January 1, 2002 Legislation 

CMS Delays 2002 OPPS

California Lawsuits to Define Managed Care Department Authority

JCAHO and Their Alerts

OSHA and Hospitals

CMS Delays 2002 OPPS

After taking on the chin for stating they would not pay the hospitals for their 2002 outpatient (Part B) work until April due to a computer problem, The CMS has backtracked.  They now state that the hospitals will be paid the 2001 rates until April 2002 when the computer upgrade will be finished.  At that time there will be an accounting of what was paid and what was owed.            Top

California Lawsuits to Define Managed Care Department Authority

The HMOs and IPAs have started to sue the Department of Managed Care in greater frequency.  This is to either set the parameters or the Department's authority or to harass the Department.  Kaiser tried and failed to sue the Department's head individually for trying to fine them for the systematic poor care rendered in their emergency room causing three deaths.  Now Blue Shield is suing to prevent the state's plan to utilize independent medical reviews for patient disputes. This suit is being prompted by the Department requesting an independent review of Blue Shield's disallowing the patient's coverage of Xenical for treatment of her morbid obesity.  The independent review conducted without Blue Shield's consent sided with the woman. 
The Department has proved to be a thorn in the managed care side by sanctioning plans and medical groups 48 times in the past 1 1/2 years of its existence.  The CMA is attempting to prevent the release of information on the financial stability or instability of the medical groups that contract with the HMOs and the physicians.  Many of the medical groups are functionally bankrupt.              Top

JCAHO and Their Alerts

JCAHO has suspended its earlier directive that hospitals bow and scrape to each of JCAHO's alerts.  The hospitals no longer have to start consideration of all alerts but only the short list that the voluntary organization deems necessary.  This allows the alerts to remain educational and not punitive.  Their latest one was the wrong site surgery.  This is a problem for those hospitals that do not use common sense and check the site with the patient preoperatively.            Top

OSHA and Hospitals

OSHA has a new directive to its inspectors.  Hospitals need to comply with the Bloodborne Pathogen Standard by having an exposure control manual, a log book and non-managerial employee participation in deciding safer safer devices.  The products and devices can be found at 
http://www.med.virginia.edu/epinet/safetydevice.html

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DISCLAIMER: Although this article is updated periodically, it reflects the author's point of view at the time of publication. Nothing in this article constitutes legal advice. Readers should consult with their own legal counsel before acting on any of the information presented.