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California Physician Owned Physical Therapy Services (POPTS) Bill Fails

The California Legislature considered a bill over the summer that would allow physical therapists to work in medical, podiatric and chiropractic corporations.

    October 01, 2011 /Law and Legal PR News/ -- California Physician Owned Physical Therapy Services (POPTS) Bill Fails

California Physician Owned Physical Therapy Services (POPTS) Bill Fails

The California Legislature considered a bill over the summer that would allow physical therapists to work in medical, podiatric and chiropractic corporations. The physical therapists could either have been on the payroll or worked as shareholders of the medical company. The only limitation would have been that physical therapists could not be majority shareholders.

The bill failed to pass the state Senate Committee on Business, Professions and Economic Development for a second time by a vote of three ayes, three noes and three abstentions.

The bill drew opposition from independent physical therapists who lobbied fiercely against the bill. The California Physical Therapy Association argued that doctors have a conflict of interest in employing physical therapists and would refer patients only to their own clinics.

Proponents of the bill, including the California Medical Association, argued that physicians, podiatrists and chiropractors merely want greater control over patient care.

Current Law Enforced By the Physical Therapy Licensing Board

Because physical therapists are not authorized by state statute to be professionally employed in medical corporations, physicians, chiropractors and podiatrists that do employ physical and occupational therapists are in violation of healthcare compliance laws.

This is news to many physicians and medical providers who have had physical therapists on the payroll for years.

The Physical Therapy Board of California (PTBC), under the Department of Consumer Affairs, enforces the ban on medical corporations employing physical therapists. According to local affiliate NBC-LA, independent therapists have complained that the Board is not doing enough to enforce the ban. On July 20, 2011 the PTBC issued a statement that going forward physical therapists face citations if employed by a medical corporation, and potentially other methods of enforcement if warranted.

It is a violation of law itself for the PTBC to not investigate any complaint against a medical corporation alleged to employ a physical therapist unless and until the law changes.

Still Potential for Change

While the bill was defeated this session, due to the significant financial stake for those involved it is certainly still possible the issue will be re-introduced in the future.

Medical corporations and other medical service providers should contact a healthcare attorney for further questions regarding working with physical therapist and other issues facing healthcare providers.

Article provided by Kolah Law, P.C.
Visit us at www.lawfirmofsandiego.com


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