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Chief AI Officers in Healthcare: Strategy, Tactics and Evangelism

Summary of article from HealthTech Magazine, by Nathan Eddy:

The rise of artificial intelligence (AI) in healthcare has led to organizations considering hiring a Chief AI Officer (CAIO) to spearhead their AI strategies. The role of a CAIO involves accelerating AI adoption while ensuring safety and innovation, managing investments, and addressing ethical and governance issues. They also need to understand the integration of AI with existing technologies like electronic health records. The role has evolved to include more attention to governance and risk management, especially in medical tech companies. CAIOs provide strategic advantage by guiding AI initiatives, ensuring alignment with strategic objectives, and fostering a culture of exploration and experimentation.

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Health Law Highlights

AI, Health Care, and the Realities of Being Human

Summary of article from Undark, by Arjun V.K. Sharma:

The “doorknob phenomenon” in medicine refers to patients revealing their most pressing concerns just as the doctor is about to leave. This article explores the tension between this deeply human aspect of healthcare and the rise of artificial intelligence (AI) in the medical field. While AI promises efficiency and precision, it may risk depersonalizing healthcare and overlook broader social determinants of health. The author emphasizes that despite the potential advantages of AI, the uniquely human connections between doctor and patient are irreplaceable. The future of healthcare should balance technological advancements with maintaining human empathy and understanding.

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Health Law Highlights

Healthcare Ransomware Attacks Lead to Uptick in ED Visits at Nearby Hospitals

Summary of article from Health IT Security, by Jill McKeon:

A research letter in JAMA has revealed that ransomware attacks on hospitals not only disrupt the targeted facilities but also impact neighboring hospitals. The study, which analyzed emergency department (ED) visits and patient discharge data from 2014 to 2020, found a temporary decrease in ED visits and inpatient admissions at attacked hospitals and a temporary increase in ED visits at unaffected nearby hospitals. However, there were no significant changes in inpatient admissions at nearby hospitals. The research identified eight ransomware attacks that disrupted 15 hospitals, with ED visits and inpatient admissions decreasing by up to 16.62% in the second week after the attack. These findings underscore the broader implications of ransomware attacks on healthcare facilities and the importance of cybersecurity in patient care and safety.

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Health Law Highlights

Why Physicians Are Ditching Their 9-5

Summary of article from D Magazine, by Will Maddox:

A recent survey by AMN Healthcare reveals that nearly half of physicians and advanced practice providers find locum tenens work more satisfying than full-time roles, citing improved schedules and burnout avoidance as key reasons. Locum tenens, a form of temporary healthcare staffing, has witnessed significant growth, with the number of physicians in these roles doubling since 2002. The survey found that 47% of respondents preferred locum tenens to permanent positions, but 45% would opt for a permanent role under the right conditions. Younger physicians seeking flexibility are increasingly moving towards locum tenens, with 81% starting in these roles right after graduation or mid-career. The roles are also diversifying, with a notable increase in Nurse Practitioners and Physician Assistants filling locum tenens positions.

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Health Law Highlights

Accelerated Approval Process Is Not Without Risk: Placing Recent FDA Action in Context

Summary of article from Troutman Pepper, by Kyle Dolinsky, Judith O’Grady:

The FDA withdrew approval for Pepaxto, a multiple myeloma drug, after post-marketing studies failed to confirm its clinical benefit. The drug had been granted accelerated approval, a pathway for drugs treating serious illnesses that offer therapeutic benefits over existing treatments. However, post-marketing studies are required to verify the drug’s benefit, and failure to do so can result in withdrawal of approval. This was the first time the FDA implemented formalized withdrawal procedures under the Food and Drug Omnibus Report Act of 2022. Despite the withdrawal, the risk of litigation concerning accelerated approval drugs remains unchanged.

