On May 26, the American Medical Association (AMA) submitted a letter to Donald Clark–the Federal Trade Commission (FTC) Secretary–in response to the proposed FTC and Department of Justice (DOJ) Statement of Antitrust Enforcement Policy regarding accountable care organizations (ACOs). The AMA opened its letter by urging the FTC to consider its comments insofar as “the ACO requirements and antitrust clearance process could have a significant and negative impact on the ability of physicians, hospitals, and other eligible ACO entities to successfully form and participate in the ACO models.” Moreover, the AMA emphasized the need to protect physician-led ACOs as the current regulations will have the “unintended consequence” of promoting hospital consolidation of physician markets through the acquisition of physician practices. According to the AMA, such a trend towards practice acquisition would thereby exert pressure on physicians to become employed or sell their practices to a hospital in order to participate in ACOs under the Shared Savings Program.
The AMA has stated it will submit its comments to the Centers for Medicare and Medicaid Services (CMS) on the ACO proposed rule on June 6. Please visit THE HEALTH LAW ATTORNEY BLOG for updates on the AMA’s comments as well as other developments regarding ACOs.
For more information on ACO formation or ACO regulations, please contact Carey F. Kalmowitz, Esq. or Esq. at (248) 996-8510 or (212) 734-0128 or visit the HLP website.