The ADA realized it had to pursue
another route, so it mobilized ADA
members to contact their representatives in Congress. At that time, there
were approximately 30,000 members’
e-mail addresses in the ADA’s grass-roots database. Electronic notices, along
with a template letter, were sent to all
30,000 members, more than 11,000
of which followed through — a 40 percent response rate. ADA members also
were alerted about the situation through
newsletter articles and ADA website
alerts.
‘Small Business’ Success
To give lawmakers time to consider
legislation around the rules, the FTC
initially agreed to push back enforcement of the Red Flags Rule until May
1, 2009; the Commission has since
delayed enforcement five times, with
the current enforcement date set for
Jan. 1, 2011. ADA reps have been
meeting regularly with members of Congress, trying to encourage amendments
that would exempt dental offices.
Several other associations also have
JUDGE US BY THE COMPANY WE KEEP
Association Forum
American Academy of
Pediatric Dentistry
American Health Information
Management Association
Material Handling Equipment
Distribution Association
American Sport
Fishing Association
Diabetes Educators
HOHENADEL
INSURANCE GROUP
18 West Campbell
Arlington Heights, IL 60005
847-259-4500
Tom Hohenadel – tjh@higteam.com
www.higteam.com
taken action — although in different ways — to address the impact of
the Red Flags Rule on their members’
businesses. The American Bar Association, for instance, filed suit against the
FTC, echoing the sentiment that the
regulations cause an undue burden
on its membership. In October 2009,
a federal district court agreed with
the ABA, blocking the FTC from forc-ing attorneys to comply with the Red
Flags Rule. In May 2010, meanwhile,
organized medicine groups, including
the American Medical Association, the
American Osteopathic Association and
the Medical Society of the District of
Columbia, similarly filed suit to block
the FTC from including physicians in
the enforcement of the rule.
“This unjustified federal regulation
of medicine treats physician practices
like banks, credit card companies and
mortgage lenders,” AMA President Cecil
B. Wilson, M.D., said in a statement.
“The extensive bureaucratic burden of
complying with the Red Flags Rule out-
weighs any benefit to the public.”
In October 2009, the House of Rep-
resentatives unanimously passed a bill
that would exempt certain small busi-
nesses — including any health care,
accounting or legal practice with fewer
than 20 employees — from complying
with the Red Flags Rule. The legisla-
tion was supported by the ADA, which
currently is working with the FTC and
the U.S. Senate Committee on Banking,
Housing and Urban Affairs (the origina-
tors of the FACT Act) to draft final leg-
islative language around proposed Red
Flags Rule exemptions.
At press time, a bill exempting
dental practices and other small busi-
ness from the Red Flags Rule passed
Congress and was awaiting President
Obama’s signature, expected before
Jan. 1.
Association Insurance Specialists
Since 1905
Jamie Birkner is senior manager, advertising and marketing, for the American Academy of Periodontology.
She may be reached at
jamiebirkner@gmail.com.
