Becker's ASC Review

6 ASC MANAGEMENT ASCs vs. HOPDs: 3 cost comparisons By Paige Haeffele A SCs and HOPDs are vying for similar patient populations, but having procedures done at ASCs versus the latter can yield financial benefits, according to an analysis by the Blue Cross Blue Shield Association. Blue Health Intelligence — BCBS' data analytics company — analyzed national claims data for treatment services of 123 million BCBS members at different care sites from 2017 to 2022. The analysis found that costs for health services were "substantially higher" when performed in HOPDs — leading to a higher cost for consumers. Here are three more of the report's findings: 1. Prices of common procedures were "substantially" higher when performed at HOPDs — some five times more expensive — compared to when performed in an ASC or physician's office setting. 2. Not only were the costs of procedures at HOPDs higher, but the average cost of procedures at HOPDs has increased more over time compared to that of ASCs — increasing by 27% in the last five years compared to 11% at ASCs. 3. HOPDs saw a 27% increase in services performed from 2017 to 2022, while their average increase in price was 27%. At the same time, ASC service volume increased by 34%, while prices in that setting increased by only 11%. The report concluded that site-neutral payments — billing the same amount for the same service across care delivery settings — would lead to savings of $471 billion for patients, businesses and employees over the next 10 years. n ASC execs are bullish on growth. Here are 5 strategies on their radar By Patsy Newitt T he year 2024 is around the corner and ASCs are employing several strategies to prepare for growth. Here are five ways ASCs are looking to grow: 1. Adding service lines Many ASC leaders are looking to add high- acuity, high-reimbursement procedures to their centers to spur growth. In particular, ASCs are eyeing total shoulder arthroscopy aer CMS added it to the ASC-covered list in its final rule. "With CMS' sudden unexpected release of total shoulder arthroscopy to the ASC- covered procedures list, I find myself scrambling to meet with our surgeons and staff to begin planning for the first of the year," Alfonso del Granado, administrator and CEO of Lubbock, Texas-based Covenant High Plains Surgery Centers, told Becker's. "is is an exciting time, and I haven't felt this bullish about the future since before the COVID pandemic." Leaders are also continuing to focus on other orthopedic and cardiology procedures. "As we have plans to kick off our total joint program in the beginning of 2024 with total knee arthroplasties, I would like to see that service line grow into shoulders and hips as the year goes on," Erin Vitale, RN, director of nursing at Hoffman Estates (Ill.) Surgery Center, told Becker's. "We also have a general service line that has a great opportunity to expand its services." 2. Recruiting and retaining staff ASCs faced many challenges in recruiting and retaining staff in 2023. Staffing costs are a huge burden on many ASCs, and some centers spend one-fourth or more of their net operating revenue on employees to stay ahead of shortages, according to a report from VMG Health. Many leaders are focusing on staff recruitment to drive growth in 2024. Andrew Lovewell, CEO at Columbia (Mo.) Orthopaedic Group, told Becker's that "attracting and retaining top talent is essential" to continue its growth strategy. "In an extremely competitive labor environment, getting the right people in the door is important," he said. "We have overhauled our benefits package recently and are continually working to provide the best benefits to our staff. We are still facing critical shortages in anesthesia providers and diligently working to assure we are in the best position to recruit the top talent in the market in this field as well as all others." Other leaders are focused on retaining and investing in existing staff. "In 2024, my primary focus is on nurturing and retaining our exceptional team," Andrey Ibragimov, BSN, RN, director at the Chicago-based Ingalls ASC, told Becker's. "We understand that the quality of care we provide is directly linked to the dedication and expertise of our staff." Ms. Ibragimov said she is enhancing her team's strategies and policies and trying to collaborate with other groups to "create an environment where outstanding healthcare and fulfilling career paths flourish together." 3. Partnering with other providers ASCs are looking to hospital and management company partnerships to access economies of scale amid skyrocketing operating costs. For some, that means abandoning independence. Jayesh Dayal, MD, anesthesiologist at Rockville, Md.-based White Flint Surgery, told Becker's that "remaining independent is becoming impossible." "We have absolutely dismal rates, no scope of negotiating anything at our scale — with the insurers or the vendors — and the personnel costs are out of control," he said. "For 2024, we have started talking to national chains, private equity firms and hospital systems to partner with so that the rates get better, the cost of disposables and implants get better, and the day-to-day operations and RCM are

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