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Baylor University Lab Serves ED Needs With STAT Lab

CEO SUMMARY: Throughout the United States, hospital laboratories are working to meet ever-increasing lab testing demands by emergency department physicians. In response, many labs debate the benefits of a point-of-care testing (POCT) solution versus operating a rapid response lab in or ne…

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Review of 2004 Lab Sales Identifies Buyer Interest

CEO SUMMARY: Laboratory acquisition activity was surprisingly high during 2004. One reason is that new buyers appeared in the marketplace. However, all buyers have specific acquisition criteria. When a selling lab meets that criteria, it can expect multiple bidders and a strong purchase p…

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Barristers Offer Insights Into OIG Opinion 04-17

CEO SUMMARY: This is an intelligence briefing which tries to “read between the lines” and: 1) provide useful information about the OIG’s “undeclared” views on physician self-referral issues, particularly as they relate to anatomic pathology condominiums; and, 2) how specialist p…

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Bi-Annual Look at Trends Reshaping Clinical Labs

CEO SUMMARY: Among other things, we declare the end to the heyday of the independent commercial lab company which offers a broad test menu to all types of office-based physicians. In its place springs forth the specialty or niche testing laboratory. Small and focused on a specific number …

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OIG Releases Opinion On AP Lab Condominiums

CEO SUMMARY: In responding to a request for an advisory opinion, the Office of the Inspector General (OIG) issued an advisory opinion which declares that anatomic pathology (AP) lab condominiums “could potentially generate prohibited remuneration under the anti-kickback statute.” It a…

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Analysis of OIG’s Opinion Shows Compliance Shift

CEO SUMMARY: Attorney Richard Cooper believes the latest Advisory Opinion by the Office of the Inspector General (OIG) is consistent with its earlier anti-kickback law pronouncements about situations where a physician is in a position to profit from the patients he/she refers. Cooper also…

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More Lab Consolidation: LabCorp Buys US LABS

CEO SUMMARY: Following three years of rapid growth in specimen volume and revenues, US LABS has accepted a purchase offer from Laboratory Corporation of America. Both US LABS’ fast growth and its sale to a national lab demonstrate that there is still opportunity in laboratory testing—…

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Roche/Affymetrix Microarray Cleared for Clinical Use by FDA

MOLECULAR DIAGNOSTICS took a big step forward in December. During the month, the Food and Drug Administration (FDA) cleared the first microarray instrument system and microarray-based laboratory test for clinical use. The FDA announced on December 23, 2004 that it had cleared the Ge…

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Florida Medicaid Contract Is On-Again, Off-Again

CEO SUMMARY: Start with a flawed idea: Medicaid lab testing costs in Florida can be cut by awarding an exclusive statewide contract to one laboratory company. Compound that bad idea by designing a contract awards process that guarantees the state will pay twice for a number of tests while…

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“January 3, 2005 Intelligence: Late Breaking Lab News”

More evidence of the move to an all computer economy has surfaced. During 2003, consumer use of credit cards, debit cards, and other electronic payment methods eclipsed paper checks for the first time. The study was done by the Federal Reserve Bank of Atlanta. It reports that 36.7 bi…

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