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Notice: This CMS-approved document has been submitted - Philips ... Notice: This CMS-approved document has been submitted - Philips ...
CMS-1403-FC Comment: Several commenters questioned the appropriateness or the legality of imposing an anti-markup payment limitation on the TC supervised by, or the PC personally performed by, a physician in the same group practice as the ordering physician. Some commenters asserted that, because the anti-markup provision in section 1842(n) of the Act, with its relatively general language, came first, and the much more specific requirements of the physician self-referral law in section 1877 of the Act came later, the Congress has defined specifically what it means for physicians to “share a practice” for Medicare purposes and we should not interpret these provisions differently, particularly without providing a clear rationale for doing so. One commenter contended that the “share a practice” concept in section 1842(n) of the Act simply was the Congress’ short-hand version of what later became the lengthy definition of “group practice” in section 1877(h)(4) of the Act. Other commenters asserted that, through the anti-markup provisions, we are overlaying a new and inconsistent set of requirements for providing diagnostic testing, with respect to bona fide group practices meeting the physician self-referral law requirements. According to these commenters, we are doing so by relying on the “anti-mark-up” language of section 438
CMS-1403-FC 1842(n)(1) of the Act, even though that language pre-dates the physician self-referral law and explicitly exempts testing performed by physicians who “share a practice.” One commenter stated that our proposals, if adopted, would impose a new and untenable burden on physician practices that have already taken pains to comply with the complex and onerous strictures imposed by the physician self- referral law. Two commenters stated that developing policies under one law only to make them largely irrelevant under another law represents arbitrary government action. Response: Section 1877(h) of the Act expressly states that the definitions it sets forth apply only for purposes of section 1877 of the Act. There is no indication in either the text or the legislative history of section 1877(h) of the Act that the Congress intended the definition of “group practice” to correlate with the term “shares a practice” in section 1842(n)(1) of the Act. Also, we note that the definition of group practice in section 1877(h) of the Act is relatively narrow. That is, the definition of “group practice” in section 1877(h) of the Act refers only to “members” of a group practice, which could be construed to mean only physicians with an ownership or investment interest in the group. (Note also that the definition of “group practice” in section 1877(h) 439
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<strong>CMS</strong>-1403-FC<br />
Comment: Several commenters questioned the<br />
appropriateness or the legality of imposing an anti-markup<br />
payment limitation on the TC supervised by, or the PC<br />
personally performed by, a physician in the same group<br />
practice as the ordering physician. Some commenters<br />
asserted that, because the anti-markup provision in section<br />
1842(n) of the Act, with its relatively general language,<br />
came first, and the much more specific requirements of the<br />
physician self-referral law in section 1877 of the Act came<br />
later, the Congress <strong>has</strong> defined specifically what it means<br />
for physicians to “share a practice” for Medicare purposes<br />
and we should not interpret these provisions differently,<br />
particularly without providing a clear rationale for doing<br />
so. One commenter contended that the “share a practice”<br />
concept in section 1842(n) of the Act simply was the<br />
Congress’ short-hand version of what later became the<br />
lengthy definition of “group practice” in section<br />
1877(h)(4) of the Act. Other commenters asserted that,<br />
through the anti-markup provisions, we are overlaying a new<br />
and inconsistent set of requirements for providing<br />
diagnostic testing, with respect to bona fide group<br />
practices meeting the physician self-referral law<br />
requirements. According to these commenters, we are doing<br />
so by relying on the “anti-mark-up” language of section<br />
438