BALTIMORE — The Centers for Medicare and Medicaid Services
issued a final rule today on Medicare enrollment standards for
DMEPOS providers.

Based on a proposed rule
issued in 2008
, the new regulation adds several new standards
and modifies existing standards that providers must meet before
being able to furnish home medical equipment to Medicare
beneficiaries. According to a statement from CMS, "These new and
stronger standards will help to reduce fraud in Medicare and
provide beneficiaries with additional assurance that they are being
served by legitimate suppliers who meet Medicare's standards."

"We know the majority of medical equipment suppliers and health
care providers want to improve the health of Medicare
beneficiaries, but we also know there are those who look for any
opportunity to take advantage of beneficiaries and Medicare,
including sham operations who are not legitimate businesses," said
Peter Budetti, CMS deputy administrator for program integrity, in
the statement. "The steps we are taking today provide us with
additional tools to support our continuing efforts to reduce
Medicare fraud by helping to ensure that only appropriately
qualified suppliers are enrolled in the program."

According to CMS, the final rule will:

Require HME providers to obtain oxygen from a state-licensed
oxygen supplier (which applies only in states that require oxygen
licensure).

  • Require HME providers to remain open to the public for at least
    30 hours per week, with exceptions for physicians or licensed
    non-physician practitioners furnishing services to their own
    patients as part of their professional service, and HME providers
    working with custom made orthotics and prosthetics.

  • Ensure that HME providers continue to maintain ordering and
    referring documentation from physicians or non-physician
    practitioners.

  • Prohibit HME providers from sharing a practice location with
    certain other Medicare providers and suppliers subject to certain
    exceptions.

    The final rule also clarifies and expands the existing
    enrollment requirements that DMEPOS providers must meet to
    establish and maintain billing privileges in the Medicare program.
    Specifically, this final rule would revise current standards as
    follows:

    Ensure that the DMEPOS supplier maintains a physical facility on
    an appropriate site that must:

    • Measure at least 200 square feet, except for state-licensed
      orthotic and prosthetic personnel providing custom fabricated
      orthotics or prosthetics in private practice;
    • Be in a location that is accessible to the public, Medicare
      beneficiaries, CMS, the National Supplier Clearinghouse (NSC) and
      its agents and not in a gated community or other area where access
      is restricted;
    • Be accessible and staffed during posted hours of
      operation;
    • Maintain a permanent visible sign in plain view and post hours
      of operation; and
    • Be in a location that contains space for storing business
      records, including the supplier's delivery, maintenance, and
      beneficiary communication records.
  • Prohibit the use of cell phones, beeper numbers and pagers as a
    primary business telephone number. In addition, answering machines
    and answering services may not be used exclusively as a supplier's
    primary telephone number during posted business hours.

  • Expand the prohibition on HME provider telephone solicitation of
    a Medicare beneficiary to also include in-person contacts, e-mails,
    instant messaging, and Internet coercive advertising.

    A copy of the final rule is posted on the Federal
    Register
    site at: http://www.ofr.gov/OFRUpload/OFRData/2010-21354_PI.pdf

    And will be posted at: target="_blank">http://www.cms.gov/MedicareProviderSupEnroll/09_ProviderEnrollmentRegulation.asp#TopOfPage

    The current supplier enrollment standards can be found on the
    NSC website at http://www.palmettogba.com/nsc.

    Check HomeCare Monday and www.HomeCareMag.com for further information and
    details.