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

From Our Experts

Audit Climate – Taking The Temperature thumbnail Audit Climate – Taking The Temperature As we near the midpoint of 2024, what are the main billing/reimbursement headaches being faced by providers? [Vlog] Oxygen Policy Update thumbnail [Vlog] Oxygen Policy Update Listen in as Ronda Buhrmester clarifies the language of the oxygen policy around the co-signature that is highly recommended. Elimination of Noncompete Agreements - FTC Final Rule thumbnail Elimination of Noncompete Agreements - FTC Final Rule A 570-page final rule released by the FTC on April 23 will effectively put an end to the use of noncompete agreements between employers and employees. The final rule is scheduled for publication in the Federal Register on May 7, 2024, and will go into effect 120 days from publication (September 4, 2024), barring the results of any legal challenges to the rule. OMEPA Celebrates Another Successful Capitol Rally Day thumbnail OMEPA Celebrates Another Successful Capitol Rally Day On April 23, OMEPA members gathered at the Oklahoma Capitol in support of HB1712. Government Relations: Speak With One Voice thumbnail Government Relations: Speak With One Voice The DMEPOS industry must show a unified front, speak with a unified voice, and together be champions of change. Clarification on Standard Written Orders thumbnail Clarification on Standard Written Orders Recently the DME MACs released a Dear Physician Letter that clarified language on a standard written order (SWO) specifically related to CPAP masks. While the article was great news being welcomed by the industry, it also initiated additional conversation for other PAP supplies such as interfaces and tubing. Ronda Vlog: Further Updates on Refill Requirements and Dear Physician Letter thumbnail Ronda Vlog: Further Updates on Refill Requirements and Dear Physician Letter Be sure to watch this update from Ronda Buhrmester, Sr. Director of Payer Relations and Reimbursement, where she gives updates on the change to the refill requirement, effective Jan. 1, 2024 and the Dear Physician letter released in February. Change Health Resources thumbnail Change Health Resources VGM recognizes that many of our members in the DMEPOS provider community have been negatively impacted by the cyberattack on Change Healthcare that occurred on February 21, 2024. We continue to monitor the situation and promote the creation of resources to help providers navigate through this with as little negative impact to their business as possible.