Should Surgery Centers Expand Bundled Payments? 4 ASC Leaders Respond
Barton Walker, JD, a partner at McGuireWoods, moderated the panel session, and began by asking if bundled payments or other alternative payment structures – which have been touted as the future of healthcare - have been used by the panelists in their contracts.
Robert Zasa, managing partner and founder of ASD Management, explained a few ASD centers in California and New Jersey have entered into bundled payment contracts for spine cases with payers. However, bundled payments make up only a small percent of the centers’ total payments: 1-2 percent of payments.
Stephen Blake, CEO of Central Park ENT and Surgery Center in Arlington, Texas, said his center is interested in bundled payments, but “the payers are just not ready for it.”
Brent Lambert, MD, principal and founder of Ambulatory Surgery Centers of America, said his company plans to avoid bundled payments. “We would be opposed to it because we’re doing anesthesia billing,” and bundled deals would force ASCOA centers to accept a major discount on that service.
A key component of turning a profit on bundled payments is controlling supply costs. Doug Golwas, senior vice president of Medline Industries, said centers must set goals to drive down supply costs a part of the center’s operational strategy. “It has to be part of the discipline and operation of the center,” he said.
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