The third annual Physician Payments Sunshine Act (“Sunshine Act”) reporting deadline has come and gone.
If you are an applicable manufacturer and this law is news to you, you might be getting fined. The most recent reporting deadline was March 31st, 2016. Previous reporting cycles included 2013 (partial report out) and 2014. Failure to report can result in Civil Monetary Penalties (“CMPs”) assessed by the Centers for Medicare and Medicaid Services (“CMS”) and bad publicity.
Presumptively, when CMS fines the first manufacturer or group purchasing organizations (“GPOs”) for a reporting failure, it will be publicized in order to compel industry compliance with the 3-year old regulation. Companies that failed to report previously may still be able to report in arears, although, there are no guarantees that CMS will not fine organizations for such failures. Are you at risk? This short article discusses the current reporting cycle, which companies are at risk for fines, and how companies can mitigate exposure to the Sunshine Act.
In order to avoid exposure and fines, manufacturers should develop policies and procedures that address the requirements of the law, train employees, and audit themselves for compliance before CMS does. Companies that are behind in their reporting should take action and report, even if that means reporting in arears.
To read the article by Mark Gardner