1001.601—Exclusion or suspension under a Federal or State health care program.
(a) Circumstance for exclusion.
(1)
The OIG may exclude an individual or entity suspended or excluded from participation, or otherwise sanctioned, under—
(ii)
A State health care program, for reasons bearing on the individual's or entity's professional competence, professional performance or financial integrity.
(2)
The term “or otherwise sanctioned” in paragraph (a)(1) of this section is intended to cover all actions that limit the ability of a person to participate in the program at issue regardless of what such an action is called, and includes situations where an individual or entity voluntarily withdraws from a program to avoid a formal sanction.
(b) Length of exclusion.
(1)
An exclusion imposed in accordance with this section will not be for a period of time less than the period during which the individual or entity is excluded or suspended from a Federal or State health care program.
(2)
Any of the following factors may be considered aggravating and a basis for lengthening the period of exclusion—
(i)
The acts that resulted in the exclusion, suspension or other sanction under Medicare, Medicaid and all other Federal health care programs had, or could have had, a significant adverse impact on Federal or State health care programs or the beneficiaries of those programs or other individuals;
(ii)
Whether the individual or entity has a documented history of criminal, civil or administrative wrongdoing; or
(iii)
The individual or entity has been the subject of any other adverse action by any Federal, State or local government agency or board, if the adverse action is based on the same set of circumstances that serves as the basis for the imposition of the exclusion.
(3)
Only if any of the aggravating factors set forth in paragraph (b)(2) of this section justifies a longer exclusion may mitigating factors be considered as a basis for reducing the period of exclusion to a period not less than that set forth in paragraph (b)(1) of this section. Only the following factors may be considered mitigating—
(B)
Additional cases being investigated or reports being issued by the appropriate law enforcement agency identifying program vulnerabilities or weaknesses; or
(ii)
Alternative sources of the types of health care items or services furnished by the individual or entity are not available.
(4)
If the individual or entity is eligible to apply for reinstatement in accordance with § 1001.3001 of this part, and the sole reason for the State denying reinstatement is the existing Medicare exclusion imposed by the OIG as a result of the original State action, the OIG will consider a request for reinstatement.
[57 FR 3330, Jan. 29, 1992, as amended at 63 FR 46688, Sept. 2, 1998]