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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. 

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