The DMEPOS Competitive Bid Program (CBP) And The New Remote Item Delivery Competitive Bidding Program – What Suppliers Need To Know

Published in Government Relations on December 17, 2025

A major development to come out of the CMS DMEPOS/Home Health Final Rule is the creation of a new Remote Item Delivery (RID) competitive bid program (CBP). This article provides the key items DMEPOS suppliers need to be aware of regarding this significant development in the competitive bidding program.

What is it?

CMS defines the “Remote item delivery competitive bidding program” to mean “a competitive bidding program wherein contract suppliers are responsible for furnishing remote item delivery items under a product category to all Medicare beneficiaries regardless of where they live in the competitive bid area (CBA).”

What is a Remote Item Delivery Item?

“Remote item delivery item” is “an item falling under a remote item delivery competitive bidding program that may be shipped or delivered to a beneficiary’s home, regardless of the method of delivery, or picked up at a local pharmacy or supplier storefront if the beneficiary or caregiver for the beneficiary chooses to pick the item up in person.”

What does a RID CBP cover?

CMS clarified that the nationwide RID CBP as: “The CBA could be one nationwide CBA that includes all areas (all states, territories, and the District of Columbia) or a CBA covering a specific region of the country.” CMS clarifies that the nationwide RID CBP will include “all areas (all states, territories, and the District of Columbia).” The RID CBP is limited to items that are typically provided on a national mail order basis, meaning the items may be shipped or delivered to patient’s home, or the item could be picked up locally at a contracted supplier.

What does this mean for suppliers?

Only contracted suppliers can provide items included in the nationwide RID CBP. Contracted suppliers will be responsible “for furnishing the items on either a mail order or non-mail order basis under the product category to all Medicare beneficiaries, regardless of where they live in the CBA.” For a beneficiary that resides in the CBA to receive an item at a local store, the supplier will need to be a contract supplier or a subcontractor of the contract supplier. However, suppliers are not required to have a local have a physical location near a beneficiary. Further, contract suppliers awarded for each product category will be responsible for furnishing all items under the product category to all Medicare beneficiaries regardless of where they live in the CBA.

What do I need to know about the RID CBP CBAs?

CMS has stated that the RID CBP will be a nationwide program and may be either one national CBA or multiple regional CBAs. CMS has also reserved the right to phase in the RID CBP using a small region. Regardless of the size of the RID CBA, to be eligible for a contract, suppliers will be required to meet specific, detailed DMEPOS supplier and quality standards, and applicable State and Federal licensing and brick and mortar location requirements, where applicable, and be accredited by an approved independent accrediting organization in every state the CBA covers.