loyal admitters - Modern Healthcare
Transcription
loyal admitters - Modern Healthcare
Hospitals vow niche fight not over Page 4 CMS outpatient regs target doc pay Page 5 Growing your own rural physicians Page 10 Editorial Features News . . . . . . . . . . . . . . . . . . . 4 Briefly . . . . . . . . . . . . . . . . . . 6 Opinion . . . . . . . . . . . . . . . . . 8 First Person . . . . . . . . . . . . . . 9 Special Report . . . . . . . . . . . 10 By the Numbers . . . . . . . . . . 12 Business news and information for physician-executives, leaders and entrepreneurs Vol. 10/No. 9 • September 2006 News Makers . . . . . . . . . . . 13 Michael Marcotte COV E R STO RY BY JAY GREENE Recruiting “superstar” doctors from competing hospitals has been a concern in the past decade because of confusion over Stark laws relating to the size and scope of financial packages that can be offered and the size of the geographic area in which top doctors can be recruited. But with the final regulations issued for Stark II in 2004 and a greater need by hospitals to recruit superstar doctors—who bring potential business along with their reputations—experts believe in-town recruiting is beginning to flourish once again. Case in point: In December 2005, the 585-bed University of Chicago Hospitals pulled off a major coup when it recruited seven members of the 12-member lung transplant team at 505-bed Loyola University Medical Center, Maywood, Ill. The two hospitals, which are approximately 18 miles apart, offer the only lung-transplant services in Chicago. Continued on p. 2 James Madara, M.D. (center) lured physicians Sangeeta Bhorade, M.D., and Edward Garrity, M.D., away from a competing hospital HOW MUCH DO YOU BID FOR THESE LOYAL ADMITTERS ? COV E R STO RY Continued from p. 1 The team includes Medical Director Edward Garrity, M.D., Associate Medical Director Sangeeta Bhorade, M.D., surgeon Wickii Vigneswaran, M.D., anesthesiologist Irene White, M.D., and three nurses. Recruited by James Madara, M.D., dean of the university’s Pritzker School of Medicine, and Joe “Skip” Garcia, M.D., chairman of the school’s department of medicine, the team’s hiring was a strategic move to improve the hospital’s financial, quality and research activities. “Lung transplantation is a good investment of resources,” Garcia says. “Only major academic medical centers can offer these unique treatments.” “UCH offered us a much larger infrastructure, and the research side was a big draw,” Garrity says. “We hope to conduct a wide range of pulmonary research” focusing on ameliorating the effects of lung transplantation. Madara says the hospital expects to recoup the $3.35 million initial investment in the new lung transplant program within three years. The funding would help cover anticipated financial losses over that time along with supporting the salaries of the transplant team. “This is a program that has the potential, over time, to operate in the black,” Madara says. Garrity’s team “is known not just for getting good clinical results but also for using resources efficiently.” Modern Physician | September 2006 • 2 Garrity says initially he was not interested in leaving Loyola when contacted by two University of Chicago Hospitals physicians about relocating. “I felt for a number of years I had reached the top of the learning curve at what I was doing at Loyola,” he says. Over 23 years, Garrity’s team had conducted more than 500 transplants. Their one-year survival rate of 90% is above the national average of 80%, he says. Greg Spencer, a physician recruiter with Kendall & Davis, says using a go-between to initiate contact with a potential recruit is a good tactic. “A little distance can allow the hospital to maintain some confidentiality and not feel like they Federal law puts limits on offers to physicians to change hospitals. poached another hospital’s doctor,” prohibitions of Stark I and the socalled 100-mile Hermann Hospital Spencer says. rule—actually a 1993 opinion from Garrity says he doesn’t believe HHS’ inspector general’s office on there was any bad blood over his doctor-stealing incidents—put a chill departure at Loyola. “Sure, there on in-town recruiting, say legal and were questions about why and why recruiting experts. now,” he says. “As often happens, The Hermann rule began in 1994, when you have been at a place for a when what is now called Memorial long time, word of discussions gets Hermann Hospital in out. When I made the Houston entered into a decision, I talked with my closing agreement with department chair. … I the Internal Revenue didn’t feel any hostility.” Service to pay nearly $1 Madara says that sevmillion in fines and to eral years ago Loyola stop paying recruited recruited one of the physicians excessive University of Chicago incentives and tying those Hospitals’ top electrophyspayments to referrals. iologists to head its cardiHermann admitted providology section. “We ing newly recruited physiremained cordial throughGarcia: Lung cians in their market area out,” he says, adding: “All transplantation such free incentives as academic medical centers is a good use of income guarantees, office share common concerns resources. personnel salary support, … yet we compete with free office space, subsidized parkeach other for patients, staff and ing, malpractice insurance and faculty.” phone