For Most Stark Law Exceptions To Apply A Written Agreement Is Required

The CMS also proposes a number of changes to existing exceptions. In general, these proposed revisions are supplier-friendly and provide a better understanding and clarity of the intent of the CMS. Keep in mind that two exceptions – transfer services and obstetric fault aids – require compliance with the AKS and compliance with certain AKS safe harbors. CMS does not propose any changes related to these requirements. The purpose of the Stark Act is to prohibit a physician (or family member of that physician) from referring for „certain health services“ to an institution with which the referring physician (or direct family member) has a financial relationship, unless the parties respect one of the exceptions under the federal provisions. In addition, Stark prohibits institutions such as hospitals from filing claims for payments to Medicare or Medicaid for items or services arising from prohibited transfers. While the concept of „financial relationship“ may seem simple, Stark broadly defines the term and encompasses both property and investment interests and compensation agreements between physicians (and their immediate families) and institutions. Violations of the Stark Act can be significantly liable under the False Claims Act, civil fines and exclusion from all federal health programs. Under strong law, many exceptions to civil liability are included.

Among them, a common theme is the requirement that each agreement be supported by signed writing. Rental of office space and rental equipment exceptions. Legal exceptions for the rental of office space and equipment include the requirement that the space or equipment be used only by the landlord and should not be shared with the landlord or a person related to the landlord. This restriction has been a problem for suppliers who have interpreted the exception by prohibiting the lessor from sharing space or equipment with another party. Many doctors often use the same space or equipment at the same time in the treatment of patients. CmS therefore proposes to amend the text of the regulation to clarify that the exemption does not prohibit several tenants from using the space or equipment or prevents a taker from inviting a party other than the lessor to use the offices or equipment rented by the taker. Under the proposed rule, the lessor (or any person or institution related to the lessor) is the only party that must be excluded from the use of space or equipment in accordance with the exceptions. Request for recommendation. Under the current specific compensation rules, health care facilities may require physicians to order a specific provider, practitioner or supplier as a condition of the physician`s remuneration, without the compensation being considered a consideration of the size or value of the transfers, but only if the transfer obligation does not apply. , when a patient prefers another provider or provider. the patient`s insurer determines the provider or provider, or the physician believes that the referral is not in the best medical interest of the patient.