Government
Physician-owned hospitals scrutinized
NEWS IN BRIEF — Posted Aug. 13, 2007
The Dept. of Health and Human Services announced last month that it soon will require 500 hospitals to report any investment or compensation arrangements they have with physicians. HHS in September will send disclosure orders to the facilities, which include physician-owned specialty hospitals, as well as community facilities that compete with them.
The requirement stems from a congressional mandate that HHS implement a strategic plan to address issues related to physician investment in hospitals. Opponents of specialty hospitals say that doctor ownership of the facilities creates a dangerous conflict of interest when investors refer patients to their hospitals. The department chose 290 of the hospitals because they failed to respond to an earlier HHS survey on physician ownership and compensation.
Note: This item originally appeared at http://www.ama-assn.org/amednews/2007/08/13/gvbf0813.htm.
