CMS Administrator Seema Verma gave her first update on major changes to the Stark Law, which is currently being overhauled to reflect the shift from fee-for-service to value-based care.

“Some changes include clarifying regulatory definition of volume or value, commercial reasonableness and fair-market value,” Verma said. Revised regulations will likely be released before the end of 2019. The overhaul comes after more than 300 comments were submitted addressing needed changes to the law, first enacted in and largely unchanged since 1989.

“It is our hope that these changes will help spur better care coordination and help support our work to remove barriers to innovation,” Seema said.

The changes include a revision that will prevent providers from being punished for referring patients to hospitals or labs they have financial partnerships with. The effect of that change will allow more providers to participate in value-based arrangements.

“It is our hope that these changes will help spur better care coordination and help support our work to remove barriers to innovation,” Seema said.

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