Policy & Legislative Advocacy
Mental Health Parity Legislation Enacted
Health Care
October 23, 2008

Richard L. Arenburg
Armin G. Brecher
Paul F. Concannon
Edmund Emerson III
Jennifer Faucett
Sandra K. Herron
Castles R. Hollis
Bruce F. Howell
Christopher J. Rylands
Steven G. Schaffer
Leah Mendelsohn Stone
Qian "Bonita" Wang

After more than a decade of deliberation and repeated extensions, mental health parity requirements for group health plans became permanent on October 3 as part of the Emergency Economic Stabilization Act (H.R. 1424) (the “Act”). The Act also added additional parity requirements for mental health benefits and requires parity in the treatment of substance use disorder (i.e. substance abuse) benefits as well.



Comparison of Presidential Candidates’ Health Care Proposals
Health Care
September 22, 2008

Cynthia E. Berry
Leah Mendelsohn Stone

As part of their campaigns for the presidency, both Senator McCain and Senator Obama have outlined health care reform proposals that aim to provide access to affordable health care. The candidates’ plans differ on how they would achieve their stated objectives.



New Stark Rules Bring Major Changes - 08/08
Health Care
August 27, 2008

Sandra K. Herron

On August 19, 2008, the Centers for Medicare and Medicaid Services published the latest changes to the Stark Law. The Stark Law regulates the types of arrangements into which physicians may enter. Violations of the Stark Law bring hefty civil fines and penalties.



Expansion of Competitive Bidding Program for Durable Medical Equipment, Prosthetics, Orthotics, and Supplies
Health Care
January 15, 2008

Alan K. Parver
Leah Mendelsohn Stone

The Centers for Medicare & Medicaid Services announced on January 8 the seventy Metropolitan Statistical Areas and eight product categories that will be involved in the second phase of competitive bidding for durable medical equipment, prosthetics, orthotics, and supplies.



HHS Proposes New Authority for Secretary to Overturn or Remand Departmental Appeals Board Decisions
Health Care
January 14, 2008

On December 28, 2007, the U.S. Department of Health and Human Services ("HHS") issued a proposed rule that would grant the Secretary of HHS new authority to overturn or remand certain decisions of the Departmental Appeals Board.



President Signs End-of-Year Healthcare Legislation - 01/08/08
Health Care
January 8, 2008

Steven Stranne

On December 29, 2007, the President signed into law the Medicare, Medicaid and SCHIP Extension Act of 2007. This legislative package made few substantive changes to Medicare, Medicaid or the State Children's Health Insurance Program.



CMS Issues Interim Final Rule Clarifying Definition of Targeted Case Management - 12/12/07
Health Care
December 12, 2007

On December 4, CMS published an interim final rule clarifying the definition of case management and targeted case management (TCM) services for which states may receive Medicaid payment.



House Small Business Committee Holds Hearing on Small Supplier Concerns Over Medicare Competitive Bidding - 11/07/07
Health Care
November 7, 2007

Alan K. Parver

The U.S. House of Representatives Committee on Small Business, Subcommittee on Investigations and Oversight, held a hearing October 31, 2007 about the potential impact of the Medicare competitive bidding program on small providers.



CMS Issues Medicare Hospital Outpatient Prospective Payment System 2008 Final Rule - 11/07/07
Health Care
November 7, 2007

Alan K. Parver

On November 1, 2007, the Centers for Medicare & Medicaid Services (CMS) issued a final rule with comment period updating the hospital Outpatient Prospective Payment System for calendar year 2008.



OIG Finds Some Medicare Drug Plan Web Sites Do Not Meet Federal Requirements - 10/31/07
Health Care
October 31, 2007

Leah Mendelsohn Stone
Steven Stranne

A recently released report by the Department of Health and Human Services Office of Inspector General (OIG) revealed that approximately one-third of the Medicare Part D prescription drug plan sponsors' Internet web sites did not contain all of the content required by the Medicare regulations and that eighty-five percent of the web sites did not comply with Federal requirements for accessibility.



House Fails to Override Presidential Veto of SCHIP Legislation - 10/23/07
Health Care
October 23, 2007

Anne B. Camper

On October 18, 2007, the House failed to override a Presidential veto of legislation that would have reauthorized the State Children's Health Insurance (SCHIP) program.



