[Federal Register Volume 78, Number 41 (Friday, March 1, 2013)]
[Notices]
[Pages 13878-13880]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-04752]
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DEPARTMENT OF HEALTH AND HUMAN SERVICES
Centers for Medicare & Medicaid Services
[Document Identifiers CMS-588 and CMS-10169]
Agency Information Collection Activities: Proposed Collection;
Comment Request
AGENCY: Centers for Medicare & Medicaid Services, HHS.
In compliance with the requirement of section 3506(c)(2)(A) of the
Paperwork Reduction Act of 1995, the Centers for Medicare & Medicaid
Services (CMS) is publishing the following summary of proposed
collections for public comment. Interested persons are invited to send
comments regarding this burden estimate or any other aspect of this
collection of information, including any of the following subjects: (1)
The necessity and utility of the proposed information collection for
the proper performance of the agency's functions; (2) the accuracy of
the estimated burden; (3) ways to enhance the quality, utility, and
clarity of the information to be collected; and (4) the use of
automated collection techniques or other forms of information
technology to minimize the information collection burden.
1. Type of Information Collection Request: Revision of a currently
approved collection. Title of Information Collection: Electronic Funds
Transfers Authorization Agreement Use: The primary function of the
Electronic Funds Transfer Authorization Agreement (CMS 588) is to
gather information from a provider/supplier to establish an electronic
payment process.
The legal authority to collect this information is found in Section
1815(a) of the Social Security Act. This section provides authority for
the Secretary of Health and Human Services to pay providers/suppliers
of Medicare services. Under 31 U.S.C. 3332(f)(1), all federal payments,
including Medicare payments to providers and suppliers, shall be made
by electronic funds transfer. 31 U.S.C. 7701 (c) requires that any
person or entity doing business with the federal government must
provide their Tax Identification Number (TIN).
The goal of this submission is to renew the data collection. Only
two minor revisions for systems requirements will be made at this time,
specifically adding a street address line for the location of the
financial institution and adding an additional National Provider
Identification (NPI) number collection field for those providers/
suppliers who have more than one NPI. Form Number: CMS-588 (OCN: 0938-
0626). Frequency: Occasionally. Affected Public: Private Sector
(business or other for-profits) and Not-for-profit institutions. Number
of Respondents: 94,000. Total Annual Responses: 94,000. Total Annual
Hours: 23,500. (For policy questions regarding this collection contact
Kim McPhillips at 410-786-5374. For all other issues call 410-786-
1326.)
[[Page 13879]]
2. Type of Information Collection Request: Revision of a currently
approved collection. Title of Information Collection: Medicare Durable
Medical Equipment, Prosthetics, Orthotics and Supplies (DMEPOS)
Competitive Bidding Program. Use: Since 1989, Medicare has been paying
for durable medical equipment (DME) and supplies (other than customized
items) using fee schedule amounts that are calculated for each item or
category of DME identified by a Healthcare Common Procedure Coding
System code. Payments are based on the average supplier charges on
Medicare claims from 1986 and 1987 and are updated annually on a factor
legislated by Congress. For many years, the Government Accountability
Office and the Office of Inspector General of the U.S. Department of
Health and Human Services have reported that these fees are often
highly inflated and that Medicare has paid higher than market rates for
several different types of DME. Due to reports of Medicare overpayment
of DME and supplies, Congress required that CMS conduct a competitive
bidding demonstration project for these items. Accordingly, CMS
implemented a demonstration project for this program from 1999-2002
which produced significant savings for beneficiaries and taxpayers
without hindering access to DMEPOS and related services. Shortly after
a successful demonstration of the competitive bidding program, Congress
passed the Medicare Prescription Drug, Improvement and Modernization
Act of 2003 and mandated a phased-in approach to implement this program
over the course of several years beginning in 2007 in 10 metropolitan
statistical areas (MSAs). The statute specifically required the
Secretary to establish and implement programs under which competitive
bidding areas are established throughout the United States for contract
award purposes for the furnishing of certain competitively priced items
and services for which payment is made under Medicare Part B. This
program is commonly known as the ``Medicare DMEPOS Competitive Bidding
Program.''
CMS conducted its first round of bidding for the Medicare DMEPOS
Competitive Bidding Program in 2007 with the help of its contractor,
the Competitive Bidding Implementation Contractor. CMS published a
Request for Bids instructions and accompanying forms for suppliers to
submit their bids to participate in the program. During this first
round of bidding, DMEPOS suppliers from across the U.S. submitted bids
identifying the MSA(s) to service and the competitively bid item(s)
they wished to furnish to Medicare beneficiaries. CMS evaluated these
bids and contracted with those suppliers that met all program
requirements. The first round of bidding was successfully implemented
on July 1, 2008.
