The Office of the Inspector General (OIG) recently issued a favorable advisory opinion (Advisory Opinion) to an integrated health care system (System) regarding a proposed arrangement whereby the System would provide a free shuttle service between its various medical facility locations (Arrangement). The OIG concluded that, while the Arrangement has the potential to generate prohibited remuneration under the federal Anti-Kickback Statute (AKS) and the Civil Monetary Penalties Law (CMP), it would not impose administrative sanctions on the System because the Arrangement presents only a minimal risk of fraud and abuse. The Advisory Opinion is summarized below.
THE ARRANGEMENT
The System is a large, integrated health system located in a rural area. It consists of a medical center (Medical Center), a community hospital (Community Hospital A), and a physician clinic (collectively, the Requestors). It also includes a smaller community hospital (Community Hospital B) and an ambulatory surgical center (ASC). All physicians practicing at the Medical Center, Community Hospital A, and the ASC are employees of the System. However, Community Hospital B uses both physicians employed by the System and independent physicians (Independent Physicians) who are not compensated by the System.
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