CMS Issues Proposed Rule Limiting Medicaid Payments for Outpatient Hospital Services
Health Care
October 9, 2007

On September 28, the CMS published a proposed rule entitled "Medicaid Program; Clarification of Outpatient Clinic and Hospital Facility Services Definition and Upper Payment Limit" that could have potentially significant effects on Medicaid reimbursement for outpatient hospital services.



CMS Proposes Changes to Medicaid Funding for School-Based Administration and Transportation - 10/08/07
Health Care
October 8, 2007

On September 7, the CMS issued a proposed rule titled "Elimination of Reimbursement Under Medicaid for School Administration Expenditures and Costs Related to Transportation of School-Age Children Between Home and School."



Temporary SCHIP Extension and Health Extenders Package Signed into Law - 10/03/07
Health Care
October 3, 2007

Leah Mendelsohn Stone

On Saturday, September 29th, President Bush signed into law a temporary funding extension of the State Children's Health Insurance Program, as well as a separate bill that will continue several health care programs that were set to expire on September 30th.



Significant Changes to Federal False Claims Act Introduced by Senator Grassley - 09/19/07
Health Care
September 19, 2007

R. Joseph Burby, IV
Ralph J. Caccia

On September 12, Senator Charles Grassley (R-Iowa), ranking member of the Senate Finance Committee, proposed Senate Bill 2041 to amend the federal False Claims Act ("FCA") in ways which would directly impact qui tam suits initiated against health care providers.



Stark II, Phase III: And Still More to Come! - 09/14/07
Health Care
September 14, 2007

Sandra K. Herron

On August 27, 2007, The Centers for Medicare and Medicaid Services (CMS) released the third phase of rulemaking to amend the regulations implementing the Ethics in Patient Referrals Act, commonly known as "Stark." This Phase III Final Rule (Phase III) was published on September 5, 2007 and will become effective 90 days later, on December 5, 2007. In publishing Phase III, CMS both responds to public comments on Phase II and addresses the entire regulatory scheme.



CMS Disapproves New York SCHIP Plan Amendment, Enforcing New Crowd-Out Guidance - 09/11/07
Health Care
September 11, 2007

C. Scott Greene

On September 7, 2007, the Centers for Medicare and Medicaid Services (CMS) disapproved the State of New York's proposed amendment to the State's Children's Health Insurance Program (CHIP) plan, marking the agency's first enforcement action based on noncompliance with the controversial new crowd-out policy issued on August 17, 2007.



CMS Issues Multiple Proposed and Final Rules on Medicare, Medicaid, and SCHIP Compliance and Reimbursement - 09/07/07
Health Care
September 7, 2007

Anne B. Camper

Between August 24 and August 31, 2007, the Centers for Medicare and Medicaid Services (CMS) issued or announced a number of proposed or final rules.



CMS Unveils New SCHIP Enrollment Policy - 08/28/07
Healthcare
August 28, 2007

On August 17, 2007, the Center for Medicaid and State Operations of the CMS issued a letter to State health officials regarding State initiatives to expand enrollment in the State Children's Health Insurance Program.



Congress Passes New Ethics, Lobbying, and Earmark Requirements - 08/20/07
Health Care & Advocacy & Government Relations
August 20, 2007

Cynthia E. Berry

Before recessing for the month of August, the U.S. House of Representatives and the U.S. Senate passed the "Honest Leadership and Open Government Act" (S. 1), which would tighten ethics guidelines, restrict lawmakers' interactions with lobbyists, increase lobbying disclosure, and impose new requirements on earmarking of federal funds.



Eight Circuit Denies Minnesota Appeal of CMS Rejection of Medicaid State Plan Amendment - 08/15/07
Health Care
August 14, 2007

In an opinion filed July 31, 2007, the U.S. Court of Appeals for the Eight Circuit rejected Minnesota's appeal of a Centers for Medicare and Medicaid Services (CMS) decision to deny a state plan amendment as a result of inadequate responses to the agency's increased scrutiny of Medicaid reimbursement and state funding mechanisms.



Proposed Stark Amendment Targets Physician-Owned Hospitals - 08/08/07
Health Care
August 8, 2007

On July 23, 2007, Representative Pete Stark co-sponsored legislation that included a proposed amendment to the Ethics in Patient Self-Referral Statute (the "Stark law"). The proposed amendment is part of the Children's Health and Medicare Protection Act of 2007 and significantly limits an important existing exception to the Stark law prohibition on certain physician referrals to hospitals.



