PAOC Summary - March 17th

Summary- PAOC March 17,2010

Larawence Wilson stated round 1 rebid went much smoother
due to supplier education and on line registration.

Covered document review was used
by a ssubstantial amount of bidders.

CMS is on track to announce the single payment
amounts in June 2010.

CMS will conduct extensive outreach and education
activities for providers once the single payment amounts
are announced.

Medicare contractors will provide educational materials
on their websites and in their bulletins and newsletters.
PAOC members were surprised that CMS did not solicit
their input before designing the materials.

CMS provided an overview of the role of the Medicare.

Competitive Acquisition Ombudsman, who will respond
to concerns and complaints from suppliers and individuals
regarding the competitive bidding program.

CMS presented a tentative timeline for Round 2 with
Bidder registration and education events will begin in
winter 2010. Program registration will end and the
bidding process will begin in spring 2011.

CMS is considering closing the registration process before
the bidding window opens. CMS plans to expand
the covered document review process to 90 days, up
from 45 days from the first round.

Single payment amounts for Round 2 will be announced
Spring 2012, educational and outreach activities will begin
summer 2012 and the program will be implemented in
January 2013.

PAOC members said that more time is needed to educate
suppliers outside of the Round 1 MSAs on the program,
as there is little existing knowledge.

PAOC members also suggested that Round 2 be
implemented on a rolling schedule to allow focus on the
new MSAs and prevent CMS and the CBIC from
being overwhelmed.

PAOC also asked how diabetic mail-order supplies
would be handled, and CMS said that issue would be
addressed in future rulemaking.

CMS said Medicare requirements and the supplier
standards that must be met to participate in the competitive
bidding program. For example, contract suppliers must maintain
enrollment, accreditation and licensure as part of their contract.

CMS noted that suppliers may not sell or assign a contract
to another entity. While there is a change of ownership procedure
in place, it is to prevent suppliers from bidding simply to later
sell the contract.

CMS also outlined the beneficiary survey form and the supplier
quarterly report form that will be used. PAOC members said
suppliers should have been consulted in the development of
the forms. In addition, PAOC members said that adequate
oversight is needed to ensure the program is successful.


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