VGM & ASSOCIATESHealthcare MSO
Full Menu Search

CMS Releases New CPI-U Adjustments for DMEPOS in 2023

Published in Government Relations on December 01, 2022

Today, Dec. 1, 2022, CMS released the quarterly fee schedule update for DMEPOS. It includes the annual inflation factor to be applied to DMEPOS items effective January 1, 2023, with an implantation date of January 3, 2023. The breakdown of the adjustment is below. It is dependent upon whether the serviced items are included in the competitive bidding program (CBP) or are in formerly competitive bid areas (CBAs). 

  • CBP items in former CBAs: +6.4% 
  • CBP items in non-CBAs: +9.1% 
  • Non-CBP items: +8.7% 

“While today’s announcement of the 6.4%-9.1% CPI-U (consumer price index for All Urban Consumers) adjustments for 2023 will be welcomed by the industry, the gains do not necessarily reflect and diminish the considerable operational cost increases that HME providers have seen throughout the COVID-19 pandemic, the product surcharges, and the continuing challenges of the supply chain issues,” said Mark Higley, VP of Regulatory Affairs, VGM Government Relations. “Nevertheless, in conjunction with the possibility of securing blended rates for providers both in former CBAs and non-bid, non-rural area suppliers, and potentially delaying the 4% 2023 Medicare reductions, we see some cautious optimism in the provider community.”   

To read Higley’s full update and to see the other related fee schedule information applicable to the Coronavirus (COVID-19) Aid, Relief, and Economic Security (CARES) Act, 2020, and several other updates click here. 

To read the full announcement click here. 

TAGS

  1. regulatory
  2. vgm
  3. vgm government

Get Connected

Stay up-to-date on the latest resources and news provided by VGM & Associates.

Sign Up for Email

From Our Experts

The Big Sky Association of Medical Equipment Suppliers Welcomes UTAH! thumbnail The Big Sky Association of Medical Equipment Suppliers Welcomes UTAH! The Big Sky Association of Medical Equipment Suppliers is pleased to announce that Utah has officially been accepted into the association as our newest participating state. Big Sky now proudly welcomes all Utah DME/HME, Respiratory, CRT, and Medical Supply companies into our regional association. Utah will have a designated state representative/director—appointed in the same manner as Montana, Idaho, and Wyoming—to ensure strong representation and a clear voice within the Association. Beyond the Shutdown and The Proposed Rule: Key Legislative Updates for the HME Industry thumbnail Beyond the Shutdown and The Proposed Rule: Key Legislative Updates for the HME Industry While the government shutdown and uncertainty surrounding CMS's Proposed Rule have dominated headlines, several important bills impacting HME providers continue to advance. Here's a quick look at three focused legislative priorities: Advocacy in Action: Texas DME Providers Stand Up For Patient Care thumbnail Advocacy in Action: Texas DME Providers Stand Up For Patient Care Texas DME providers are speaking out against proposed Medicaid reimbursement rate cuts that threaten access to essential medical equipment for vulnerable patients. At a recent public hearing, voices from across the state shared powerful stories about the real-world impact of these cuts—some as high as 85%. The Shutdown Has Ended—Now It's Time To Take Action thumbnail The Shutdown Has Ended—Now It's Time To Take Action The recent government shutdown created uncertainty across the healthcare landscape, and the DMEPOS community was no exception. In the weeks ahead, critical decisions will shape the future of our industry. By getting involved early—through advocacy, education, and collaboration—you can help ensure these policies support patients and providers rather than hinder them. Notably, the Continuing Resolution (CR) includes an extension of Medicare telehealth flexibilities through January 2026... New Issue Brief: Why Medicare's Competitive Bidding Program Needs Urgent Reform thumbnail New Issue Brief: Why Medicare's Competitive Bidding Program Needs Urgent Reform The Medicare competitive bidding program for durable medical equipment (DME) was designed to reduce costs—but it's failing patients and providers. A new issue brief from Pacific Research Institute and economist Wayne Winegarden highlights what changes are urgently needed. Champions of Change: DME Advocates Driving Real Change thumbnail Champions of Change: DME Advocates Driving Real Change Real change starts with real people. In this edition of Champions of Change, we're spotlighting two DME advocates who aren't just talking about problems—they're taking action. David Griffin and Gary Rench are showing us what it means to stand up for patients, providers, and the future of our industry. Join HME Industry Letter on CB Program to CMS Administrator Oz thumbnail Join HME Industry Letter on CB Program to CMS Administrator Oz HME suppliers, manufacturers, and distributors are invited to add their company's name to a letter to CMS Administrator Dr. Mehmet Oz regarding the Administration's DMEPOS/Home Health Proposed Rule that includes provisions for a new competitive bidding round. The letter specifically asks CMS to withdraw or delay the DMEPOS provisions in the Proposed Rule and re-engage with industry, patient, and clinical stakeholders to design an evidence-based, fraud-resistant, America-First framework. Take Action Today: Urge CMS to Pause and Re-Evaluate the Competitive Bidding Program thumbnail Take Action Today: Urge CMS to Pause and Re-Evaluate the Competitive Bidding Program Now is the time to raise our voices. With the formal announcement of the Competitive Bidding (CB) Program expected as early as the end of this month, we must act swiftly and decisively. Below are two key opportunities to engage with your U.S. Representative and encourage their support for a Congressional letter urging Centers for Medicare & Medicaid Services (CMS) to pause and reassess the CB Program.

Give your business an advantage over the competition.

Become a Member