CMS Deadline Approaches for Grandfathering DME Suppliers

Durable medical equipment (DME) suppliers without a contract from the Centers for Medicare & Medicaid Services (CMS) have until May 20, 2013 to send notifications to the Medicare beneficiaries they serve regarding their decision to be a grandfathered supplier for clients who live in a competitive bidding area and are currently renting competitively-bid DME.

“Non-contract suppliers must provide written notification of their decision whether to be a grandfathered supplier to all of their Medicare beneficiaries who reside in a competitive bidding area (CBA) and are currently renting competitively bid DME or oxygen and oxygen equipment at least 30 business days prior to program implementation,” says a CMS document regarding grandfathering rules.

Providers without CMS contracts are allowed to keep serving their clients for the duration of the existing rental period for certain DME items, including power chairs, CPAP devices, and oxygen equipment. 


To meet the 30 business days requirement, non-contract suppliers must sent those notifications no later than May 20, HomeCare Magazine reports


Source: CMS, Competitive Bidding Program Guide to Answer Consumer Questions


Suppliers who choose not to become a contract supplier are required to pick up the items they’re currently renting to beneficiaries from the clients’ home following proper notification, including a 30-day, 10-day, and 2-day notice of their decision to not become a grandfathered DME supplier through Medicare’s competitive bidding process. 

The 30-day written notification must indicate the day by which the Medicare beneficiary needs to select a contract DME supplier and contain a referral to Medicare’s contract supplier locator tool. 

Written by Alyssa Gerace

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