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Physician Contract Glossary · Regulatory & Compliance

Community Need Assessment

A community need assessment is the analysis a hospital uses to justify recruiting a physician, often tied to income guarantees.

When a hospital uses a recruitment incentive like an income guarantee, federal rules generally require it to show a genuine community need for the physician, often through a documented assessment. The assessment supports the legality of the recruitment package under Stark and Anti-Kickback exceptions. For you, it is the basis that makes the incentive lawful, and a weak one can put the whole arrangement at risk.

WHAT TO WATCH FOR

If your recruitment package depends on a community need finding, confirm that documentation exists and is sound. A recruitment incentive built on a shaky need assessment can be challenged, and the fallout can reach your compensation.

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