Lexology October 25, 2023
On Oct. 13, 2023, the U.S. Department of Health and Human Services Office of Inspector General (OIG) issued Advisory Opinion 23-07 approving a multispecialty physician practice’s proposal to pay bonuses to each of its employed physicians based on net profits derived from the facility fee generated by procedures the physician performed at the practice’s ambulatory surgery center (ASC).
The advisory opinion indicates that OIG views the bona fide employee protections under the federal Anti-Kickback Statute (AKS) very broadly, protecting compensation based on revenue streams that previously may have been deemed to fall outside the safe harbor’s protection.
OIG concluded that the proposed arrangement would not implicate the AKS because the arrangement met the bona fide employee statutory exception and regulatory...