WASHINGTON, D.C. – CMS recently published Medicare fee schedule adjustments for DMEPOS for calendar year (CY) 2023. Adjustments differ depending on whether the items serviced are competitive bidding program (CBP) items or in former competitive bidding areas (CBAs).
Below is the breakdown:
- CBP items in former CBAs: +6.4%
- CBP items in non-CBAs: +9.1%
- Non-CBP items: +8.7%
“These increases will help DME suppliers who have been dealing with rising product and operational costs over that last two years, but more comprehensive adjustments are needed,” said Tom Ryan, AAHomecare president and CEO. “Thanks to the cancellation of one bidding round and the decision not to implement results of the most recent round, DME rates remain disconnected to the market realities suppliers face. That has to change, and it has to change now.
“Congress can provide a much-needed additional measure of relief by adopting a 90/10 blended rate for suppliers in former CBAs and extending the CARES Act 75/25 blended rate for non-bid, non-rural area suppliers past the end of the current Public Health Emergency,” added Ryan. “I encourage HME suppliers to continue to reach out to their representatives in both the House and Senate and ask them to include these provisions in end-of-year budget legislation.
“Congress also needs to waive looming a 4% PAYGO-driven Medicare rate cut for 2023,” Ryan continued. “AAHomecare has been a part of coalition efforts with other major healthcare groups to forestall that steep reduction.”
Typically, the CPI-U increases for DME have been 1%-3%. Last year, the inflation adjustment was 5% in former CBAs and 5.4% outside of CBAs. CMS will be publishing the official CY 2023 fee schedule soon. See the Calendar Year 2023 Update for DMEPOS Fee Schedule (CMS Claims Processing Update Change Request 13006) for more information.