2022 Medicare DMEPOS Fee Schedule Update Confirmed at 5.1%. Medicare Sequestration Delayed Again


On December 2, 2021, the Centers for Medicare and Medicaid Services (CMS) announced the 2022 Medicare Fee Schedule update for Durable Medical Equipment, Prosthetics, Orthotics, and Supplies (DMEPOS).  The 2022 Medicare DMEPOS Fee Schedule will increase by a net total of 5.1% for claims with a date of service on or after January 1, 2022. The 5.1% increase is the result of a CPI-U increase of 5.4% from June 2020 to June 2021 and a -0.3% productivity adjustment. AOPA previously reported an assumed net increase of 5.1% but it has now been officially confirmed by CMS.

In addition to the 5.1% increase to the Medicare DMEPOS Fee Schedule, on December 10, 2022 Congress passed a bill that will extend the delay of the 2% Medicare sequestration based reimbursement reductions that were scheduled to be re-implemented as of January 1, 2022. The bill, which was signed into law by President Biden the same day, will extend the moratorium on sequestration reductions through March 31, 2022 and reduce sequestration reductions to 1% from April 1st through June 30, 2022.

The 5.1% increase to the 2022 Medicare DMEPOS Fee Schedule is the largest annual increase in over 30 years.  Questions regarding the Medicare fee schedule or Medicare sequestration may be directed to Joe McTernan at jmcternan@aopanet.org or Devon Bernard at dbernard@aopanet.org.