CMS finalizes Stark Law update 

CMS released its finalized 2023 Physician Fee Schedule on Nov. 1, including a Stark Law update for rural emergency hospitals, according to a report from law firm Holland & Knight.

Here's what you need to know:

Stark Law prohibits physicians from making referrals for certain health services to an entity they have a relationship with, such as a family member. 

CMS updated its Stark Law exceptions to make them applicable to compensation arrangements for rural emergency hospital providers, but it did not finalize its proposed exception for parties with ownership interests in rural emergency hospitals. 

The new guidance ensures that Stark Law's rural provider exception remains available to providers deemed rural emergency hospitals. 


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