Health Care Law Blog
The U.S. Department of Health and Human Services (“HHS”) recently issued two highly-anticipated final rules (collectively, the “Final Rule”) to modernize and clarify the regulations that interpret the Physician Self-Referral Statute (“Stark”) and the Anti-Kickback Statute (“AKS”). According to HHS, the Final Rule was intended to provide greater flexibility for healthcare providers to participate in value-based arrangements, ease unnecessary compliance burdens, and maintain safeguards to protect patients and Federal healthcare programs from fraud and abuse. The Final Rule will become effective on January 19, 2021.
As if COVID-19 wasn’t enough of a challenge for many struggling hospitals and health care systems, there is another growing threat they must guard against: cyberattacks.
On October 28, 2020, the FBI, Department of Health and Human Services, and Cybersecurity and Infrastructure Security Agency issued a report warning of "an increased and imminent cybercrime threat" to U.S. hospitals and health care providers.
On October 2, 2020, the Michigan Supreme Court ruled that the law upon which Governor Gretchen Whitmer relied to extend the State of Emergency after April 30, 2020 is unconstitutional. The Supreme Court's ruling, which we discuss here, invalidates the Governor's Executive Orders issued during the extended State of Emergency. Executive Order 2020-128, issued on June 18, 2020, established a rebuttable presumption that a "COVID-19 Response Employee" (a term which was not well-defined within the Executive Order) has sustained a compensable injury when he or she is diagnosed with COVID-19. Executive Order 2020-128 contained language quite similar to the March 30, 2020 Emergency Rule issued by the Department of Labor and Economic Opportunity ("LEO").
On October 6, 2020, the Michigan Department of Health and Human Services ("MDHHS") issued an emergency order (the "MDHHS Order") that retains many of the same requirements that apply to residential care facilities under the previously issued executive orders. As noted in a prior blog post, the Michigan Supreme Court recently held that Governor Whitmer did not have authority after April 30, 2020 to issue or renew any executive orders related to the COVID-19 pandemic. Most of the same requirements will continue to apply to residential care facilities under the MDHHS Order. The MDHHS Order became effective immediately, and will remain in effect through October 30, 2020 (and may be renewed through a subsequent order).
On July 23, 2020, Governor Whitmer issued Executive Order 2020-156, which extends the current restrictions limiting the visitors allowed at health care facilities, residential care facilities, congregate care facilities, and juvenile justice facilities. Executive Order 2020-136 and its predecessors initially imposed these restrictions on visitors permitted to such facilities. Executive Order 2020-156 extends the restrictions through August 31, 2020.
In response to the improvements in hospitals’ and health care professionals’ capacity to care for COVID-19 patients, Governor Whitmer has rescinded Executive Order 2020-61, which temporarily suspended the scope of practice, supervision, and delegation restrictions for many health care providers during the initial surge of cases in March.
Through Executive Order 2020-136, Governor Whitmer has extended the duration of restrictions on the entry of visitors into health care facilities and residential care facilities. These restrictions were originally imposed through Executive Order 2020-72 and extended through Executive Order 2020-108. Executive Order 2020-136 now extends the restrictions through July 24, 2020.
There have been nearly 70,000 confirmed or probable COVID-19 cases in Michigan. This figure includes over 6,150 deaths. While other areas of the country are experiencing significant increases in confirmed COVID-19 cases, Michigan appears to have flattened the curve for the time being. We are currently averaging around 250 new cases per day.
On May 20, 2020, Governor Gretchen Whitmer issued Executive Order 2020-95, which updates precautionary and notification requirements for long-term care facilities to protect residents and employees from the spread of COVID-19. Executive Order 2020-95 rescinds Executive Order 2020-84, which provided initial protections for long-term care residents. “Long-term care facility” includes a nursing home, home for the aged, adult foster care facility, or assisted living facility.
The Provider Relief Fund was established through the Coronavirus Aid, Relief and Economic Security (CARES Act) to support health care providers facing lost revenue and increased expenses relating to COVID-19. Within the Provider Relief Fund, certain amounts are allocated for various types of providers. For example, there are specific allocations to hospitals, rural hospitals, and providers treating uninsured patients for COVID-19. Additionally, $50 billion was allocated for general distribution to providers. Of the $50 billion, the first $30 billion was quickly disbursed to facilities and providers who received Medicare fee-for-service reimbursements in 2019. The remaining $20 billion of the general distribution was distributed beginning on April 24, 2020.
