Table 2 List of Financial Exceptions under the Stark Law

1

Owning stocks or bonds in a large, publicly traded company or mutual fund,

2

Owning or investing in certain rural providers or hospitals in Puerto Rico,

3

Reasonable rent for office space or equipment,

4

Amounts paid under fair and bona fide employment relationships,

5

Reasonable payments for personal services provided to the entity or for other

services unrelated to the provision of designated health services,

6

Compensation under a legitimate “physician incentive plan,” such as by

withholds, capitation, or bonuses in managed care,

7

Reasonable payments to induce a physician to relocate to the hospital’s

service area,

8

Isolated transactions, such as a one-time sale of property or a practice,

9

An arrangement that began before December 19, 1989, in which services are

provided by a physician group but are billed by the hospital, and

10

Reasonable payments by a physician for clinical laboratory services or for

other items or services