Medicare Pauses New Supplier Sign-Ups to Fight Fraud and Waste
Published Date: 2/27/2026
Notice
Summary
Starting February 27, 2026, Medicare, Medicaid, and CHIP are hitting pause for six months on new sign-ups for companies that supply medical gear like wheelchairs, prosthetics, and other durable equipment. This temporary freeze helps stop fraud and waste, making sure your healthcare dollars go to the right places. If you’re a supplier or rely on these programs, expect tighter rules and a short wait before new suppliers can join.
Analyzed Economic Effects
6 provisions identified: 1 benefits, 3 costs, 2 mixed.
6‑Month Nationwide DMEPOS Moratorium
Starting February 27, 2026, CMS imposed a nationwide 6‑month moratorium on enrolling new Medicare DMEPOS medical supply company suppliers. The pause applies across the United States to new enrollments for the listed medical supply company types and may be extended in 6‑month increments.
Seven Supplier Types Specifically Blocked
The moratorium specifically blocks initial Medicare enrollments for seven types of DMEPOS medical supply companies nationwide: (1) medical supply company; (2) medical supply company with orthotics personnel; (3) medical supply company with pedorthic personnel; (4) medical supply company with prosthetics personnel; (5) medical supply company with prosthetic and orthotic personnel; (6) medical supply company with registered pharmacist; and (7) medical supply company with respiratory therapist.
Tighter Screening and 10‑Year Bar Risk
During the moratorium CMS will closely screen DMEPOS supplier applications (including site visits and online research) to ensure applicants are not medical supply companies. CMS warns that submitting false or misleading enrollment information can lead to denial, revocation, and up to a 10‑year reapplication bar under Sec. 424.530(a)(4).
Applications Received Before Moratorium Exempt
If your Medicare enrollment application for a DMEPOS supplier was received by the Medicare contractor before February 27, 2026, it is not subject to the moratorium and will be processed. CMS also can lift the moratorium earlier for specified reasons (for example, a presidential disaster declaration or public health emergency) or extend it in 6‑month increments.
States Decide on Medicaid and CHIP Moratoria
CMS did not impose a nationwide Medicaid or CHIP moratorium; instead, each State may decide whether to implement a DME moratorium for its Medicaid or CHIP programs. CMS is offering every state and territory the opportunity to consult with CMS on implementing a Medicaid- or CHIP-based DME moratorium.
CMS Says Beneficiary Access Should Be Maintained
CMS states it does not foresee shortages or access‑to‑care issues for Medicare beneficiaries because there are more than 79,000 DMEPOS suppliers nationwide and over 6,000 medical supply company enrollments already exist; CMS notes about 600 medical supply companies enroll each year (about 300 over a 6‑month period). CMS also noted other supplier types (pharmacies, hospitals, etc.) can open new locations and many supplies can be mail‑ordered.
Personalized for You
How does this regulation affect your finances?
Personalize government policy and PRIA will tell you what this federal register document means for your household, plus every other regulation we track. PRIA reads each provision against your financial profile to show you exactly what matters to your wallet.
Key Dates
Department and Agencies
Related Federal Register Documents
2026-14709, Patient Protection and Affordable Care Act, HHS Notice of Benefit and Payment Parameters for 2027; and Basic Health Program; Correction
This correction fixes some typos and technical mistakes in the 2027 health insurance rules under the Affordable Care Act. It mainly affects people and organizations involved in health coverage plans by clarifying when the rules take effect and restoring some important regulation details. These fixes take effect on July 20, 2026, ensuring smoother and clearer health plan operations next year.
2026-12069, Medicare Program; Strengthening Oversight of Accrediting Organizations (AOs) and Preventing AO Conflicts of Interest, and Related Provisions
This new rule makes sure the groups that check Medicare providers play fair and follow clear rules to avoid conflicts of interest. It updates how psychiatric hospitals are reviewed and tightens rules for providers who lost their Medicare status but want back in. These changes affect Medicare providers and accrediting groups, start June 16, 2027, and aim to keep care safe and trustworthy.
2026-10890, Medicare Program; Alternative Payment Model Updates and the Increasing Organ Transplant Access (IOTA) Model
Starting July 1, 2026, Medicare is updating the Increasing Organ Transplant Access (IOTA) Model to help kidney transplant hospitals do even better at getting more people transplanted and improving care quality. These changes affect hospitals involved in kidney transplants and aim to make the process smoother and more effective, with new payment rules that reward success. This update is part of a 6-year plan running through 2031 to save more lives and boost patient experience.
2026-10292, Medicaid Program; Medicaid Managed Care State Directed Payments and Medicaid Fee-for-Service Targeted Medicaid Practitioner Payments
This proposed rule changes how states can pay Medicaid managed care plans and certain doctors to make sure payments are fair, efficient, and encourage enough providers to offer quality care. It affects states, Medicaid managed care organizations, and targeted Medicaid practitioners, aiming to keep payments balanced and services available. Comments on these changes are open until July 21, 2026, so stakeholders have time to weigh in before it’s finalized.
2026-10050, Patient Protection and Affordable Care Act, HHS Notice of Benefit and Payment Parameters for 2027; and Basic Health Program
Starting in 2027, health insurance plans on federal and state marketplaces will see new rules to make coverage fairer and easier to use. These changes affect insurance companies, agents, and people buying plans, including new fees, penalties, and better protections for those with hardships. Expect updates on plan quality, dental coverage limits, and longer-term catastrophic plans, all aiming to keep your health coverage solid and affordable.
2026-07205, Medicare and Medicaid Programs; Patient Protection and Affordable Care Act; Interoperability Standards and Prior Authorization for Drugs for Medicare Advantage Organizations, Medicaid Managed Care Plans, State Medicaid Agencies, Children's Health Insurance Program (CHIP) Agencies and CHIP Managed Care Entities, and Issuers of Qualified Health Plans on the Federally-Facilitated Exchanges
This new rule will help Medicare, Medicaid, CHIP, and health plan companies share patient info more easily and speed up drug approval requests. It affects Medicare Advantage, Medicaid, CHIP, and health plans on federal exchanges, aiming to make care smoother and faster. These changes will start soon and could save time and money by cutting red tape.
Previous / Next Documents
Previous: 2026-03970, Agency Information Collection Activity: Request for Certificate of Veteran Status
The VA is updating its form that helps veterans prove their status to get loan benefits, like a lower down payment. Veterans and lenders will be affected by this change, and the VA wants your feedback by April 28, 2026. This update aims to make the form clearer and easier to use without adding extra hassle or costs.
Next: 2026-03972, Oil Country Tubular Goods From the People's Republic of China: Final Affirmative Determination of Circumvention of the Antidumping Duty and Countervailing Duty Orders
The U.S. Department of Commerce found that some seamless oil pipes finished in Thailand but made from Chinese steel are sneaking around U.S. import rules. Starting February 27, 2026, these pipes will face the same extra taxes as those directly from China. This move protects American businesses and keeps trade fair by stopping unfair pricing tricks.