CMS asks for public comment on regulatory burden of Stark Law

CMS is requesting input in hopes of “reducing the regulatory burdens” of the Stark Law, which prohibits physicians from referring Medicare or Medicaid beneficiaries to entities from which the physician or an immediate family member would financially benefit.

CMS noted that more than 2,600 comments were submitted in the past year regarding the regulatory burden associated with the self-referral law.

“Removing unnecessary government obstacles to care coordination is a key priority for this Administration,” said HHS Deputy Secretary Eric Hargan. “We need to change the healthcare system so that it puts value and results at the forefront of care, and coordinated care plays a vital role in this transformation. Reviewing the Stark Law regulations is an important step forward to building a value-based system, which is one of Secretary [Alex] Azar’s priorities at HHS.”

CMS wants input from those involved in alternative payment models, requesting proposed revisions or additions to exceptions. Public comments will be accepted through Aug. 24.

The initiative has been a priority for CMS, which CMS Administrator Seema Verma, MPH, has criticized as an impediment in healthcare’s transition from volume to value.

"We've heard that that's a big barrier for providers when they're trying to do value-based payment arrangements," she said, in an interview with POLITICO earlier this year.

""
Nicholas Leider, Managing Editor

Nicholas joined TriMed in 2016 as the managing editor of the Chicago office. After receiving his master’s from Roosevelt University, he worked in various writing/editing roles for magazines ranging in topic from billiards to metallurgy. Currently on Chicago’s north side, Nicholas keeps busy by running, reading and talking to his two cats.

Around the web

The tirzepatide shortage that first began in 2022 has been resolved. Drug companies distributing compounded versions of the popular drug now have two to three more months to distribute their remaining supply.

The 24 members of the House Task Force on AI—12 reps from each party—have posted a 253-page report detailing their bipartisan vision for encouraging innovation while minimizing risks. 

Merck sent Hansoh Pharma, a Chinese biopharmaceutical company, an upfront payment of $112 million to license a new investigational GLP-1 receptor agonist. There could be many more payments to come if certain milestones are met.