November 3, 1999 HIPAA Announcement:

HIPAA Enforcement Rule Published

Civil Money Penalties:
Policies and Procedures for Investigations, Imposition of Penalties, and Hearings

On April 18, 2005 the Department of HHS published a Notice of Proposed Rulemaking in the Federal Register which proposes the bases and procedures for imposing civil money penalties on covered entities that violate any of the HIPAA Administrative Simplification Rules. The full text of the NPRM is at:

http://a257.g.akamaitech.net/7/257/2422/01jan20051800/edocket.access.gpo.gov/2005/pdf/05-7512.pdf

SUMMARY: The proposed rule would amend the existing rules relating to the investigation of noncompliance to make them apply to all of the HIPAA Administrative Simplification rules, rather than exclusively to the privacy standards. It would also amend the existing rules relating to the process for imposition of civil money penalties. Among other matters, the proposed rules would clarify and elaborate upon the investigation process, bases for liability, determination of the penalty amount, grounds for waiver, conduct of the hearing, and the appeal process.