Rutland (Vt.) Regional Medical Center President and CEO Tom Huebner penned an article in the VT Digger illustrating how The Green Mountain Care Board approving a new ASC in Colchester, Va., would impact community hospitals throughout Vermont.
The ASC in question is a proposal that a group of independent physicians filed nearly two years ago. The Green Mountain Care Board is set to decide on the proposal but has faced several delays due to a gap in board members. However, Governor Phil Scott appointed new board members in May, which may speed up the decision regarding the approval.
Mr. Huebner said his primary concern is if regulators approve this ASC, Rutland regulators may approve a similar proposal, which could negatively impact mid-sized and critical access hospitals like Rutland Regional Medical Center. He said, "[For such hospitals that] operate tight financial ships, there is little margin to manage the impacts of new and unregulated competition."
He said ASCs can pick the patients which may be "more profitable," while Rutland Regional has to accept all patients even if they are unable to pay for the services rendered. The ability to select patients that may turn a profit gives ASC an edge over community hospitals that may fail to stay afloat in this environment.
Additionally, Mr. Huebner explained surgery centers will not have to pay the state's annual tax that pays for the Medicaid program nor would ASCs be subject to the Green Mountain Care Board's financial oversight or budget process. The ASC would not have to abide by licensing requirements or reporting requirements, said Mr. Huebner. In an April Green Mountain Care Board Member board meeting, Amy Cooper, executive director of Burlington, Vt.-based health insurance company Healthfirst, said the ASC would save payers $5.5 million annually and the center would pay income and property taxes due to its for-profit status.
Rutland does not need additional facilities to meet patient demand in Mr. Huebner's opinion. He said, "We have expanded our capacity to meet demand and done so within the confines of the certificate of need process. We had to prove that there was a genuine unmet need in our community. Any ambulatory surgical center should do the same."
At the aforementioned April hearing, Ms. Cooper said, "This project is not against the hospitals. This project is for the patients. We in the independent practice community here believe there is space for all providers in the healthcare landscape."