Why this ASC stays independent despite hospitals 'drooling' to acquire it

It is becoming more difficult for ASCs to remain independent as costs rise and reimbursement declines. 

"It's forcing independent ASCs to be bought out by larger entities because they can't sustain themselves," Bill Rhoades, COO of Harrisburg (Pa.) Endoscopy & Surgery, told Becker's. "Their return on investment is lower than expected."

Harrisburg Endoscopy & Surgery is staying true to its independence; the center has remained physician-owned for 24 years despite being surrounded by health systems "drooling" to acquire it. 

"We don't want to sell because we'd lose our independence and be restricted on which insurances we can accept," he said. "We take all insurances because everyone needs healthcare."

While negotiating with all payers makes his job harder, Mr. Rhoades said the "begging for nickels and dimes" is worth it. 

Patient care quality is one of the biggest reasons the physicians at Harrisburg Endoscopy & Surgery refuse to sell, Mr. Rhoades said. Physician independence allows physicians to have autonomy over patient quality. 

If they did sell, "they'd get their investment back, but they'd be told what patients to see, how long to work and how many cases to handle, all of which affect patient care."

It has caused a domino effect; Harrisburg Endoscopy & Surgery is one of the few independent ASCs in the region. Facilities that have been acquired have been instructed not to accept medical assistance, he said, pushing those patients to the hospitals and leading to "longer wait times and less accessible care."

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