In a presentation at the 9th Annual Orthopedic, Spine and Pain Management-Driven ASC Conference in Chicago on June 9, Mike McKevitt, senior vice president, business development, and Bo Hjorth, vice president, business development, Regent Surgical Health, discussed best practices for adding higher-acuity spine and orthopedic cases to an existing surgery center.
Mr. McKevitt , who begin his surgery center career with Ingalls Health System in the 1980s, explained that advances in minimally invasive techniques allow surgeons to perform higher-acuity orthopedic and spine cases in the outpatient setting, and these surgeons, who have been traditionally confined to hospital ORs, may be eager to invest in an ASC as a way to combat declining reimbursements.
Mr. Hjorth explained that ASCs looking to add spine and additional orthopedic cases should start by educating their board about the processes, explaining that it typically takes 6-12 months to bring in new partners in these specialties and get the program fully operating.
Higher-acuity orthopedic and spine cases benefit a center financially because these cases are more profitable per OR minute than many other specialties currently in the ASC. However, centers must be able to invest initially in equipment for these surgeons, which can range from $200,000 to more than $400,000 for spine, said Mr. Hjorth.
For example, at one out-of-network ASC in Nevada that added spine to its case mix, spine quickly grew to represent 13 percent of the center's revenue. However, spine volume represented just 3 percent of volume, said Mr. McKevitt.
Mr. McKevitt cautioned, however, that successful spine programs require talented physicians. In his experience the most successful spine surgeons in the outpatient setting are fairly conservative, meaning they only perform appropriate cases in the ASC. This helps to reduce the possibility of complications, which can be detrimental to a center.
Mr. McKevitt , who begin his surgery center career with Ingalls Health System in the 1980s, explained that advances in minimally invasive techniques allow surgeons to perform higher-acuity orthopedic and spine cases in the outpatient setting, and these surgeons, who have been traditionally confined to hospital ORs, may be eager to invest in an ASC as a way to combat declining reimbursements.
Mr. Hjorth explained that ASCs looking to add spine and additional orthopedic cases should start by educating their board about the processes, explaining that it typically takes 6-12 months to bring in new partners in these specialties and get the program fully operating.
Higher-acuity orthopedic and spine cases benefit a center financially because these cases are more profitable per OR minute than many other specialties currently in the ASC. However, centers must be able to invest initially in equipment for these surgeons, which can range from $200,000 to more than $400,000 for spine, said Mr. Hjorth.
For example, at one out-of-network ASC in Nevada that added spine to its case mix, spine quickly grew to represent 13 percent of the center's revenue. However, spine volume represented just 3 percent of volume, said Mr. McKevitt.
Mr. McKevitt cautioned, however, that successful spine programs require talented physicians. In his experience the most successful spine surgeons in the outpatient setting are fairly conservative, meaning they only perform appropriate cases in the ASC. This helps to reduce the possibility of complications, which can be detrimental to a center.