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Medicare Contracting Reform Underway

CMS is embarking on the next major step in acquisition activities for the new Medicare Administrative Contractors (MACs), the future contractors that will replace the current fiscal intermediaries and carriers by combining administration of both the Part A and Part B programs in specified geographic regions. CMS is planning to announce in late June the name of the first MAC (Jurisdiction 3), which will encompass Arizona, Montana, North Dakota, South Dakota, Utah and Wyoming. Noridian is currently the Part B carrier for these states, except for Montana. CMS expects to complete transition to the new MAC by July 2007.

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