Under the safe harbor rules, what fraction of procedures must be performed at the ASC’s investment entity?

Under the safe harbor rules, what fraction of procedures must be performed at the ASC’s investment entity?

• A. At least 1/3
• B. At least 1/2
• C. At least 1/4
• D. At least 2/3

Answer: (A)

Safe harbor rules for physician-owned ASCs require the investment entity to be an active part of the center’s operations. A meaningful portion of the center’s procedures must be performed within that investment entity to show the arrangement isn’t just a passive ownership stake but a real, functioning part of patient care. The minimum fraction is one-third of all procedures performed at the ASC’s investment entity. Meeting this threshold helps demonstrate legitimate shared ownership and activity within the investment structure, reducing concerns under the anti-kickback framework. If the percentage falls below one-third, the arrangement may not meet the safe harbor criteria and could raise risk under the statute.

Safe harbor rules for physician-owned ASCs require the investment entity to be an active part of the center’s operations. A meaningful portion of the center’s procedures must be performed within that investment entity to show the arrangement isn’t just a passive ownership stake but a real, functioning part of patient care. The minimum fraction is one-third of all procedures performed at the ASC’s investment entity. Meeting this threshold helps demonstrate legitimate shared ownership and activity within the investment structure, reducing concerns under the anti-kickback framework. If the percentage falls below one-third, the arrangement may not meet the safe harbor criteria and could raise risk under the statute.