Licensure for Contract Suppliers Fact Sheet

As a contract supplier for Round 2021 of the Durable Medical Equipment, Prosthetics, Orthotics, and Supplies (DMEPOS) Competitive Bidding Program, you must comply with all applicable federal and state laws. This includes maintaining compliance with all applicable state licensing requirements pertaining to functions under your contract throughout the duration of the contract performance period. In addition, you must ensure your enrollment information is up to date with the National Supplier Clearinghouse (NSC) and that it is reflected in the Provider Enrollment, Chain, and Ownership System (PECOS) for the states and product categories included in your contract. Failure to comply with these requirements is a breach of contract and may result in contract termination, preclusion from participating in future rounds of the DMEPOS Competitive Bidding Program, contract suspension, or other remedies allowed by law.

Here are some key requirements contract suppliers should remember about licensure:

• Contract suppliers must have a current copy of all applicable state licenses on file with the NSC and in PECOS. Therefore, at the time a license expires, it is the responsibility of the contract supplier to submit a current license to the NSC so PECOS records can be updated accordingly.
• Each contract supplier location (Provider Transaction Access Number (PTAN)) must meet all applicable state licensing requirements for every item in the product category for the duration of the contract performance period.
• Contract suppliers that furnish items through the mail must possess all applicable state licenses required to furnish items through the mail for each state they were awarded a contract.

A DMEPOS State License Directory for each state, the District of Columbia, and the US territories may be found on the NSC website. This directory provides general licensing requirements for DMEPOS product categories and contact information for each state’s licensing board or agency. This is only a guide. Licensing requirements change periodically, and it remains the responsibility of the contract supplier to identify, obtain, and have all current, non-expired required state licenses reflected in PECOS. For more information about licensing requirements, please consult the appropriate state licensing board/agency.