tci Medicare Compliance & Reimbursement - 2004 Issue 16
DME: Beware Of Shared Employees Under Stark II
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Article Overview
This piece reviews a Stark II update with a focus on durable medical equipment suppliers and physician relationships. It discusses how the interim final rule and related CMS guidance may affect common DME business arrangements, supply closet setups, in-office ancillary services, physician-furnished equipment, and the treatment of certain services and items under Stark. The article is aimed at DME suppliers, physicians, compliance staff, and coding or reimbursement professionals who need a broad understanding of the regulatory issues covered in the rulemaking and commentary.
Why This Topic Matters
Stark-related changes can affect how DME suppliers and physicians structure relationships, share employees, and report services tied to Medicare. Understanding the scope of the article helps readers identify compliance-sensitive arrangements and determine whether the discussed guidance is relevant to their operations.
Article Sections
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Stark II enforcement and DME business practices
Introduces the article’s focus on federal enforcement activity and how it may affect durable medical equipment suppliers and physician referral relationships.
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Shared employees and supply closet arrangements
Discusses a physician-office supply closet scenario involving shared personnel and the compliance concerns raised by the arrangement.
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In-office ancillary services exception
Summarizes CMS guidance on the in-office ancillary services exception and the types of items addressed in the discussion.
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Codes
Notes CMS commentary on identifying items considered durable medical equipment, supplier reference sources, and the role of coding in Stark-related review.
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Drugs
Mentions future rulemaking concerns related to prescription drug definitions in the Stark context.
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Physicians furnishing DME
Covers CMS clarification regarding physicians directly furnishing equipment they prescribe and related supplier-number considerations.
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Pulse oximetry
Addresses the article’s discussion of a specific service and its status under Stark.
What You Will Learn
- How Stark II enforcement may affect DME supplier relationships with physicians
- Which general DME business arrangements are being scrutinized
- What CMS says about in-office ancillary service exceptions in this context
- How the article frames physician-furnished equipment and supplier registration issues
- Which broad service categories are discussed as changing status under Stark
Who Should Read This
- Durable medical equipment suppliers
- Physicians and medical practices
- Compliance officers
- Healthcare reimbursement professionals
- Medical coding professionals
Codes Discussed
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