HCFA issues final Stark I rules.

Abstract

While final rules clarify many "gray" areas of statutory interpretation under Stark I, some questions of interpretation under this law will remain largely unanswered until further Stark II regulations are issued. Thus, the health care industry is without definitive guidance on many issues. It must continue to make "best guesses" in interpreting the intent of the statute. However, bad guesses could mean imposition of severe penalties, including recoupment and substantial civil money penalties for making prohibited referrals. Moreover, the regulations confirm the Department of Health and Human Services' position that no advisory opinions are available. Because the final regulations were not issued until after the effective dates of the Stark Law, yet another round of restructuring may be required to effect regulatory compliance and avoid imposition of penalties. "Health Law" is a regular feature of Physician Executive from the Washington, D.C., law firm Epstein Becker & Green. Mark Lutes of that law firm serves as editor of the column.