Governor Charles D. Baker's Budget Recommendation - House 1 Fiscal Year 2016

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Outside Section 24

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Volume Purchasing of Durable Medical Equipment

SECTION 24.   Section 12 of chapter 118E of the General Laws, as amended by section 27 of chapter 35 of the acts of 2013, is hereby amended by striking out the second paragraph and inserting in place thereof the following paragraph:-
The division may enter into any types of contracts with providers and manufacturers of medical services, equipment and supplies as the division deems necessary to carry out the provisions of this chapter, including, but not limited to, selective contracts, volume purchase contracts, preferred provider contracts and managed care contracts. The division may negotiate the rate of reimbursement to the provider under any such contract, and any such negotiated rate shall not be subject to the provisions of sections 13 through 13F of chapter 118E.

MassHealth is currently authorized to contract with providers for services, as long as those contracts are reviewed by CHIA and by ANF. This section expands that authorization to permit MassHealth to also contract with manufacturers of equipment and supplies. This section also eliminates review of all such contracts by CHIA and ANF.

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