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Using A Value-Based Enterprise to Integrate Specialists and Primary Care: Taking Value-Based Care to the Next Level

Summary of article from Nelson Mullins Riley & Scarborough LLP, by Mike Segal, Edward White:

Within the value-based healthcare model, the majority of medical expenses come from specialist sectors operating under traditional fee-for-service payment models. A potential solution to this challenge could be the implementation of a Value-Based Enterprise (VBE) that promotes mutually beneficial contractual relationships between primary care providers and specialists in a low-risk regulatory environment. Thanks to new regulations under the Stark Law and Anti-Kickback Statute, a VBE can act as an “Innovation Center,” allowing healthcare professionals to develop their own initiatives aimed at providing high quality, cost-efficient care. It is proposed that Primary Care Provider (PCP) Risk Arrangements embrace patient attribution, apply for capitation payment arrangements, contract with high-quality specialists, and pay these specialists under a value-based framework. This system can help control total care costs and improve patient outcomes.

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Health Law Highlights

Concurrent Call Coverage: Key Considerations for a Compliant Structure

Summary of article from VMG Health, by Holden Godat, CVA, Taylor Harville, Trent Fritzsche:

Concurrent call coverage, where a physician provides on-call services to multiple locations or specialties simultaneously, is increasingly being adopted due to a significant shortage of physicians and the growing demand for healthcare services. This approach aims to distribute work evenly and assure sufficient patient care. However, it brings about challenges in setting fair market value physician compensation, which needs to consider factors such as the burden of call, required specialty, physician availability, and sources of compensation. Each of these factors requires careful consideration to avoid overpayment and ensure regulatory compliance. Given the complexity and increased regulatory scrutiny, it is recommended to obtain third-party fair market value guidance for structuring compliant concurrent call coverage arrangements.

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Health Law Highlights

D.C. Circuit Holds 340B Program Does Not Prohibit Drug Manufacturers from Imposing Contract Pharmacy Restrictions

Summary of article from Foley Hoag LLP, by Patrick Brennan, Andrew London, Ross Margulies, Kian Azimpoor:

On May 21, 2024, the U.S. Court of Appeals for the District of Columbia Circuit affirmed a lower court’s decision in United Therapeutics Corporation v. Carole Johnson and Novartis Pharmaceuticals v. Carole Johnson, rejecting the government’s position that the 340B statute prohibits drug manufacturers from imposing contractual conditions on drug distribution. The court upheld that the manufacturers’ conditions imposed on contract pharmacies did not violate the 340B statute, but noted that some restrictions might. This follows a similar decision by the Third Circuit in Sanofi Aventis U.S. LLC v. HHS. There is still an ongoing case in the Seventh Circuit that could influence whether the case goes to the Supreme Court or if the Health Resources and Services Administration (HRSA) reconsiders its contract pharmacy policy. This decision is a significant win for drug manufacturers, but its immediate impact on the Section 340B program remains uncertain pending other appellate court rulings and potential Supreme Court review.

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How State-Level Psychedelic Medicine Legislation Raises Equity Concerns

Summary of article from Healthcare Brew, by Maia Anderson:

The FDA is likely to decide on the approval of an MDMA-based psychedelic medicine this year, with multiple states considering legalization for therapeutic use. However, there is concern about equitable access to these treatments. Psilocybin, MDMA, and a form of LSD have been granted breakthrough therapy status by the FDA, allowing for clinical trials for potential therapeutic uses. States are taking varied approaches to legislation, with some legalizing or decriminalizing psychedelics and others allowing research. There are concerns about the high cost of these therapies and their accessibility, particularly for people of color, with initiatives ongoing to educate clinicians and develop non-hallucinogenic variants to increase accessibility.

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Louisiana Lawmakers Pass Bill Making Abortion Pills Controlled Dangerous Substances

Summary of article from AP News, by Sara Cline:

Louisiana is set to reclassify abortion-inducing drugs, mifepristone and misoprostol, as controlled and dangerous substances under a new bill that has received final legislative approval. Supporters of the bill argue it will protect women from coerced abortions, while critics, including numerous doctors, fear it will hamper their ability to prescribe these medicines for other reproductive health needs. The bill would place these drugs on the list of Schedule IV drugs under the state’s Uniform Controlled Dangerous Substances Law, requiring doctors to have a specific license to prescribe them and the drugs to be stored in certain facilities. Critics warn this could create barriers to treatment and cause unnecessary fear and confusion. The bill now awaits the signature of the conservative Republican Governor Jeff Landry, who has indicated his support.