Among the provisions contained in CMS’ proposed Physician Fee Schedule revisions for 2020, which appeared in today’s Federal Register, were proposed changes to the Open Payments program (sometimes called the Physician Payment Sunshine Law). See 84 Fed. Reg. 40482, 40713-16 (Aug. 14, 2019). Some of the proposals implement an expansion of the Open Payments program enacted in October 2018 as part of the Substance Use-Disorder Prevention that Promotes Opioid Recovery and Treatment for Patients and Communities Act (SUPPORT Act), which we reported on here. CMS proposes additional changes as well. Here are the highlights:
- New covered recipients: To implement the SUPPORT Act amendments, CMS proposes to add to the current covered recipients (physicians and teaching hospitals) the following new covered recipients (with a definition for each): physician assistants, nurse practitioners, clinical nurse specialists, certified registered nurse anesthetists, and certified nurse midwives.
- New “nature of payment” categories: Three new types of payment categories are proposed to be added: (1) debt forgiveness; (2) long-term loans of covered devices or medical supplies (as distinct from the current category of short-term loans of 90 days or less); and (3) acquisitions, comprising buyout payments to covered recipients in an acquisition of a company in which a covered recipient has an ownership interest.
- DIs for devices: Currently, applicable manufacturers are not required to report device identifiers (DIs) or other numerical identifiers of specific devices to which a payment or other transfer of value relates. CMS now proposes that the DI of a device, if any, must be reported. See 21 C.F.R. § 801.20 et seq. (FDA requirements for unique device identifiers).
- Consolidation of continuing education program nature of payment categories: There are currently two nature of payment categories for direct compensation for serving as faculty or speaker – one for accredited/certified medical education programs and another for unaccredited/noncertified programs. These would be consolidated into one category for medical education programs generally.
The new requirements would go into effect for payments and other transfers of value made in CY 2021, which will be reported in March 2022. Comments on the proposed changes will be accepted until September 27, 2019.