In December 2013, Lake Pointe made a request to CMS to add 36 beds, and on Oct. 31, CMS granted the request. The hospital had to seek the Stark Law exception, due to a 2010 outpatient payment rule, which prevented existing physician-owned hospitals from expanding in size if they did not receive a waiver from CMS, according to the report.
Lake Pointe was the first hospital to be granted an exception to Stark Law under a process that rolled-out in November 2011. Some of the factors that led to the approval were Lake Point had higher annual percentages of Medicaid patient admissions over the last three fiscal years, and the hospital certified it didn’t discriminate against federal healthcare beneficiaries.
More articles on Stark Law:
Physicians playing defense under the Stark Act: 20 things to know about the 21st Century Oncology self-referral investigation
Stark Law, Anti-Kickback waivers extended for ACOs
Banks Jackson Commerce Medical Center, cardiologist pay $500k for alleged Anti-Kickback, Stark Law violations
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