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

The PHE Is Over: What's Next? thumbnail The PHE Is Over: What's Next? In today's episode of Industry Matters, Mandi Joyner, Senior Director of Marketing at VGM & Associates, talks with three of VGM's payer, billing, and reimbursement experts Ronda Buhrmester, Dan Fedor, and Craig Douglas about the end of the Public Health Emergency (PHE) and what that means for members. Adam Miller and Tom Powers Attend Policy Forum in Washington D.C. thumbnail Adam Miller and Tom Powers Attend Policy Forum in Washington D.C. On Wednesday, May 10, the AOPA Policy Forum held in Washington D.C. brought together over 100 stakeholders, manufacturers, and practitioners in the field of orthotics and prosthetics (O&P). John Gallagher and Greg Packer Attend Successful Fly-In on Capitol Hill thumbnail John Gallagher and Greg Packer Attend Successful Fly-In on Capitol Hill On May 10, John Gallagher, VP of VGM Government Relations, and Greg Packer, President of U.S. Rehab, participated in the AAHomecare Fly-In event in Washington D.C. The purpose of their attendance was to discuss key industry issues with members of Congress and their staff. FAHCS Secures Major Victory for HME Industry in Florida thumbnail FAHCS Secures Major Victory for HME Industry in Florida FAHCS secures a significant victory for the HME industry in Florida with a 7.5% rate increase to Medicaid Fee Schedule. Washington Governor Signs SB 5218 to Remove Sales Tax From CRT Equipment thumbnail Washington Governor Signs SB 5218 to Remove Sales Tax From CRT Equipment On May 4 in Olympia, Washington, Governor Jay Inslee signed SB 5218 into effect. This bill exempts complex rehab technology (CRT) equipment from sales tax, making it more accessible and affordable for those in need of it. CMS Proposes New Rules to Strengthen Transparency and Access to Quality Care in Medicaid and CHIP Programs thumbnail CMS Proposes New Rules to Strengthen Transparency and Access to Quality Care in Medicaid and CHIP Programs CMS has released a two new proposed rules that look to strengthen transparency as well as access to quality care within the Medicaid and CHIP programs. One of the proposed rules is titled Ensuring Access to Medicaid Services and the other is Managed Care Access, Finance, and Quality. S. 1294, A Bill to Provide a 75/25 Blended Rate for Non-Rural, Non-CBA Supplier Has Been Introduced thumbnail S. 1294, A Bill to Provide a 75/25 Blended Rate for Non-Rural, Non-CBA Supplier Has Been Introduced S. 1294, a bill to provide a 75/25 blended rate for non-rural, non-CBA suppliers has been introduced. Now we ask that everyone reach out to their senators asking for their support of this crucial bill. Read more about the bill and see an easy way to reach out to your senators. Washington State Passes Bill Exempting Sales Tax on Complex Rehab Technology: A Testimony to the Power of Advocacy and Collaboration thumbnail Washington State Passes Bill Exempting Sales Tax on Complex Rehab Technology: A Testimony to the Power of Advocacy and Collaboration Congratulations to Don Whitney of Inland Medical and the PAMES state association, along with the entire state of Washington, on the recent passing of SB 5218.