House and Senate Passed SCHIP Bills - 08/07/07
Health Care
August 7, 2007

Leah Mendelsohn Stone

Prior to adjourning for the August recess, the Senate and the House of Representatives passed different bills reauthorizing the State Children's Health Insurance Program (SCHIP). Reconciling these bills in September may be complicated due to the variation in the bills and the issues that they raise.



CMS Document Sheds Light on the New Medicaid World - 07/31/07
Health Care
July 31, 2007

Sandra K. Herron

On July 20, 2007, the Centers for Medicare and Medicaid Services (CMS) Office of Acquisition & Grants Management issued a document that provides vital information to health care providers about what to expect during the coming years of intensified Medicaid review and enforcement.



CMS Solicits Comments for 2008 PQRI and PAQI Fund - 07/25/07
Health Care
July 24, 2007

On July 12, 2007, the CMS issued a proposed rule with respect to the Physician Quality Reporting Initiative for calendar year 2008.



CMS Says Providers Can Charge for Missed Appointments - 07/18/07
Health Care
July 18, 2007

On June 29, 2007, the Center for Medicaid & Medicare Services ("CMS") implemented a new policy that will allow physicians, providers, and suppliers to charge Medicare beneficiaries for missed appointments.



CMS Issues Final Medicaid Citizenship Documentation Rule - 07/17/07
Health Care
July 17, 2007

On July 13, 2007, the Centers for Medicare and Medicaid Services (CMS) published a final rule on citizenship documentation requirements for Medicaid eligibility.



OIG Withdraws Proposed Rule on Exclusion for Excessive Charges - 06/19/07
Health Care
June 19, 2007

On Monday, June 18, 2007, the OIG of the HHS withdrew a proposed rule that would have clarified its authority to exclude providers from the Medicare and Medicaid programs for submitting claims containing excessive charges, responding to significant concerns raised by the provider community.



Final Rule on Cost Limit for Public Providers and Defining "Public" Status - 05/31/07
Health Care
May 31, 2007

On Friday, May 25, the CMS issued a final version of the Medicaid cost limit regulations proposed in January.



Legislation Introduced to Extend the 340B Drug Discount Program to Inpatient Drugs - 05/24/07
Health Care
May 24, 2007

On May 14, 2007, Senators Jeff Bingaman (D-NM) and John Thune (R-SD) introduced the "340B Program Improvement and Integrity Act of 2007." This bill would extend mandatory drug pricing discounts under the federal 340B program.



CMS Proposes Rule to Eliminate Federal Reimbursement for Medicaid Direct GME Payments - 05/07
Health Care
May 23, 2007

The Centers for Medicaid and Medicare Services issued a proposed regulation to clarify that costs and payments associated with graduate medical education (GME) programs are not eligible for federal financial participation under state Medicaid programs.



Genetic Information Bill May See House Floor Action This Month - 04/04/07
Health Care
April 4, 2007

Cynthia E. Berry

A bill to address concerns about the potential for discrimination in employment and insurance based on genetic information is almost ready for House floor action after attempts to pass the bill in several previous Congresses have stalled in committee.



Fiscal Year 2008 Senate Budget Resolution - 03/21/07
Health Care
March 21, 2007

Alan K. Parver
Leah Mendelsohn Stone

On March 15 the Senate Budget Committee reported its fiscal 2008 budget resolution. The budget resolution contains notable provisions relating to Medicare and the State Children's Health Insurance Program (SCHIP). It also includes funding for Federally Qualified Health Centers.



Opposition Growing To Proposed Regulation - 02/28/07
Health Care
February 28, 2007

On January 18, 2007, the Centers for Medicare and Medicaid Services published a proposed regulation that would dramatically affect payments to public providers and state-Medicaid financing arrangements.



SCHIP Reauthorization Remains a Top Congressional Priority - 02/13/07
Health Care
February 13, 2007

As lawmakers establish priorities for the 110th Congress, reauthorization of the State Children's Health Insurance Program (SCHIP) is being given top billing.



President Releases FY 2008 Budget - 02/06/07
Health Care
February 6, 2007

On Monday, President Bush sent his $2.8 trillion fiscal year (FY) budget to Capitol Hill, which preliminary analyses show includes $66 billion in savings from Medicare and $6.8 billion from Medicaid and the State Children's Health Insurance Program (SCHIP).



