2023 Banner Code of Conduct

Physician Self-Referral Law The Physician Self-Referral (Stark) Law prohibits a physician from referringMedicare patients for designated health services (DHS) to an entity with which the physician (or immediate familymember) has a financial relationship, unless a specific exception applies. The law also prohibits the entity that is providing the DHS fromsubmitting claims to Medicare for services resulting froma prohibited referral from the physician. Key terms: • “DHS” include inpatient or outpatient hospital services, most clinical laboratory services, most radiology imaging services, durablemedical equipment, home health, physical therapy, occupational therapy, speech language therapy, parenteral and enteral nutrients, prosthetics and orthotics, and outpatient drug prescriptions. • “Referral” is broadly defined to include requests, orders, certifications, and re-certifications by physicians that include DHS. • “Financial relationship” includes both ownership and compensation arrangements and includes almost any type of remuneration in cash or in kind, direct or indirect. To comply with the Stark Law, TeamMembers should work with the Legal Department and/or Ethics &Compliance Department to ensure that physicians arrangements fall within an exception. Some common exceptions are: • Office and equipment leases • Personal services arrangements (contracts) • Recruitment arrangements • Medical staff incidental benefits • Nonmonetary items and services up to an annual limit • Donation of electronic health record items and services Each exception has several requirements—all requirements of an exceptionmust bemet or the arrangement does not comply with the Stark Law. Good or bad intent does not matter. If there is a financial relationship with a referring physician, the relationshipmust satisfy an exception—even if the arrangement has nothing to dowith Medicare patients. Examples of Stark Law violations are a non-employed physician providing services without a contract or occupying hospital space without a lease agreement. Penalties for violating the Stark Lawmay include an obligation to refundmoney, civil monetary penalties (adjusted annually for inflation) for each violation as well as any circumvention scheme, a civil assessment up to three times the amount claimed, exclusion fromparticipation in Federal health care programs and liability under the FCA. In general, these Stark requirements apply across Banner but under certain circumstances, some activities are permitted by the federal government when they involve Accountable CareOrganizations (ACO) and the contracts related to ACO activities. Questions about Stark and ACO activities should be directed to the Legal Department. Anti-Kickback Statute The Anti-Kickback Statute (AKS) is a criminal statute that prohibits knowingly and willfully offering, paying, soliciting or receiving anything of value, in cash or in kind, to induce referrals for items or services for which payment may bemade under a Federal health care program. This law applies to relationships among various providers—not just physicians and hospitals. TeamMembers should never tie compensation or other remuneration to referrals or potential referrals by providers to Banner, and they should never solicit or receive any compensation or benefit that is tied to the referral of business to a provider. Certain business arrangementsmay be acceptable under the AKS if they satisfy safe harbors. Examples of those safe harbors include, but are not limited to:

• Investments in ambulatory surgery centers • Personal services andmanagement contracts • Certain leases

• Certainmanaged care arrangements • Discounts (e.g., for purchases fromvendors and group purchasing organizations) • Arrangements with bona fide employees

Compliance@BannerHealth.com | ComplyLine: 1-888-747-7989 18