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Government launches major antifraud initiative.

Operation Restore Trust, a two-year intergovernmental demonstration project, was enacted in 1995 as an effort to curb Medicare/Medicaid fraud and abuse violations. This initiative targets five states with the most Medicare beneficiaries. If successful, Operation Restore Trust probably will be expanded to other states.

Centers for Medicare and Medicaid Services, U.S.↗

IRS offers guidance on physician practice valuation.

Many healthcare organizations are acquiring physician practices in response to competitive pressures. But little guidance has been available in regard to issues such as private inurement and payment for referral charges. The Internal Revenue Service, however, has recently issued detailed guidance concerning such issues.

Financial Audit↗

An issue-charged first year for AHA's Davidson.

Reclassification and reform were major issues in Richard Davidson's first year as president of the American Hospital Assn. Those issues, as well as a litany of other budget and legislative battles, promise to rank among his biggest challenges during his second year in office. He's cleared the first hurdle in the reform battle--finding a plan most AHA members can accept.

American Hospital Association↗

Medical practices: hot properties of the '90s.

The buying and selling of medical practices is big business around the country. Fueled by fears of where health reform is headed, frustrated by reduced reimbursements and mountainous paperwork, physicians are bailing out of solo practices, and small group practices are approaching large groups looking for safety in numbers. The large groups are aligning themselves with hospitals, and hospitals are luring large groups by offering to build them clinics. Clearly, this is a trend that will be heightened by anticipated structural reform of the health care system, but it is not without its dangers for all those who participate in the process.

Decision Making↗