Senate Passes New Ethics, Lobbying, and Earmark Regulations - 01/29/07
Health Care
January 29, 2007

Cynthia E. Berry

After considerable debate, Senate leaders from both parties forged an agreement to pass legislation on January 18 that would tighten ethics guidelines, change lawmakers' relationships with lobbyists, and require stronger regulations regarding earmarks.



CMS Proposes Restrictions on Medicaid Payments to Public Providers and on Financing Arrangements with State Medicaid Programs - 01/23/07
Health Care
January 23, 2007

Anne B. Camper

On January 18, the Centers for Medicare and Medicaid Services published a proposed regulation that would dramatically limit payments to public providers and State Medicaid financing arrangements.



HRSA Proposes Changes to Definition of Patient and Contract Pharmacy Arrangements in the 340B Drug Pricing Program - 01/23/07
Health Care
January 23, 2007

On January 12, 2007, the federal Health Resources and Services Administration (HRSA) published two notices in the Federal Register proposing amended guidelines for the 340B Drug Pricing Program, which allows certain qualified providers (known under the program as "covered entities") access to substantially discounted prices on outpatient drugs.



OIG Finds Medicare Beneficiaries Not Receiving Drug Subsidies - 11/27/06
Health Care
November 27, 2006

Cynthia E. Berry

On Friday, November 17, the U.S. Department of Health and Human Services (HHS) Office of Inspector General (OIG) released a report highlighting that low-income Medicare beneficiaries are not receiving the drug subsidies to which they are entitled under the new Medicare drug benefit.



Medicare Finalizes Changes to Outpatient Hospital Payments - 11/07/06
Health Care
November 7, 2006

Cynthia E. Berry

On November 1, CMS released the Medicare Outpatient Prospective Payment System final rule, which describes many of the most significant changes to Medicare hospital outpatient payments in the coming year and is effective for services delivered on or after Jan. 1, 2007. The rule includes a 3.4 percent market basket update for hospital outpatient services as well as a host of other significant updates



Virginia Mason Settles Provider-Based Facility Fee Class Action Suit - 11/07/06
Health Care
November 7, 2006

In January 2005, two patients of Virginia Mason Medical Center filed suit against the healthcare provider seeking recovery of "facility charges" for treatment received at the hospital's downtown outpatient clinic, which is connected to the main hospital.



Fall Elections May Bring Increased Oversight of the Medicare Program - 10/30/06
Health Care
October 30, 2006

Alan K. Parver

Representative Fortney "Pete" Stark, Ranking Minority Member for the House Ways and Means Health Subcommittee recently identified areas in health law and policy that could draw the attention of a Democratically-led Congress.



Recent AHA Report Shows Uncompensated Care Costs Climbing - 10/30/06
Health Care
October 30, 2006

Recent statistics released by the American Hospital Association show that uncompensated care costs for U.S. hospitals continued to rise in 2005.



Congress Fails to Reach Health IT Agreement - 10/10/06
Health Care
October 10, 2006

Lawmakers involved in negotiating the differences between two health information technology (Health IT) bills (H.R. 4157, S. 1418) failed to reach an agreement prior to Congress' recess. The bills may still go to a conference committee if lawmakers can reconcile the differences.



CMS Announces DSH Allotments - 10/10/06
Health Care
October 9, 2006

Last week, CMS announced Medicaid disproportionate share hospital (DSH) allotment levels for states for FY 2005, as well as preliminary allotment levels for FYs 2006 and 2007.



Senate Introduces Sweeping Bipartisan HealthCare Disparities Legislation - 10/04/06
Health Care
October 4, 2006

Cynthia E. Berry

In the last hours before Congress recessed for the fall elections, a bipartisan group of Senators including Majority Leader Frist (R-TN) and Senator Kennedy (D-MA) introduced sweeping new legislation targeted at addressing healthcare disparities.



