The overarching trends in healthcare affect ASCs in unique ways, making monitoring industry developments a key to success at outpatient surgery centers.
Recently, ASCs have undergone intense scrutiny, with 60% of health system leaders expressing interest in outpatient surgery joint ventures at the beginning of 2024 — the highest of any service line. This, in conjunction with ever-increasing supply costs, dwindling reimbursement rates and staffing difficulties, has made the outpatient market more competitive — and potentially more lucrative.
The fact that healthcare's most powerful leaders have taken an interest in ASCs portends good tidings for ASC development companies — including Phoenix-based Atlas Healthcare Partners.
Aric Burke, CEO of Atlas, has already noticed changes in the ASC industry.
"The biggest shift that we're seeing is in the interest and involvement from health systems," Mr. Burke told Becker's.
"Historically, health systems didn't always embrace surgery centers because of the financial impact and perceived competition. But now, a lot of health systems view ASCs as an important part of their delivery network and want to be involved in a bigger way," he said.
The benefits ASCs offer to health systems do not stop there, however.
"[ASCs] help to reduce costs, especially as many health systems are taking on insurance products or risk. [They] also create strong physician alignment for health systems, which is important for their communities," Mr. Burke added.
Many health systems have been active in the ASC sector this year, and Atlas has used the uptick in outpatient interest to form multiple joint ventures. In July, Atlas and Tacoma, Wash.-based MultiCare Health System partnered on a joint venture ASC network in the Pacific Northwest.
"We've really been a health system-focused company since we started, and I think that model has positioned us well to work with a lot of health systems across the country," Mr. Burke said.
"Our approach is to build out the ASC network strategy on the front end, in a way that is very complementary to the health system's goals. Once the strategy has been developed, approved and capitalized, we help them buy the centers, build the centers and ultimately manage the centers."
The growing interest in ASCs the industry is seeing is not expected to fizzle out any time soon. In July, market researchers projected the ASC industry in the U.S. will hit a valuation of $60 billion by 2030 — a jump of more than $20 billion from previously estimated growth just last year.
Going forward, Mr. Burke expects the popularity — and dividends — of health systems' continued collaboration with ASCs to only grow.
"We believe that having health systems front and center in the ASC industry is the right move for the future."