Last verified: November 10, 2026. This guide is based on the CMS fact sheet for the CY 2026 Home Health and DMEPOS final rule (CMS-1828-F), the rule as published in the Federal Register, and the CMS MLN Connects newsletter of October 8, 2026. We update it when CMS or the Competitive Bidding Implementation Contractor (CBIC) publishes a change.
Medicare’s DMEPOS Competitive Bidding Program (CBP) is coming back. Round 2028 starts no later than January 1, 2028, and every product category in it runs through a single nationwide Remote Item Delivery (RID) program. That covers Class II continuous glucose monitors (CGMs) and insulin pumps, urological supplies, ostomy supplies, hydrophilic urinary catheters, and off-the-shelf (OTS) back, knee, and upper extremity braces. CMS has confirmed that bidder registration opens December 1, 2026, and the bid window opens January 5, 2027. Once contracts start and the transition period ends, only contract suppliers can furnish these items to Medicare fee-for-service patients, anywhere in the country.
- Bidder registration opens December 1, 2026. The bid window opens January 5, 2027. Both dates come from the CMS MLN Connects newsletter of October 8, 2026.
- Round 2028 has 7 product categories, and all of them fall under one nationwide Remote Item Delivery program instead of local competitive bidding areas.
- Single payment amounts will be set at the 75th percentile of winning bids, not the maximum winning bid as in past rounds.
- Each bidder needs a $50,000 bid surety bond for each competitive bidding area it bids in.
- CGMs and insulin pumps move to a monthly rental with supplies included once contracts start.
- Suppliers that do not win a contract lose Medicare fee-for-service volume for these items after a 6-month transition, so every supplier in these categories needs a plan now, whether or not it bids.
What Is Round 2028 of the DMEPOS Competitive Bidding Program?
The CBP replaces Medicare fee schedule amounts for selected DMEPOS items with single payment amounts (SPAs) set from supplier bids. Only suppliers that win a contract can bill Medicare for those items in the areas they cover. The program has been paused since January 1, 2024, when the last contract period ended.
The CY 2026 final rule, published in the Federal Register on December 2, 2025, rebuilt the program for the next round. According to the CMS competitive bidding fact sheet, the main changes are:
- A nationwide Remote Item Delivery program. CMS is phasing in a nationwide RID CBP for items usually furnished on a national mail order basis. All Round 2028 product categories are included. Contract suppliers can ship items to patients or let them pick up at a storefront or pharmacy.
- A new SPA method. SPAs are calculated at the 75th percentile of winning bids. They are updated by CPI-U at the start of contract years two and three, and can never exceed the unadjusted fee schedule amount or 110% of the adjusted fee schedule amount.
- Monthly rental for CGMs and insulin pumps. These items move to the frequent and substantial servicing payment category, with all supplies and accessories included in the rental payment.
- A set number of contracts per category. CMS bases it on 125% of the number of suppliers that furnished at least 3% of national allowed services for the lead item in 2025.
- A 30% small supplier target. If less than 30% of winning suppliers are small suppliers, CMS may offer additional contracts to move toward that goal.
Round 2028 Timeline: Key Dates for Suppliers
On October 8, 2026, CMS used its MLN Connects newsletter to announce the registration and bid window dates. Both are later than the targets in the original fact sheet, which had pointed to late summer or early fall 2026. Trade press has reported the closing dates below. Confirm them on the CBIC website before you plan around them.
Milestone | Date | Source |
|---|---|---|
Bidder registration window opens | December 1, 2026 | CMS MLN Connects, October 8, 2026 |
Bid window opens | January 5, 2027 | CMS MLN Connects, October 8, 2026 |
Bidder registration closes | February 1, 2027 | Reported by HME News |
Covered document review date (CDRD) | February 8, 2027 | Reported by HME News |
Bid window closes | March 10, 2027 | Reported by trade press |
Contracts awarded and SPAs announced | Late summer or early fall 2027 (target) | CMS fact sheet |
Contracts and SPAs take effect, 6-month transition begins | No later than January 1, 2028 | CMS fact sheet |
Registration gives each bidding entity the user IDs and passwords it needs to submit a bid. Registration is not a bid and does not commit you to bidding. Suppliers that are undecided should still register so the option stays open.
