NEWMARK KNIGHT FRANK

Stark Law: The 27-year-old act killing healthcare reform before it can begin?

Article Commentary Written by: Garth Hogan, Executive Managing Director of Global Healthcare Services, Newmark Knight Frank

As we see the Affordable Care Act (ACA) and continued implementation of reform, it’s no surprise that the existing Stark Laws are being challenged on Capitol Hill. A shift from “volume based” to “performance based” medicine has changed some of the usefulness of the original legislation directed at enforcement of not allowing self-referrals.

As a healthcare real estate specialist with over 2 decades of experience with Stark and transactions between physicians and hospitals, it’s interesting to see how the Stark challenges are also under examination as it relates to determining Fair Market Value (FMV). We may see modifications made to the real estate contract portion of Stark, but I will be surprised to see much movement away from the need to keep transactions at an arm’s length. It will be interesting to see how this plays out.


Stark Law: The 27-year-old act killing healthcare reform before it can begin?

Read Article Written by Ayla Ellison | Becker's Healthcare

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