AMARILLO, TX – CMS has released 13 new Fact Sheets for the upcoming 2028 DMEPOS Competitive Bidding Program. While the structure looks familiar, several changes will directly impact how suppliers prepare, qualify, and operate.
The Fact Sheets are available here: Fact Sheets – Durable Medical Equipment, Prosthetics, Orthotics and Supplies (DMEPOS) Competitive Bidding Program.
In addition to the Fact Sheets, CMS announced a restructuring in the timeline. The timeline has shifted slightly, with the bid window now expected to open in late fall 2026, followed by contract awards in 2027 and implementation on January 1, 2028. This extended runway gives suppliers more time to prepare, but the new requirements suggest that preparation will take more effort than in prior rounds. The following is the updated timeline:
Late Fall 2026
• Bidder registration period to obtain user IDs and passwords begins
• Bid window opens
Late Summer/ Early Fall 2027
• Contracts awarded and single payment amounts announced
• Beneficiary education begins
No later than January 1, 2028
• Start of Next Round – Contracts and single payment amounts (SPAs in effect)
• Six-month transition period begins for beneficiaries to switch to contract suppliers
One of the clearest signals from CMS is a greater emphasis on financial strength. The agency has proposed increasing the bid surety bond from $50,000 to $100,000 and is requiring bidders to submit verifiable business credit reports with numerical scores from approved agencies. These changes make financial readiness a threshold issue, not simply part of the overall evaluation.
At the same time, CMS is placing increased weight on data accuracy, particularly within PECOS. Enrollment records must be fully up to date by the close of the bid window, including all states and product categories tied to a supplier’s operations. Unlike prior rounds, CMS will rely on PECOS directly to validate licensure and compliance, meaning inconsistencies in enrollment data could have immediate consequences during bid review.
Operational oversight is also expanding for contract suppliers. CMS is tightening requirements around subcontractor disclosure, requiring timely reporting of new and existing relationships, and continues to require semi-annual reporting on products and operations through its Connexion portal. In addition, restrictions on change-of-ownership transactions remain strict, reinforcing that competitive bidding contracts cannot be freely transferred.
There are also structural changes worth noting. CMS will implement a single nationwide competitive bidding area for Remote Item Delivery in the 2028 round, a move likely to increase competition across markets while introducing new logistical considerations for suppliers. Meanwhile, suppliers must ensure that all required state licensure is active at the time of bidding and properly reflected in PECOS, as this information will be verified during the evaluation process.
These updates indicate a program placing greater emphasis on financial viability, administrative precision, and ongoing compliance. While the fundamentals of competitive bidding have not changed, the margin for error is narrowing. Suppliers that invest time now in strengthening their financial profiles, validating enrollment data, and preparing for increased reporting obligations will be best positioned heading into the 2028 cycle.
Jeffrey S. Baird, Esq., is chairman of the Health Care Group at Brown & Fortunato, PC, a law firm based in Texas with a national healthcare practice. He represents pharmacies, infusion companies, HME companies, manufacturers, and other healthcare providers throughout the United States. Baird is Board Certified in Health Law by the Texas Board of Legal Specialization and can be reached at (806) 345-6320 or [email protected].
Jacque K. Steelman, Esq., is a member of the Health Care Group at Brown & Fortunato, PC, a law firm with a national healthcare practice based in Texas. She represents pharmacies, infusion companies, HME companies, manufacturers, and other healthcare providers throughout the United States. Ms. Steelman can be reached at (972) 684-5789 or [email protected].
WELLSKY WEBINAR
Competitive Bidding, Enrollment, and Ownership Changes: A DME Briefing
Presented by: Jeffrey S. Baird, Esq., Brown & Fortunato & Cara C. Bachenheimer, Esq., Brown & Fortunato
Thursday, June 25, 2026
12 p.m. CENTRAL TIME
After being on pause for years, competitive bidding is back — reinstated under the CY 2026 Home Health Prospective Payment System Final Rule. This rule introduces significant structural changes to the Competitive Bidding Program (CBP), a program with already pre-existing barriers. Along with the competitive bidding updates, the Centers for Medicare & Medicaid (CMS) is also imposing additional accreditation requirements and stricter provider enrollment requirements and is revising change in majority ownership (CIMO) requirements. CMS has also issued a six-month moratorium against the issuance of new Provider Transaction Access Numbers (PTANs).
In this webinar, you’ll get straightforward guidance on what DME suppliers need to know about all these updates — what’s changing, what’s most challenging, and what steps you can take now to navigate the new landscape with less risk and more confidence.
Register for Competitive Bidding, Enrollment, and Ownership Changes: A DME Briefing on Thursday, June 25, 2026, 12 p.m. CT, with Jeffrey S. Baird, Esq., and Cara C. Bachenheimer, Esq.