MedPAC Discusses the Future of Medicare DSH and IME - 09/18/06
Health Care
September 18, 2006

On September 7 and 8, the Medicare Payment Advisory Commission (MedPAC) met in Washington to discuss the future of Medicare Disproportionate Share Hospital (DSH), Indirect Medical Education payments, and improvements to Medicare physician payments



Medicaid Commission Hears Testimony on Medicaid Financing Issues - 09/08/06
Health Care
September 8, 2006

On September 6 and 7, the Medicaid Commission met in Arlington, Virginia. One of the presentations focused on Medicaid reimbursement, financing issues, and the Bush Administration's budget proposals. The 28-member body, appointed by Department of Health and Human Services ("HHS") Secretary Michael Leavitt, was tasked in 2005 with advising HHS and Congress on ways to reform and modernize the Medicaid program. The Commission is comprised of current and former governors, state Medicaid officials, health policy academics, business leaders, patient advocates, and representatives from the provider community.



Executive Order Requires Health Care Price and Quality Information for Consumers -08/29/06
Health Care
August 29, 2006

On August 22nd, President Bush signed an executive order that requires departments that administer federal health care programs to provide cost and quality information to beneficiaries so that they can compare providers and services.



OIG Announces Guidelines for State Medicaid False Claims Laws - 08/29/06
Health Care
August 29, 2006

On August 21st, the OIG issued guidelines for States' Medicaid false claims laws. The Deficit Reduction Act created financial incentives for States to enact laws that establish liability for people or entities that submit false or fraudulent claims to Medicaid programs. In order to qualify for the incentive, the laws must meet specified criteria.



Final CMS Report on Specialty Hospitals Sent to Congress - 08/22/06
Health Care
August 22, 2006

The Centers for Medicare and Medicaid Services (CMS) recently issued a report to Congress on physician investment in specialty hospitals. The report, mandated under the Deficit Reduction Act of 2005, addresses a range of issues relating to specialty hospitals, including investment transparency, Medicare reimbursement, and fraud and abuse.



CMS Releases Quality Standards for DMEPOS Suppliers - 08/22/06
Health Care
August 22, 2006

Alan K. Parver

On August 14, 2006, the Centers for Medicare and Medicaid Services (CMS) issued quality standards for suppliers of durable medical equipment, prosthetics, orthotics, and supplies (DMEPOS). Read details in our alert.



Congress Responds to the Enrollment Deadline for Part D - 05/23/06
Health Care
May 23, 2006

Cynthia E. Berry
Alan K. Parver

On May 15th, the enrollment deadline for the Medicare Part D prescription drug benefit went into effect; as a result, individuals with Medicare will not be able to join a plan until the next enrollment period (beginning November 15th) and will be subject to a lifetime financial late-enrollment penalty. Members in both the House and Senate have already introduced bills aimed at mitigating the effect of the deadline on seniors and other vulnerable groups.



IRS Launches New Compliance Audit Initiative Targeting Hospital Bond Issues - 05/16/06
Public Law & Finance
May 16, 2006

Robert C. Lewinson

Do you have outstanding tax-exempt bonds? The IRS recently announced that it was launching a new audit initiative, targeting qualified 501(c)(3) bond issues in general, and hospital bond issues in particular. Audits will focus primarily on post-closing compliance by bond issuers and conduit borrowers - especially focusing on private use, federal research agreements, management contracts and lease arrangements.



Inspector General Issues First Open Letter - 05/03/06
Health Care
May 3, 2006

On April 24, 2006, the Inspector General of the Department of Health and Human Services issued guidance encouraging providers to voluntarily disclose violations of the physician self-referral law and the Anti-Kickback Statute. This guidance is Daniel Levinson's, the Inspector General, first Open Letter to Health Care Providers. This guidance relates his perspectives on compliance, the resolution of health care fraud cases, corporate integrity agreements, and the OIG's Provider Self Disclosure Protocol. This letter also introduces a new voluntary disclosure initiative that supplements prior guidance issued in 1998.



CMS Releases Proposed DMEPOS Competitive Bidding Rule - 05/02/06
Health Care
May 2, 2006

Alan K. Parver
Steven Stranne

On May 1, the CMS published in the Federal Register a proposed regulation implementing the competitive acquisition program for durable medical equipment, prosthetics, orthotics, and supplies (DMEPOS). The proposed rule already had been published on the CMS website. Comments on the regulation are due by June 30. This summary will focus primarily on the issues associated with the implementation of competitive bidding, although the proposed regulation addresses several other issues as well.



Significant Changes to Medicare Hospital Payments Announced - 05/02/06
Health Care
May 1, 2006

Several important policy changes affecting the Medicare program were announced this month including release of the proposed Medicare inpatient prospective payment system (IPPS) rule for FY 2007, which includes sweeping changes to Medicare payment methodology. In addition, its is likely that the Centers for Medicare and Medicaid Services will fully implement the Medicare occupational mix adjustment as well as lower payments to physicians. Read details in our Alert.



