In an effort to provide greater transparency into the financial relationships between physicians and medical product manufacturers, the Sunshine Act was enacted as Section 6002 of the Affordable Care Act (ACA) in 2010 (officially entitled Transparency Reports and Reporting of Physician Ownership or Investment Interests Regulations). Starting on March 31st, 2014, and subsequently on the 90th day of each calendar year thereafter, it mandates that manufacturers of drugs, devices, biologicals, or medical supplies covered by Medicare or Medicaid (referred to as applicable manufacturers (AMs) and applicable group purchasing organizations (GPOs)) annually report certain payments or transfers of value provided to physicians or teaching hospitals (referred to as covered recipients) to the Centers for Medicare and Medicaid Services (CMS).
To facilitate the collection of this data, CMS developed the Open Payments program. Open Payments provides the means through which AMs and GPOs submit information about the payments they make to covered recipients. AMs and GPOs report on payments made to covered recipients for travel, research, gifts, speaking engagements, meals, entertainment, education, and other purposes. Additionally, ownership interests in these companies held by physicians or their immediate family members are also reportable. For transparency purposes, much of this data is then made available to the public annually. AMs and GPOs must register with Open Payments, collect data for the entire calendar year related to these expenditures, format the data according to CMS requirements, and submit the report the following March.
For more information on Open Payments (Sunshine Act) reporting requirements visit the CMS website: https://www.cms.gov/openpayments/
To reduce the complexity of complying with these regulations, MedPro Systems® and Porzio Life Sciences partnered to create Porzio AggregateSpendID® (PASID), the leading end-to-end Aggregate Spend reporting solution. PASID enables customers to identify, collect, and review healthcare practitioner (HCP) and healthcare organization (HCO) general spend, research, and ownership transactions and integrate expenditures from multiple sources. The disparate data is collected into a central data repository and matched in real-time against the over 22M-record HCP MedProID® database for accuracy. Customers can then generate reports that satisfy the requirements of the Open Payments Program, the Food and Drug Administration’s samples reporting regulations, and State and Local Aggregate Spend regulations.