Effective March 25, 2011, all Medicare providers must report a change in ownership, practice location, or an adverse legal action within 30 days. CMS is now aggressively pursuing these violations and may impose penalties that include revoking physician privileges for up to three years. If a group practice is found in violation, CMS will revoke billing privileges for each physician in the practice. Physicians should further be aware that even if their board contacts CMS to report an adverse action against the physician, the physician still must report the action him or herself. These new penalties are particularly important because Medicaid is now required to revoke billing privileges at the same time Medicare revokes privileges.