State Legislators & Physicians Scrutinize The Pharmaceutical Industry's Gift-Giving Marketing Tactics - 04/12/06
Healthcare
April 12, 2006

Legislators in several states contemplate stricter regulation of the prescription drug industry's $7.3 billion annual physician marketing campaign with some physician support.



Proposed Rules Expand National Practitioner Data Bank - 04/04/06
Health Care
April 4, 2006

On March 21, 2006 the Department of Health and Human Services ("HHS") released Proposed Rules for the National Physician Data Bank that would incorporate statutory requirements under Section 1921 of the Social Security Act ("Section 1921"). Section 1921 requires states to report to HHS certain adverse licensure actions taken against health care entities as well as health care practitioners.



Finally, Nurse Practitioners Authorized to Write Prescriptions - 04/04/06
Health Care
April 4, 2006

On March 27, 2006, legislation that will allow nurse practitioners to write prescriptions for patients left the Georgia State legislature for the Governor's signature. The bill and others like it were stalled in various committees, but lobbyists were successful in tacking on the necessary language to another unrelated nursing measure, Senate Bill 480, as an amendment.



11th Circuit Dismisses Class Action Lawsuit Attacking Billing Practices Of Not-For-Profit Hospital Group - 03/21/06
Health Care
March 21, 2006

Eric P. Schroeder

In the first ruling by a federal court of appeals on the validity of claims brought by uninsured patients attacking the billing practices of not-for-profit hospitals, the Eleventh Circuit Court of Appeals dismissed the proposed class action complaint of several uninsured patients on res judicata and statute of limitations grounds. Kizzire et al. v. Baptist Health System, Inc., Co., 04-16017 (March 9, 2006). The case was on appeal from the U.S. District Court for the Northern District of Alabama.



Georgia's Medicaid Managed Care Program Delayed Again - 03/21/06
Health Care
March 21, 2006

The implementation of the Georgia's Medicaid managed care program Georgia Healthy Families has been delayed again for another two months. In September 2005, the Department of Community Health ("DCH") delayed the program start from December 2005 to April 1, 2006 due to Hurricane Katrina's devastating impact on the call centers in the Gulf region designed to guide Medicaid recipients in enrollment procedures. The implementation schedule for the Atlanta and Central region will now begin on June 1, 2006 not April 1, 2006. The remaining regions (North, East, Southwest and Southeast) are scheduled to begin on September 1, 2006.



Congress Targets Medicaid Fraud - 01/10/06
Health Care
January 10, 2006

This alert outlines important operational changes that Medicaid providers will be required to make possibly as early as calendar year 2006 under new federal legislation expected to become law later this month.



Finally: Proposed Rules For E-Prescribing and EHR - 11/15/05
Health Care
November 15, 2005

This second part of a three-part series on E-Prescribing and Electronic Health Records ("EHR") will address the potential issues that may arise for physicians and physician group practices due to the implementation of the e-prescribing and EHR proposed rules ("Proposed Rules") released by the Health and Human Services' Office of the Inspector General and the Centers for Medicare and Medicaid Services.



Third Circuit Affirms Constitutionality Of HIPAA's "Routine Use" Exception To Disclosure Of Medical Records - 11/14/05
Health Care
November 14, 2005

On October 31, 2005, the Third Circuit Court of Appeals affirmed the decision of the U.S. District Court for the Eastern District of Pennsylvania granting summary judgment to the Secretary of Health and Human Services and holding that the "routine use" exception to HIPAA's medical records privacy rules was not an unconstitutional infringement on patients' privacy rights.



Electronic Medical Records on the Fast Track - 10/10/05
October 10, 2005

This Health Care Update discusses a new series of Health and Human Services regulations that will accelerate the use and the implementation of electronic medical records ("EMR") and electronic prescribing.



Federal Court of Appeals Upholds HCQIA Immunity For Suspension of Disruptive Physician - 10/03/05
Health Care
October 3, 2005

Following a growing body of federal court decisions granting immunity to hospitals under the Health Care Quality Improvement Act (HCQIA) for suspension or revocation of physician staff privileges on grounds unrelated to quality of care, on September 12, 2005, the U.S. Court of Appeals for the Third Circuit held that the suspension of a physician's privileges for "unprofessional conduct" falls squarely within the purview of "professional review actions" for which HCQIA provides immunity from damages.



