Reimbursement cuts are driving many planners to convert vascular access centers into Medicare-certified ASCs to expand their offering, according to Nephrology News and Issues.
Here are five considerations when converting these centers into ASCs:
1. Certificate-of-need laws. If your state has CON legislation, you may have to follow a series of steps when submitting plans for the ASC. Some hospitals and other health systems may object to the ASC due to competition concerns.
2. Look at federal and state fraud and abuse and self-referral laws. Be aware of these laws as an ASC investor may follow similar requirements to a nephrologist investing in an outpatient dialysis center. Nephrology News and Issues states ASCs, however, can escalate the level of federal fraud and abuse risks.
3. State ASC licensure laws. Nearly every state requires an ASC license, which may be harder to obtain as the nation puts a spotlight on patient adverse events. Some states will only require engineering and design specifications as well as various parking requirements.
4. Evaluate the federal Medicare conditions for coverage. To operate as an ASC, centers have to abide by various Medicare requirements, such as complying with the applicable federal fire and life safety codes in addition to others.
5. Taxes. Based on your organizational structure, you may have to consider taxes like built-in gains tax. Employ an account or tax advisors to ensure you are abiding by all tax regulations.