobility equipment and related accessories, which includes walkers, standard power and manual wheelchairs and scooters.
• General home equipment and related supplies and accessories, which includes hospital beds, 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.
The American Association for HomeCare expressed concern about the grouping of products in some categories. For example, CPAPs, RADs and nebulizers are now grouped with oxygen, which used to have its own category. Although all those products treat respiratory problems, they are often used by different types of patients. Moreover, many providers just supply oxygen, not CPAPs, RADs and nebulizers.

Hospital beds and related accessories used to be a category, as did support surfaces (Group 2 mattresses and overlays). Now, beds and support surfaces are grouped together with a wide variety of other home medical equipment under general home equipment and medical supplies.

More information about the re-compete and previous competitive bidding rounds is available on the CMS website.