Ober, Kaler, Grimes & Shriver, A Professional Corporation  
Ober|Kaler Health Law Alert - Summer/Fall 1997




In this Issue

From the Chair

Welcome

Ober|Kaler in Print

Health Care Reform
Balanced Budget Act of 1997: More Health Care Fraud and Abuse Measures

Phasing In Prospective Payment for HHAs

Medicare Losses Potentially Eliminated

OIG Activity
First Advisory Opinion Issued

OIG Issues Second Advisory Opinion

OIG's Third Advisory Opinion

AHA Requests Federal Investigation Moratorium

Long Term Care
Administrative Agency Has Original Jurisdiction of CON Rights in Maryland

Social Security Checks: Direct Deposit

Maryland Nurse Practice Act
Maryland Nursing Board Revising IV Therapy Management Regs

HCFA Developments
Medicare Reimbursement News

HCFA Issues New Rule on Effective Date of Provider Agreements

Employment Issues
Employers' Guide To Health Care Reform Compliance

Maryland Employees - New Hire Registry

Health Care Employees Background Checks

Recent Cases
Favorable Ruling In Device Litigation

State Medicaid Contract Enjoined

Maryland Peer Review Privilege Protected

Specific Instances of Fraud Do Not Prove Scheme To Defraud

QA Committee Records Protected From Disclosure

4th Circuit Affirms Illegality of Search of Home Health Care Provider

Tax Issues
Final IRS Guidance on Physician Recruitment

Charitable Assets Seizures in Not-for-Profit Conversions

Antitrust
DOJ Defines Unique Product Market in Effort To Block N.Y. Hospital Merger

Litigation
Keeping Secrets Secret: The Attorney-Client Privilege in Health Care Fraud and Abuse Litigation

Information Systems
Forestalling The Year 2000 Problem

Data Mining and Health Care

 

From the Chair

Sandy Teplitzky, Ober|Kaler Health Law Group ChairJust when you thought it was safe to come out into the open, Congress is at it again. On August 5, 1997, the President signed the Balanced Budget Act of 1997, which, as we have come to expect, includes a series of provisions designed to strengthen the government's hand when it comes to identifying, investigating, and prosecuting fraudulent and abusive activities. In addition, the Act includes a number of far-reaching provisions designed to address reimbursement for health care services. We discuss the Act in detail from various perspectives in this issue of the Health Law Alert.

We are pleased to report a number of our recent successes with respect to litigation of health care issues, several of which are highlighted in this issue. First, the Court of Appeals in the Ninth Circuit took action supportive of our challenge to the Medicare Manual provision which bans coverage for hospital services involving investigational devices. In a separate case, the Court of Appeals in the Fourth Circuit affirmed our position that the government's search of our home health client's premises was illegal. Consequently, the court required that all records seized during the search be returned to our client.

This issue of the Health Law Alert includes a series of articles which are intended to provide insight and helpful guidance to our readers. First, we report on a number of developments which result from the Health Insurance Portability and Accountability Act of 1996, including the first three advisory opinions issued by the OIG. Other articles address significant employment, tax, and antitrust issues. Further, we address the legal issues which relate to health care information systems. Finally, we present a review of the critical issues surrounding the extent, and limitation, of the attorney/client privilege in health care fraud and abuse litigation.

In our continuing efforts to expand our client services, we welcome Marc Cohen, Kay Scanlan, and Bill Mathias to our Health Law Department. These individuals bring valuable and varied backgrounds and perspectives to the issues of concern to our clients.

Based upon favorable comments we received regarding our last issue of the Health Law Alert, we have continued and improved upon our new format which first appeared in the winter/spring edition. We truly value your comments and suggestions in our effort to not only report on new developments, but to do so in a manner which maximizes the value and guidance which we bring to you. Keep those cards, letters, and phone calls coming.

Sandy Teplitzky, Department Chair

Copyright© 1997, Ober, Kaler, Grimes & Shriver