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Québec’s Laboratory Consolidation Plan Aims to Save $13.5M

CEO SUMMARY: In the Province of Québec, an ambitious project is under-way to consolidate the clinical laboratory testing of 123 laboratories into 11 centralized lab clusters. It is one of the largest lab consolidation projects nowhappening in the world. Among the goals of this project is…

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CMS physician fee schedule: Will hospital labs be excluded again from PAMA price reporting?

CEO SUMMARY: Publication of the draft CMS Physician Fee Schedule on July 12 brought unwelcome news for the clinical lab industry, at least as it pertains to that perennial question: Should hospital lab outreach data be included in a PAMA market study? The federal Centers for Medicare and …

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Attorney Explains 70/30 Rule, Pass-Through Bill Arrangements

HOW THE LAB OUTREACH BUSINESSES of rural hospitals originate lab specimens and bill for lab tests is getting increased scrutiny. The reason for this rise in interest is that a growing number of rural hospitals are generating almost as much revenue from laboratory outreach testing as they get from all…

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Hospital Lab Outreach Still Effective Revenue Strategy

CEO SUMMARY: Despite the challenges hospital and health system laboratory outreach programs face today, there are many ways they can remain viable, according to an outreach expert from Mayo Medical Laboratories. By taking specific steps to increase volume and the value they provide, lab o…

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In Lawsuit Against HHS, ACLA Has Strong Positions

CEO SUMMARY: Rulings from Judge Amy Berman Jackson of the U.S. District Court in Washington, D.C., are expected soon in the ACLA’s lawsuit against HHS concerning the PAMA final rule that set the course for the new Medicare CLFS rates implemented in January 2018. One lawyer following the…

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June 18, 2018 Intelligence: Late Breaking Lab News

In New Jersey last week, David Nicoll, 44, the former owner of Biodiagnostic Laboratory Services (BLS) of Parsippany, N.J. was sentenced to 72 months in a federal prison. On the same day, his brother, Scott Nicoll, 37, who also worked at BLS, was sentenced to 43 months in prison. Bo…

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Big Insurers Seek Value-Based Deals with LabCorp, Quest

IT’S THE END OF AN ERA for the strategy of being the exclusive national lab provider for a major health insurer. Last week, the two largest clinical laboratory companies announced that the 10-year-old exclusive lab testing deals each had with a different big health insurer had crumbled. In 2007, …

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May 29, 2018 Intelligence: Late Breaking Lab News

Ireland is dealing with a cervical cancer screening scandal that reaches back to laboratories in the United States. In recent months, the Irish public has learned that more than 200 women wrongly got negative Pap test results over a multi-year period. Many of these women did not learn of the erroneo…

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May 7, 2018 Intelligence: Late Breaking Lab News

In Sebastopol, Calif., the financially-troubled Sonoma West Medical Center (SWMC) dropped a controversial drugs-of-abuse testing program. The following month, without the revenue from the drug testing program, 37-bed SWMC lost $1.4 million. In 2017, the hospital entered into a pass-t…

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Key Lab Trends Described At Executive War College

CEO SUMMARY: Innovative clinical labs and pathology groups are absorbing this year’s Medicare Part B price cuts while continuing to pursue opportunities to add value. A common theme from many speakers at last week’s Executive War College in New Orleans is that the lab must get mastery…

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