The Centers for Medicare & Medicaid Services (CMS) has awarded CGS Administrators the contract for the Jurisdiction B Durable Medical Equipment Medicare Administrative Contractor (DME MAC). CGS is also the Jurisdiction C DME MAC and will hold both contracts until at least December 2017, when the Jurisdiction C contract expires.
As the Jurisdiction B DME MAC, CGS will serve about 18,000 Medicare durable medical equipment, prosthetics, orthotics, and supplies providers in the states of Illinois, Indiana, Kentucky, Michigan, Minnesota, Ohio, and Wisconsin. Under the new contract, CGS will begin processing Jurisdiction B claims in late February 2016 from its Nashville, Tennessee, office. The contract includes a base year and four option years. It is a cost plus award fee; the award fee will be earned only if the contractor exceeds the base requirements of the contract. Inclusive of all options, the new DME MAC Jurisdiction B contract has a total estimated value of about $77.6 million over five years.