(a) CMS may enter into a contract with an entity to perform the functions described in
§ 421.304 if the entity meets the following conditions:
(1) Demonstrates the ability to perform the Medicare integrity program contractor functions
described in § 421.304. For purposes of developing and periodically updating a list of DME under § 421.304(e), an entity is deemed to be eligible to enter into a contract under the Medicare integrity
program to perform the function if the entity is a carrier with a contract in effect
under section 1842 of the Act.
(2) Agrees to cooperate with the OIG, the DOJ, and other law enforcement agencies, as
appropriate, including making referrals, in the investigation and deterrence of potential
fraud and abuse of the Medicare program.
(3) Complies with conflict of interest provisions in 48 CFR chapters 1 and 3, and is not excluded under the conflict of interest provision at § 421.310.
(4) Maintains an appropriate written code of conduct and compliance policies that include,
but are not limited to, an enforced policy on employee conflicts of interest.
(5) Meets other requirements that CMS establishes.
(b) A MAC as described in section 1874A of the Act may perform any or all of the functions
described in § 421.304, except that the functions may not duplicate work being performed under a Medicare
integrity program contract.
(c) If a MAC performs any or all functions described in § 421.304, CMS may require the MAC to comply with any or all of the requirements of paragraph
(a) of this section as a condition of its contract.
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