Re: Stark Law Off the topic
|From:||Vinnie Della Speranza |
Thanks Tom for sending this along. I, like Geoff, wanted to see the issue
in print but got more than I bargained for. started reading the law at lunch.
wow is that boring reading. anyone, I believe your explanation is dead on
simply the perception of price fixing could be problematic I suspect.
Vinnie Della Speranza
Manager for Anatomic Pathology Services
University of South Carolina
165 Ashley Avenue Suite 309
<TOMANDBOB@aol.com> 11/14/02 01:35PM >>>Dear
Histonetters: There has been a lot of talk about the Stark Law but no one
seems to know what exactly it is.
Enclosed is a website for those who want to
know if the Stark Law applies to them, researchers and clinics.
sum up, it was enacted in 1989, amended in 1993, 2002. It applies to 10
designated health services areas including the clinical lab services as well as
to physicians, hospitals and other health care providers and
It is not a criminal law. Its basic prohibitions are
that physicians cannot make a referral to an entity for the furnishing of
"designated health services" which may be payable by Medicare or Medicaid if the
physician has a financial relationship with the entity.
This is maybe why lab
people are not allowed to get prices from other labs as it may appear that the
hospital is attempting to "fix" prices at a rate which does not reflect a fair
market value for the testing or service at the asking hospital. The law
also states there is no need to prove intent to violate the law or to do
something wrong. Penalties may be imposed if violations are found.
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