Headline: CMS Prepares Next Round of DMEPOS Competitive Bidding with…
Headline: CMS Prepares Next Round of DMEPOS Competitive Bidding with Major Rule Changes & Remote Item Delivery Category BALTIMORE, MD — As the Centers for Medicare & Medicaid Services (CMS) continues through the gap period for the Durable Medical Equipment, Prosthetics, Orthotics, and Supplies (DMEPOS) Competitive Bidding Program (CBP), significant structural overhauls are underway ahead of the next bidding window opening in late 2026. The upcoming round introduces streamlined bidding processes, a revised contract structure, and a brand-new Remote Item Delivery (RID) category designed for items predominantly shipped or mailed directly to Medicare beneficiaries nationwide. Key Highlights & Policy Changes ➔ New Remote Item Delivery (RID) Category CMS is introducing a nationwide RID category. Contracted suppliers under this framework will be required to furnish covered items across all designated areas, regardless of beneficiary geographic location. Product categories slated for the RID framework include: ▶ Continuous Glucose Monitors (CGMs) (Class II) ▶ Insulin Infusion Pumps & related accessories ▶ Urological and Ostomy Supplies (including hydrophilic urinary catheters) ▶ Off-the-Shelf (OTS) Braces (back, knee, and upper-extremity) ➔ Overhauled Financial Documentation Requirements In a major shift to simplify the bidding process, CMS is removing traditional financial statement requirements—such as multi-year tax returns, balance sheets, and income statements. ▶ New Requirement: Bidders will primarily submit a business credit report featuring a numerical credit score or rating. ▶ Newer Entities: Businesses without an established credit history must provide a business report indicating insufficient history paired with a personal credit report for the PECOS Authorized or Delegated Official. ▶ Surety Bond Standard: $50,000 bid surety bonds remain mandatory per Competitive Bidding Area (CBA), with a 10-business-day window to correct minor bond deficiencies. ➔ Updated Single Payment Amount (SPA) Calculations ▶75th Percentile Methodology: SPAs will now be calculated using the 75th percentile of winning bids rather than the maximum winning bid. ▶ Consolidated System: All registration, bidding, and document uploads will take place in the single Connexion portal, completely replacing the legacy DBidS system. ▶ Consolidation of Contracts: CMS retains discretion to reduce the number of contract awards down to as few as two per product category per RID area, setting contract caps based on recent national utilization data (125% of suppliers handling at least 3% of market volume). A 30% target for small-business winning suppliers remains in place. https://lnkd.in/gathWxDD
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