DMEPOS Toolkit

DMEPOS Competitive Bidding Program

How does the Medicare DMEPOS Competitive Bidding Program work?

The Medicare Durable Medical Equipment, Prosthetics, Orthotics, and Supplies (DMEPOS) Competitive Bidding Program (CBP) allows DMEPOS suppliers to compete to become contract suppliers.

DMEPOS suppliers submit bids to provide certain items of DMEPOS to people with Medicare living in, or visiting, competitive bidding areas (CBAs). We use these bids to set the amount we’ll pay for each item.

We thoroughly screen all suppliers to make sure they:

  • Meet applicable state licensing requirements.
  • Are accredited for the product category.
  • Have an active Provider Transaction Access Number (PTAN).
  • Meet financial requirements.

People with Original Medicare in CBAs who need competitively bid DMEPOS have to get their items from a contract supplier if they want Medicare’s help to pay. 

Why is the Medicare DMEPOS CBP important?

The DMEPOS CBP is important because it:

  • Lowers out-of-pocket costs for people with Medicare.
  • Saves the Medicare program money while making sure beneficiaries can get quality items and services.
  • Works with other fraud, waste, and abuse initiatives and has saved over $2 billion per year without negative health outcomes.

What is the Medicare DMEPOS CBP timeline?

Beginning January 1, 2019, there was a temporary gap in the DMEPOS CBP that ended on December 31, 2020.

On March 7, 2019, CMS announced plans to consolidate the CBAs included in the Round 2 Recompete and Round 1 2017 into a single round of competition named Round 2021. Round 2021 contracts will be effective on January 1, 2021, and extend through December 31, 2023.

On October 27, 2020, CMS announced the payment amounts for the Off-The-Shelf (OTS) Back Braces and OTS Knee Braces product categories included in Round 2021 of the DMEPOS CBP and began awarding contracts in certain CBAs. There will be no Round 2021 competitive bidding contracts awarded for product categories other than OTS Back Braces and OTS Knee Braces. Please see our Round 2021 DMEPOS Competitive Bidding Program fact sheet for more information.

How can I help people with Medicare get more information about the Medicare DMEPOS CBP?

You can tell people with Medicare to call 1-800-MEDICARE (1-800-633-4227) or visit Medicare.gov/supplier for more information.

Page Last Modified:
01/12/2021 03:09 PM