Round 2028 Product Categories
CMS lists 7 product categories for the next round. Every one of them is part of the nationwide Remote Item Delivery program.
Product category | What it covers | Approximate contracts (CMS estimate) |
|---|---|---|
Class II CGMs and insulin pumps | Class II continuous glucose monitors, insulin infusion pumps, and related supplies, paid as a monthly rental | About 10 |
Urological supplies | Intermittent and indwelling catheters, drainage bags, and related supplies, excluding hydrophilic catheters | About 8 |
Hydrophilic urinary catheters | Hydrophilic-coated intermittent catheters, bid as their own category | Not stated in the fact sheet |
Ostomy supplies | Pouches, skin barriers, and related ostomy supplies | About 8 |
OTS back braces | Off-the-shelf lumbar and lumbar-sacral orthoses | About 4 |
OTS knee braces | Off-the-shelf knee orthoses | About 6 |
OTS upper extremity braces | Off-the-shelf wrist, hand, elbow, and shoulder orthoses | About 6 |
The contract estimates come from CMS’s analysis of 2024 claims. CMS said it would publish the final number of contracts and the lead item for each category before bidding. A nationwide category with 4 to 10 contract suppliers means each winner takes on a very large share of Medicare fee-for-service volume. Most current suppliers in these categories will not hold a contract.
What Changes for CGM and Insulin Pump Suppliers
CGMs and insulin pumps see the biggest billing change. Today, Medicare pays for a CGM receiver as a purchase and for sensors and transmitters as a monthly supply allowance. From the first day of the contract period, CMS will pay for these items as a continuous monthly rental that includes all supplies. Suppliers may bill up to 3 months of rental in advance.
Patients who already own a CGM or insulin pump can keep using it until it needs replacement, or they can switch to a rented device. Contract suppliers must furnish the supplies for those patient-owned devices. Our CGM billing guide covers the current coverage criteria, codes, and modifiers, and how they shift under the rental model.
What Happens to Non-Contract Suppliers
Once Round 2028 contracts start, a 6-month transition period begins for patients to move to contract suppliers. After that, non-contract suppliers generally cannot be paid by Medicare fee-for-service for items in these categories. Because the program is nationwide, there is no other competitive bidding area to fall back on.
The fact sheet sets out how the handoff works. If a non-contract supplier does not transfer the patient’s documentation in the first 3 months of the transition, the contract supplier has 6 months to get a new order from the treating practitioner. That 6-month grace period does not apply to purchased OTS braces.
The CBP applies to Medicare Part B fee-for-service. Medicare Advantage, Medicaid, and commercial plans set their own networks and rates. Some payers follow Medicare pricing, so the SPAs may still affect what you are paid elsewhere. Check each payer contract.
Industry groups are pushing back. AAHomecare has asked Congress and the Administration to pause the Remote Item Delivery model. Until CMS changes the timeline, plan as if the dates above hold.
What DME Suppliers Should Do Now
The registration window opens in three weeks. Suppliers that bill any Round 2028 category should work through these steps now.
- Decide your strategy. Bid, partner with a likely contract supplier, or plan to reduce Medicare fee-for-service volume in these categories. Base the decision on what share of revenue each category represents.
- Confirm enrollment and accreditation. Make sure your Medicare enrollment is current and every location is accredited for the categories you plan to bid. CBIC has advised suppliers to submit any pending enrollment applications as early as possible so they are processed before bidding. Annual reaccreditation under the CY 2026 rule also applies, so check your survey dates. Our DME compliance updates page covers those changes.
- Register when the window opens. Name an authorized official and backup authorized officials in your Medicare enrollment record, then register on December 1, 2026 or soon after. Do not wait for the last week.