OIG Audits Oncology Practices - 09/19/05
Health Care
September 19, 2005

Under the Medicare Prescription Drug, Improvement, and Modernization Act of 2003, the Office of the Inspector General of the Department of Health and Human Service is required to conduct a study to determine whether physician practices, particularly large practices, in the specialties of hematology, hematology/oncology, and medical oncology are able to purchase drugs at the new reimbursement amounts, which have been set at 106% of the average sales price.



Hurricane Response: Government Suspends Certain Healthcare Laws - 9/12/05
Health Care Client Alert
September 12, 2005

Sandra K. Herron

In the wake of what many are calling the greatest disaster in United States history, both the Federal and the Louisiana State governments have suspended the application of certain healthcare laws to the extent necessary, in the words of the Secretary of Health and Human Services, "to ensure that sufficient health care items and services are available to meet the needs of individuals enrolled in Medicare, Medicaid and SCHIP programs, and to ensure that health care providers that furnish such items and services in good faith, but are unable to comply with one or more of these requirements as a result of the effects of Hurricane Katrina, may be reimbursed for such items and services and exempted from sanctions for such noncompliance, absent any determination."



CMS Issues First Stark Advisory Opinion Since 1998 - 08/29/05
Health Care
August 29, 2005

The Centers for Medicare and Medicaid Services has issued its first advisory opinion under the Stark law, 42 U.S.C. § 1395nn et seq., since November, 1998.



Sixth Circuit Restricts Potential Defense to False Claims Act Liability - 08/29/05
Health Care
August 29, 2005

The federal False Claim Act, 31 U.S.C. §§ 3729-3733 ("FCA"), has for many years been considered by the federal government its most effective tool in protecting federal health care program funds from being diminished through fraud. Because FCA damages are generally calculated on the basis of alleged overpayments made by a federal health care program, it has not always been clear to providers at what point FCA liability may attach to claims which remain subject to adjustment and settlement by the organizations that administer the federal health care programs, such as fiscal intermediaries.



Recent Study Finds That State Certificate Of Need Laws Are The Optimal Way To Regulate Physician-Owned Specialty Hospitals And Guarantee Ongoing Financial Viability Of Community Hospitals - 08/22/05
Health Care
August 22, 2005

A recent study ("Specialty Versus Community Hospitals: What Role For The Law?") published online by the journal Health Affairs states that the country's market-driven health care system is endangering the financial viability of our general community hospitals.



New Patient Safety Law Includes New Challenges for Providers - 08/15/05
Health Care
August 15, 2005

On July 27, after many years of negotiation between the House and Senate, Congress passed patient safety legislation, the Patient Safety and Quality Improvement Act of 2005 (S. 544). The President signed the legislation into law on July 29.



Wisconsin High Court Strikes Down Noneconomic Damage Cap - 08/08/05
Health Care
August 8, 2005

Raquel M. Gayle

In a decision that raises further questions and concerns about the long-term shape of Georgia tort reform, the Wisconsin Supreme Court last week struck down as unconstitutional that state's limit, or "cap," on noneconomic damage awards.



When "Plain English" Is Not Enough - 8/01/05
Health Care and Labor & Employment Law
August 1, 2005

Marilyn M. Fish
Shay Zeemer Hable
Sandra K. Herron



Senate HELP Committee Unanimously Approves Bipartisan Healthcare Information Technology Legislation - 07/29/05
Health Care
July 29, 2005

On July 10, the Senate Health, Education, Labor and Pensions (HELP) Committee unanimously approved the Wired for Healthcare Quality Act of 2005 (S. 1418), legislation aimed at increasing the use of technology to store and share medical information.



Patient Care Ombudsman - 06/13/05
Health Care
June 13, 2005

Wendy L. Hagenau

Over the last five to ten years, the number of healthcare businesses filing bankruptcy petitions has greatly increased. The bankruptcy courts found themselves grappling not simply with business issues, but also with issues of patient care. Judges founds themselves sometimes ill-equipped to evaluate whether a business proposal or business strategy would in fact have adverse effects on patient care. As a result, the bankruptcy amendments have added a new section to address the needs of patients when the healthcare business is in bankruptcy.



