decisionhealth Newsletters, Answer Books - 2009 Issue 3 (March)
Anti-Kickback Advisory Opinion Summaries / 1998 OIG Advisory Opinions / Opinion 98-11 - Group Purchasing Deals Permissible
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Article Overview
This summary reviews a 1998 OIG advisory opinion concerning a proposed purchasing arrangement for nursing homes that used a trade association and an electrical utility consultant to obtain discounted electricity. It explains the general structure of the arrangement, the OIG’s assessment of fraud-and-abuse risk, and the safe harbor considerations discussed in the opinion. The article is relevant to healthcare compliance professionals, billing and reimbursement staff, and administrators who monitor anti-kickback issues in group purchasing and vendor relationships.
Why This Topic Matters
Advisory opinions like this help healthcare organizations understand how the OIG may view collaborative purchasing structures and related fee arrangements under fraud-and-abuse rules.
What You Will Learn
- How a proposed group purchasing arrangement was structured
- What aspects of the arrangement were evaluated under anti-kickback concerns
- How the OIG discussed safe harbor considerations for the arrangement
- Why the opinion may be relevant to healthcare compliance and contracting
- What types of parties and payment relationships were involved
Who Should Read This
- Healthcare compliance professionals
- Billing and reimbursement staff
- Nursing home administrators
- Contracting and vendor management teams
- Healthcare attorneys
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