Raleigh, N.C.-based Compass Surgical Partners, an ASC company that has developed more than 250 centers over the past 30 years, is looking to joint ventures, smart scaling and de novo facilities as key drivers of future growth.
Mark Langston, chief development officer at Compass Surgical Partners, spoke with Becker’s about where the most significant opportunities lie in the ASC sector today.
Question: What are the greatest opportunities for growth in the ASC sector right now?
Mark Langston: Every year for 20 years, people have said de novo facilities will slow down, and every year they don’t. Growing metro areas create more demand.
Costs for de novos have nearly doubled in recent years. Success requires right-sizing, efficiency, and disciplined management. Otherwise, you’ll never hit profitability or sustain physician partners.
We want centers that are cost-efficient and positioned for long-term durability. We want the right physicians, the right capital structure, and the right strategies so facilities last for decades.
The proposed rule removing limits on Medicare’s ASC procedure list will bring 500 more musculoskeletal codes alone. That’s a huge growth potential. Total joints moved to the outpatient environment successfully, and now cardiovascular is next—we have five cardiovascular ASCs under development and that will likely grow exponentially.
Health systems must plan for these shifts. Cases will go somewhere—either to their ASC networks or their competitors.
At the Becker’s 32nd Annual Meeting: The Business and Operations of ASCs, taking place October 29-31 in Chicago, ASC leaders, surgeons and healthcare executives will explore strategies to drive growth, enhance operational performance, navigate reimbursement challenges and prepare for the future of ambulatory surgery. Apply for complimentary registration now.