On July 15, 2008, however, Congress delayed this program in section
154 of the Medicare Improvements for Patients and Providers Act of 2008
(MIPPA). MIPPA mandated certain changes to the competitive bidding
program which included, but are not limited to: A delay of Rounds 1
(competition began in 2009) and 2 of the program (competition began in
2011 in 70 specific MSAs); the exclusion of Puerto Rico and negative
pressure wound therapy from Round 1 and group 3 complex rehabilitative
power wheelchairs from all rounds of competition; a process for
providing feedback to suppliers regarding missing financial
documentation; and a requirement for contract suppliers to disclose to
CMS information regarding subcontracting relationships. Section 154 of
the MIPPA specified that the competition for national mail order items
and services may be phased in after 2010 and established a rule
requiring that a bidder demonstrate that its bid covers 50 percent (or
higher) of the types of diabetic testing strips, based on volume (the
``50 percent rule'') for national mail order competitions. As required
by MIPPA, CMS conducted the competition for the Round 1 Rebid in 2009.
The Round 1 Rebid contracts and prices became effective on January 1,
2011.
The Affordable Care Act, enacted on March 23, 2010, expanded the
Round 2 competition by adding an additional 21 MSAs, bringing the total
MSAs for Round 2 to 91. The competition for Round 2 began in December
2011. CMS also began a competition for National Mail Order of Diabetic
Testing Supplies at the same time as Round 2. The Round 2 and National
Mail-Order contracts and prices have a target implementation date of
July 1, 2013.
The MMA requires the Secretary to re-compete contracts not less
often than once every 3 years. Most Round 1 Rebid contracts will expire
on December 31, 2013. (Round 1 Rebid contracts for mail-order diabetic
testing supplies ended on December 31, 2012.) Consequently, we are
currently in the process of re-competing the competitive bidding
contracts in the Round 1 Rebid areas.
The most recent approval for this information collection request
(ICR) was issued by OMB on October 10, 2012. Since then, CMS has
decided to sequentially update the paperwork burden necessary to
administer the program as it expands nationally and cycles through
multiple rounds of competition. Specifically, we are now seeking to
update our burden estimates for certain contract maintenance forms for
Round 2 and the national mail-order competitions. These include Form C
and the Contract Supplier's Disclosure of Subcontractors form. We are
also requesting approval of two additional forms: The Change of
Ownership (CHOW) Purchaser Form and the CHOW Contract Supplier
Notification Form, which will be utilized in all rounds of competition.
Finally, we are retaining without change Forms A, B, and D and their
associated burden under this ICR. We note that the information
collection for Forms A and B is already complete. We intend to continue
use of the Forms in future rounds of competition. Form Number: CMS-
10169 (OCN: 0938-1016). Frequency: Occasionally. Affected Public:
Private Sector (business or other for-profits) and Individuals or
households. Number of Respondents: 19,035. Total Annual Responses:
19,035. Total Annual Hours: 9,311. (For policy questions regarding this
collection contact Michael Keane at 410-786-4495. For all other issues
call 410-786-1326.)
To obtain copies of the supporting statement and any related forms
for the proposed paperwork collections referenced above, access CMS'
Web site address at http://www.cms.hhs.gov/PaperworkReductionActof1995,
or Email your request, including your address, phone number, OMB
number, and CMS document identifier, to [email protected], or call
the Reports Clearance Office on (410) 786-1326.
In commenting on the proposed information collections please
reference the document identifier or OMB control number. To be assured
consideration, comments and recommendations must be submitted in one of
the following ways by April 30, 2013:
1. Electronically. You may submit your comments electronically to
http://www.regulations.gov. Follow the instructions for ``Comment or
Submission'' or ``More Search Options'' to find the information
collection document(s) accepting comments.
2. By regular mail. You may mail written comments to the following
address: CMS, Office of Strategic Operations and Regulatory Affairs,
Division of Regulations Development, Attention: Document Identifier/OMB
Control Number ------, Room C4-26-05, 7500 Security Boulevard,
Baltimore, Maryland 21244-1850.
[[Page 13880]]
Dated: February 26, 2013.
Martique Jones,
Deputy Director, Regulations Development Group, Office of Strategic
Operations and Regulatory Affairs.
[FR Doc. 2013-04752 Filed 2-28-13; 8:45 am]
BILLING CODE 4120-01-P