4 Key Legal and Legislative Issues Facing ASCs

At the 10th Annual Orthopedic, Spine and Pain Management-Driven ASC Conference in Chicago on June 15, Bobby Hillert, executive director of the Texas Ambulatory Surgery Center Society, and Stephanie A. Kennan, senior vice president of government relations at McGuireWoods Consulting, discussed key legal and legislative issues facing ambulatory surgery centers. The panel was moderated by Scott Becker, partner at McGuireWoods.

Physician-owned hospitals

A critical legislative issue that has been at the center of debate is Section 6001 of the Patient Protection and Affordable Care Act, which prohibits physician-owned hospitals from expanding existing facilities or building new hospitals. The U.S. Court of Appeals for the Fifth Circuit Judge Jerry Edwin Smith issued an ultimatum to determine whether the healthcare reform's restriction on physician-owned hospitals may be repealed.

Ruling on the healthcare reform law
A question that has been pressing on the healthcare industry's mind:  What happens if the Supreme Court overrules the healthcare reform law? Ms. Kennan said the impact will obviously depend on how the court rules, but "there is no planning going on at the White House for Plan B." Meanwhile, the House GOP has been meeting to prepare for a ruling.

In addition, even if the Supreme Court overrules the individual mandate provision alone, several payors have already announced they'll continue coverage based on the provision. "There's going to be a period after the ruling where things need to shake out, but a lot of it will stand on its own, such as the quality provisions and taxes," Ms. Kennan said. "Nevertheless, the administration seems to keep going full steam ahead. Nothing is slowing down."

Other legislative issues

Medical malpractice/tort reform and federal quality programs continue to be topics of debate in the healthcare industry. Ms. Kennan and Mr. Hillert said ASCs can affect change by focusing on crafting a message, aggregating data to support the message and leveraging the right contacts at Capitol Hill.

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