The new federal budget could prove costly for accused providers.
Daily fines levied against operators charged with regulatory violations can now double to more than $20,000. The largely overlooked surge is expected to hit operators with a large Medicaid census especially hard.
“Any time I see a 100% increase in an upper level of [civil monetary penalties], the ability to impose that and the impact that can have on a provider who is caring for primarily a Medicaid population, that’s a devastating thought,” said Lyn Bentley, senior director of regulatory services for the American Health Care Association.
One possible safety valve: The HHS secretary can mandate a less steep increase should adverse outcomes appear likely.
False Claims Act fines could also increase by 40%, under an inflation adjuster in the new law. As a result, related civil monetary penalties can now top $15,000 a day. Such fines could pile up quickly, as they frequently involve hundreds of allegedly bogus claims. Moreover, the law lets the government pursue triple the amount of money lost.
From the December 01, 2015 Issue of McKnight's Long-Term Care News