Welcome to your daily briefing on healthcare developments in Hawaii. Today we're covering 5 key stories including updates on hawaii healthcare headlines, background & context. Let's dive in.
2 stories
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A vendor is a business associate if they create, receive, maintain, or transmit PHI on behalf of the covered entity. They are NOT a business associate just because they happen to be in a building with PHI or could conceivably access it. The functional test matters, not the proximity test.
Forcing BAA execution on vendors who do not meet the functional test creates contractual bloat and weakens the negotiating position with vendors who actually do. Failing to execute BAAs with true business associates exposes the covered entity to OCR enforcement.
Covered entities must annually recertify their 340B eligibility through HRSA. Missing the recertification window pushes the entity to inactive status, which means immediate loss of 340B pricing and potentially diversion violations on previously dispensed drugs. Reinstatement requires a new application.
The discount value of 340B pricing for a covered entity often exceeds six figures annually. Letting the recertification lapse for paperwork reasons is one of the most expensive administrative errors in the regulation.
The No Surprises Act good-faith-estimate requirement applies to all licensed providers offering services to self-pay or uninsured patients — not just hospitals or large groups. The estimate must be provided within timeframes that vary by how far in advance the appointment is scheduled.
Patient-provider dispute resolution under NSA typically defaults to the patient when the practice cannot produce a timely good-faith estimate. The penalty is the full disputed amount being struck.
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