Re-Bid

In 2008 CMS attempted to roll out this same program. This was referred to as “round 1” of the program.  The program went live on July 1, 2008. At that time the DME industry complained that the CMS inappropriately handled some of the bids.

After a congressional hearing, language was added to the MIPPA act to delay the program for 18 months. In addition CMS was required to adhere to several new rules with regard to how the bidding program would operate.

The MIPPA legislation was passed by the Senate on July 15, 2008 and subsequently signed into law by President George W. Bush. In addition to delaying and modifying the program, the new law terminated all of the existing round 1 contracts.

Round 1.2

In October, 2009 CMS began the process of soliciting bids for a new round of the program. This new round of bidding is referred to as “round 1.2” as not to confuse it with future rounds which were already codified.

Bidding was closed on December 21, 2009.

Winning Bidders Notified

On July 2, 2010 Medicare notified companies that they had been awarded a contract.  The next day those contracts were received via Federal Express. 

At this point, companies are in the evaluation process of those contracts and have the option to accept or decline them. Once Medicare receives enough accepted contracts to cover the entire Competitive Bidding Area (CBA) no other contracts will be offered.