Eighth Circuit Emphasizes Importance Of HCQIA In Defending Antitrust Claims Against Hospitals - 06/12/05
Health Care
June 12, 2005

Eric P. Schroeder

The Eighth Circuit Court of Appeal has reaffirmed in a recent ruling the important protections HCQIA (the "Health Care Quality Improvement Act", 42 U.S.C. §§ 11101-52) provides hospitals in defending claims arising from discipline of physicians.



CMS Issues Final MMA Section 1011 Guidance - 06/10/05
Health Care
June 10, 2005

On May 9, almost 10 months after publishing a proposed implementation notice, the Centers for Medicare and Medicaid Services (CMS) released the final implementation notice for Section 1011 of the Medicare Prescription Drug Improvement and Modernization Act of 2003, which authorizes $250 million each year in federal reimbursement from FYs 2005 through 2008 directly to hospitals, physicians, and ambulance services for the costs associated with providing emergency services to undocumented and other specified immigrants.



HHS Releases Guidance for Medicaid Commission as Congress, Governors Consider Other Medicaid Savings Proposals - 06/03/05
Health Care
June 3, 2005

In April, Congress reached agreement on a FY 2006 budget resolution that directs the committees with jurisdiction over Medicaid to identify $10 billion in savings over five years. As part of the budget deal, the White House agreed to create a commission to study Medicaid and recommend reform proposals that could result in Medicaid savings.



At Last! The National Provider Identifier - 05/16/05
Health Care
May 16, 2005

Sandra K. Herron



CMS Releases New National Coverage Criteria for Mobility Assistive Equipment - 05/16/05
Health Care
May 16, 2005

On May 5, 2005, the Centers for Medicare and Medicaid Services announced new national Medicare coverage criteria for mobility assistive equipment. The policy governs a range of assistive items, from canes, crutches and walkers to power operated wheelchairs.



HIPAA Portability Final Regulations - 05/16/05
Employee Benefits & Executive Compensation
May 16, 2005

Richard L. Arenburg
Armin G. Brecher
Paul F. Concannon
Edmund Emerson III
Castles R. Hollis
Steven G. Schaffer

The federal agencies enforcing HIPAA's "portability" requirements have issues final regulations that will become effective for plan years beginning on or after July 1, 2005.



OIG Demonstrates Increased Willingness to Allow Physician Malpractice Insurance Subsidies - 01/12/05
Health Care
January 12, 2005

The Office of Inspector General of the U.S. Department of Health and Human Services (OIG) is the Federal agency that is charged with enforcing the Federal Medicare/Medicaid Anti-Kickback Statute, which makes it a criminal offense to knowingly and willingly offer, pay, solicit or receive any remuneration for referrals of items or services paid by Federal health care programs. In the past, OIG has expressed a deep distrust of arrangements in which hospitals or other entities subsidize malpractice insurance premiums for physicians. In the agency's view, physicians are potential referral sources and subsidies could be considered payments to influence referrals to hospitals. The OIG's first departure from this position was the creation of a safe harbor for obstetrical malpractice insurance subsidies on November 19, 1999. The safe harbor provision permits hospitals and other entities in rural or urban underserved areas to pay for some or all of the obstetrical malpractice insurance premiums for obstetrical practitioners, including physicians and certified nurse midwives. However, at the time, it was not clear that the agency would allow such subsidies in other areas.



Department of Health and Human Services Task Force Releases Report on Prescription Drug Importation - 12/23/04
December 23, 2004

Cynthia E. Berry

In this edition of the Advocacy & Government Relations Client Alert we discuss the final report (released on December 21) of the Department of Health and Human Services Task Force on Drug Importation. Reiterating that access to safe and affordable prescription drugs is an important policy goal, the Task Force concluded that drug importation would be costly to implement, provide little overall savings and, if not restricted to commercial importation from Canada, could be dangerous to consumers. The Task Force advised that all aspects of achieving safety, quality and cost-effectiveness must be comprehensively examined before imported drugs can be considered safe.



New Stark Rules Bring Major Changes - 08/26/08
Health Care
Sandra K. Herron

Sandra K. Herron

On August 19, 2008, the Centers for Medicare and Medicaid Services published the latest changes to the Stark Law. The Stark Law regulates the types of arrangements into which physicians may enter. Violations of the Stark Law bring hefty civil fines and penalties.



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