- Get the bid surety bond. Each bidder needs a $50,000 bid surety bond for each competitive bidding area it bids in. Bond providers need time to underwrite, so start early.
- Prepare financial documents before the CDRD. CMS reviews required financial documents submitted by the covered document review date and notifies bidders of missing items. Bidders get a single 10-business-day window to correct deficiencies.
- Model your costs at a lower price. With SPAs set at the 75th percentile of winning bids, the payment amount will likely sit below many bids. Build your bid on full cost per patient month, including product, shipping, outreach, billing, and denial rework, not on today’s fee schedule.
- Test your capacity for nationwide volume. A contract means serving patients in every state. Check fulfillment, state licensure, patient outreach, and billing capacity for a large jump in active patients, and how you would hire or automate to meet it.
- Plan patient transitions in both directions. Know how you will transfer documentation to a contract supplier if you lose, and how you will take in new patients and request orders if you win.
How High-Volume DME Suppliers Prepare Their Operations
A Round 2028 contract rewards suppliers that can run thousands of recurring orders a month at low cost per order. That depends on operations more than on the bid itself. Resupply outreach has to scale without adding staff at the same rate. Claims need to go out clean the first time, because margin at the 75th percentile leaves little room for rework. And inventory has to be visible across every warehouse that ships nationally.
NikoHealth is built for large multi-location DME providers running this kind of volume. Its billing and RCM platform runs pre-submission claims scrubbing against payer-specific rules, generates recurring rental invoices automatically, and posts ERA/EOB remittances without manual reconciliation. Its resupply module uses texts, emails, and AI voice calls to drive confirmed orders. Inventory management shows live stock levels across multiple sites. Software does not set your bid or win a contract. It helps you know your true cost per order and handle the volume if you win.
Want to see how complex billing across multiple branches runs on one platform? Request a demo.
Competitive Bidding Round 2028 FAQ
When does Round 2028 of competitive bidding start?
Round 2028 contracts and single payment amounts take effect no later than January 1, 2028, followed by a 6-month transition period for patients to switch to contract suppliers. Bidder registration opens December 1, 2026, and the bid window opens January 5, 2027.
When does Round 2028 bidder registration open?
December 1, 2026. CMS announced the date in its MLN Connects newsletter on October 8, 2026. Trade press reports that registration closes February 1, 2027. Check the CBIC website at dmeposcompetitivebid.cms.gov for the official closing date.
Which product categories are in Round 2028?
Seven: Class II CGMs and insulin pumps, urological supplies, hydrophilic urinary catheters, ostomy supplies, OTS back braces, OTS knee braces, and OTS upper extremity braces. All of them are part of the nationwide Remote Item Delivery program.
What is the Remote Item Delivery program?
It is a nationwide competitive bidding program for items usually furnished by mail. Instead of local competitive bidding areas, one contract covers the whole country. Only contract suppliers can furnish the covered items to Medicare fee-for-service patients, by shipping them or through pickup at a storefront or pharmacy.
How will single payment amounts be calculated in Round 2028?
At the 75th percentile of winning bids, instead of the maximum winning bid used in earlier rounds. SPAs are updated by CPI-U in contract years two and three, and cannot exceed the unadjusted fee schedule amount or 110% of the adjusted fee schedule amount.
How much is the bid surety bond for Round 2028?
$50,000 for each competitive bidding area a bidder submits a bid for.
Can non-contract suppliers keep serving Medicare patients for these items?
Only during the 6-month transition after contracts start. After that, non-contract suppliers generally cannot be paid by Medicare fee-for-service for items in Round 2028 categories. Medicare Advantage, Medicaid, and commercial plans are not part of the program and set their own networks.
What happens to patients who already own a CGM or insulin pump?
They can keep using their device until it needs replacement, or switch to a rented device. Contract suppliers must furnish supplies for those patient-owned devices.

With over a decade of experience in medical software and hardware support, Alan combines technical expertise with hands-on client collaboration to help organizations achieve successful implementations.

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