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Communicate to ensure Stark compliance with recruitment

Recruiting a new physician isn’t as simple as posting a help wanted ad. In addition to attracting and finding a physician who will fit in at your practice, you must consider a host of compliance regulations and avoid legal snafus. Recruitment arrangements often bump up against the Stark law, which prohibits referrals for designated health services to an entity in which the physician or the physician’s family member has a financial relationship. "Plus, federal and state anti-kickback laws and the regulations governing billing and claims submission must also be satisfied," says Regina Rockefeller, JD, partner at Nixon Peabody, LLP. If any of the involved entities are tax-exempt, other regulations may apply as well.