3 Stark Law changes healthcare providers should note

CMS recently issued a final rule revising, clarifying and adding two new exceptions to Stark Law.

Here are three Stark Law changes healthcare providers should be aware of, according to a National Law Review report.

1. Exception for assistance to recruit nonphysician practitioners. The rule established a new exception to Stark Law that permits hospitals, federally qualified health centers and rural health clinics to make payments to physicians to recruit nonphysician practitioners. For the exception to apply, 75 percent of the services provided by the NPP to patients at the physician's practice must be for primary care or mental health services. The exception applies to: physician assistants, nurse practitioners, clinical nurse specialists, certified midwives, clinical social workers and clinical psychologists.

2. Exception for timeshare arrangements. The rule finalized a new exception permitting timeshare arrangements for the use of office space, equipment, personnel, items, supplies and other services. The exception excludes advanced imaging equipment, radiation therapy equipment and most clinical or pathology laboratory equipment.

3. One-year term requirement clarification. The rule provides clarification regarding the one-year term requirement for office space rental, equipment rental and personal services exceptions. The rule states the arrangement itself must have a duration of at least one year, but a formal term provision in a contract in not required. Contemporaneous documents may be used to establish the arrangement lasted for at least one year.

More articles on Stark Law:

The 'halo over nonprofits' is gone and 3 other takeaways from recent Stark Law settlements
Adventist Health System to pay record-breaking $118.7M to settle improper physician compensation claims
Florida hospital district to pay $69.5M to settle Stark Law, False Clams Act allegations

 

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