Structuring Healthcare Practice Leasing, PSA and Other Practice Alignment Arrangements

Description

Many hospitals and health systems are pursuing practice affiliation and alignment strategies with physician practices as an alternative to traditional purchase and employment transactions. Some of the more popular of these arrangements are Leased Practice, Professional Service Agreements (PSAs) and Management Services Agreements (MSAs).

The ultimate structure of these practice alignment arrangements can have operational, financial, and legal implications. Common affiliation arrangements may include employee leases, equipment leases, acquisition of select assets, and various financial arrangements that may include wRVU based payments, performance incentives, administrative mark-ups and budgeted cost agreements among others. 

It is critical for hospitals, health systems, physician practices and their counsel need to understand the regulatory requirements, including Stark law, Anti-Kickback, antitrust  and HIPAA, and carefully evaluate key economic considerations, such as Medicare and Medicaid billing, when structuring these transactions.

Listen as our experienced panel of healthcare counsel examines structuring these practice arrangements. The panel will discuss the key legal and regulatory concerns impacting the the institution and ongoing administration of these agreements as well as fair market value issues.  The panel will also offer insight into these arrangements from the hospitals' and physicians' perspectives.