DME Re-compete:

In 2006, the Centers for Medicare and Medicaid Services (CMS) awarded the first MAC contracts to administer Medicare claims for DME benefits in jurisdictions A and B.  Under the Medicare Prescription Drug, Improvement and Modernization Act of 2003 (MMA) the Secretary of Health and Human Services must re-compete its Medicare Administrative Contractors contracts every five (5) years.  Therefore, on Thursday, December 30, 2009, CMS issued a solicitation for the first “second generation” MAC contractors for DME Jurisdictions A and B.  Currently, National Heritage Insurance Company (NHIC) is serving as the DME MAC in Jurisdiction A, and National Government Services (formerly doing business as AdminaStar Federal Inc.) is serving as the DME MAC in Jurisdiction B.  CMS anticipates awarding these contracts and fully transitioning the workloads to new MAC contracts by no later than December 2010.