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 CMS Issues Stark II, Phase III
Final Rules
On September 5, 2007 the Centers for
Medicare & Medicaid
Services (CMS) released the long anticipated Stark II, Phase III
final rules. Set to be finalized 90 days after
publication, the "Stark III" rules include key
changes that include:
 ▪Elimination
of the "safe harbor" for determining
fair
market
value
▪for
hourly physician compensation;
▪A
relaxing of physician recruiting rules;
▪A
scaling back of the "indirect compensation
arrangement
▪exception;
▪An
addition to the professional services arrangement
exception
▪establishing
a six month holdover concept.
>> Click here
for the Stark II, Phase III rules published in the
Federal Register
Elimination of "Safe Harbor" Provision for
Determining Hourly Physician Compensation Fair
Market Value.
CMS established a "safe
harbor" in the Phase II rules stating that an hourly
rate would be considered within fair market value (FMV)
if that hourly rate met certain conditions based on
either, (i) the average hourly rate of local emergency
room physicians, or (ii) an analysis of the 50th
percentile national compensation amount from
physician compensation surveys.
The "safe harbor" has
been removed due to questions regarding its
application, as well as criticism about the
methodology, and CMS reiterated that the "safe
harbor" was always voluntary and that parties could
have, and may continue to, establish FMV through
other methods.
Pinnacle & FMV
The aim of the Pinnacle FMV Program is to simplify, to the
extent possible, compliance with FMV requirements and aid in the development
of productive physician-hospital relationships. To learn more about
the Physician FMV Program features or how Pinnacle can assist your organization contact Dan Stech (303.390.1946 or
dstech@medbizz.com)
or David White (303.407.0526 or
dwhite@medbizz.com) for more information. |
 |
 St.
Jude Subsidiary Settles
Kickback Case
A subsidiary of St.
Jude Medical, Advanced Nueromodulation Services (ANS),
recently agreed to pay $2.95 million and commit to a
three-year corporate integrity agreement.
According to the Health
& Human Services (HHS) inspector general's office,
ANS is alleged of paying physicians $5,000 for every
test they the conducted using ANS's spinal cord
stimulator. The payments were related to five
patients in Plano, Texas.
Source: Blesch,
Gregg. Modern Healthcare Daily Dose. July 5, 2007.
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Archived
FMV News
▪CMS
Extends Effectiveness of
▪Stark II
Phase
II Regulations
▪Joint
Ventures Under Fire |
