Amends title XVIII (Medicare) of the Social Security Act to delay implementation of Round 2 of the Medicare DMEPOS (Durable Medical Equipment, Prosthetics, Orthotics, and Supplies) competitive acquisition program (for the furnishing to Medicare beneficiaries of competitively priced items and services) for competitive acquisition areas in Tennessee.
Terminates contracts already awarded with respect to such areas in Tennessee, and prohibits any payments based on such a contract. Requires any damages resulting from contract terminations to be paid from the Federal Supplementary Medical Insurance Trust Fund.
Directs the Secretary of Health and Human Services (HHS) to conduct a rebid of the competition for such round in such areas as soon as possible in accordance with the requirements of this Act, including the requirement that suppliers meet state licensing requirements.
Requires the Secretary, in the case of any such new competition, to impose a civil monetary penalty of $10,000 on the entity contracted to implement the competitive bidding program for each instance in which information that entity supplies is incorrect and results in the award of a contract to a supplier in such an area to a supplier not licensed by the state of Tennessee.