tci Medicare Compliance & Reimbursement - 2006 Issue 30

HOSPITALS: Respond To Surveys--Or Face $10,000 Per Day In Fines

Doctor-owned hospitals risk having to cough up $12 million in penalties.Medicare finally ended a moratorium on physician-owned single-specialty hospitals--but providers still shouldn't rush into any deals.The Centers for Medicare & Medicaid Services (CMS) will keep scrutinizing doctors' ownership of hospitals, CMS administrator Mark McClellan said at an Aug. 8 press conference. For the past 18 months, CMS has blocked new physician-owned specialty hospitals from opening. CMS just issued a report to Congress on whether doctor-owned specialty hospitals "skim" the most expensive patients from regular hospitals. So far, CMS hasn't found any serious issues caused by physician ownership...

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