Challenges Facing the Ambulatory Surgery Center Market

[...]ASCs face multiple challenges related to this goal, outlined as follows. * The Centers for Medicare & Medicaid Services (CMS) bundled payment model limits the amount of reimbursement for procedures, and in some cases, does not even cover the cost to the ASC of providing the patient's care. * Staffing costs are increasing because ASC salaries need to become competitive with hospital salaries to attract skilled personnel. * Supply and equipment costs are rising, but insurance reimbursements are not. * Physician engagement is declining. Splitting time between the surgery center and the hospital creates inefficiencies for the surgeon. Because the goal for the development and participation in a surgery center is profitability as well as to provide better care delivery for the patients in their community, surgeons must decide whether the profitability of the center is more important than their own convenience. CONCLUSION Continual evaluation of all the areas that present challenges to surgery centers is important to ensure their survival. Because a bulk of the ASC costs are staffing, supplies, and equipment, it is essential to pay close attention to these segments.