The CMS issued an advisory opinion allowing a proposed arrangement in which a hospital system would license its custom software interface for use by its affiliated physicians. The systems name was removed from the public document and the CMS warned that the opinion has no application to, and cannot be relied upon by, any other individual or entity. Still, the opinion provides important guidance on the agencys current legal interpretation of a healthcare business arrangement. The system had asked the CMS if it was legal for affiliated physicians to use the systems customized healthcare information systemwhich had been installed by a third-party vendorto order or communicate the results of laboratory tests or procedures. The CMS says that this was allowed because it did not constitute a self-referral compensation agreement. It was noted that the interface cannot be altered for another purpose and the physicians could not sell or transfer their licenses.
CMS clears hospital plan to license IT to physicians
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