In a March 19 letter to CMS and HHS-OIG, Senators Chuck Grassley (R-IA) and Ron Wyden (D-OR) continued their oversight efforts regarding physician-owned distributorship (POD) relationships by raising questions about US Sunshine compliance by PODs. PODs involve the ownership of medical device distributorships by surgeons who use or recommend those products in their surgical procedures. The senators are critical of CMS and OIG efforts to expose and deter POD arrangements, citing long-held concerns that POD arrangements are, as the OIG has suggested in a prior Fraud Bulletin, "inherently suspect” and abusive arrangements that promote medically unnecessary services. The March letter raises an often debated question regarding POD compliance with Physician Sunshine Rules and whether CMS or the OIG have taken sufficient steps to assure transparency compliance with these particular arrangements.
The cool winds of March blew red-hot for the Health Law Scan beginning with a new Senate inquiry into tax-exempt hospitals and ending with an announcement by the US Department of Justice that the Affordable Care Act should be invalidated. In between, we filled out this month’s March Madness bracket with a rundown of important provisions from the proposed interoperability rule, how divided government impacts the healthcare industry, a recap from a very interesting Fast Break on radioactive materials in hospitals, insights for FCA practitioners from the Justice Department, and much more.