allowances. Recruiting superstar physi“Recruiting competing doctors cians—cardiologists, heart surfrom competitors used to happen all geons, neurologists, orthopedic the time,” says Brian Rogers, execusurgeons or other big patienttive vice president and principal with admitters—from a competitor Jackson & Coker, a physician search across town is hardly new. For years, doctors have been offered a firm. “For the longest time, Stark variety of financial and work-related and the Hermann Hospital rule caused administrators to instruct us recruiting arrangements, including higher salaries, low-interest loans, to build a hedge around physician relocation expenses, a department recruitment and not even call or submit a doctor within 100 miles.” chairmanship or a more extensive Jed Morrison, a partner with law work environment. But during the early ’90s, the dual firm Jackson Walker, says the Stark effect of the physician self-referral Continued on p. 3 COV E R STO RY lematic to recruit people from within the same practice area, but there laws made administrators skittish about recruiting “because providers are rules to follow now,” he says. began to realize that (the CMS) was “The (1987) anti-kickback statute has always lurked out there as a serious about fraud and abuse.” check on egregious arrangements.” In 2004, the CMS clarified some In the first case to apply the federal of its existing rules on physician recruitment under Stark II. For exam- anti-kickback law to physician recruiting, Tenet Healthcare Corp.’s 151ple, the CMS created a “bright line” bed Alvarado Hospital test that clearly defines Medical Center, San Diego, what a hospital may offer agreed to pay $21 million a physician to relocate. It in May to settle charges it re-emphasizes the existing paid “excessive amounts” prohibition on requiring to recruited physicians. physicians to refer Rogers says he has had patients to the hospital clients tell him: “We canand the ban on tying not pay relocation costs recruiting payments to for this doctor, and they referrals. blamed Alvarado. … They But new language in the are overly concerned.” final Stark II regulation Rogers: In-town Once Garrity accepted redefined physician “relorecruiting is the University of Chicago cation” to mean where picking up. Hospitals’ offer, he sent the practice is located letters to patients about the move. rather than where the physician “We have not gone out of our way lives. Now, a physician is considto re-contact patients. Our practice ered to be relocated if the practice plan at Loyola would be shocked, is moved at least 25 miles, or if at and we would be overstepping our least 75% of patients in the new bounds if we did that,” he says. area are new. Rogers says recruiting star doctors “For years you rarely heard of a is still more likely to occur in larger hospital recruiting from a competitor cities than in smaller or mediumacross town,” Rogers says. Now, sized towns. “Hospitals still are however, he says in-town recruiting leery of recruiting a local doctor and has picked up. “It is more common, ending up with a lawsuit,” he says. ■ but a recruited doctor can’t bring more than 25% of their patient base,” he adds. Jay Greene is a former Modern Morrison says Stark II created spe- Healthcare reporter and now a cific rules that can be built into freelance healthcare writer based recruitment contracts to protect hos- in St. Paul, Minn. Contact Greene pitals and physicians. “It is still prob- at [email protected] Modern Physician | September 2006 • 3 Continued from p. 2 What would you pay an experienced Administrator? How about zero? Meet Carol Jones. She’s an ace Administrator – and has been for the past 10 years. She’ll train your staff on how to run the world’s most advanced EMR system for free. In fact, unless our EMR software and integration team increase your revenues by agreed upon goals, we won’t charge a thing for our software or services. It’s like gaining a medical practice business consultant and Administrator for free. In fact, that's it exactly. Call 1-877-3-Alteer Alteer Corporation. 4 Venture, Suite 100, Irvine, CA 92618 www.alteer.com NEWS Modern Physician | September 2006 • 4 Hospitals vow to fight on AHA, FAH ask CMS to reconsider specialty ban BY MATTHEW DOBIAS The two heavyweights of the hospital lobby collectively took one on the chin last month, when the CMS landed a knockout blow by allowing a moratorium on specialty NEW RULES OF THE GAME The CMS will now require physician-owned specialty hospitals to: ■ Disclose physician ownership and compensation arrangements to the CMS and patients. ■ Be subject to a $10,000-per-day fine for failing to make those disclosures. ■ Comply with all federal physician ownership and anti-kickback statutes and regulations. ■ Provide emergency care for patients regardless of their ability to pay. Source: CMS hospitals to expire Aug. 8. But both the American Hospital Association and the Federation of American Hospitals say they are reluctant to put away the gloves just yet and vow a rematch. “We will continue to fight physician ownership of hospitals,” says Mary Beth Savary Taylor, vice president of federal relations for the AHA. “We believe that physician self-referral to limited-service hospitals should be banned.” “Payment reforms are one thing,” says federation spokesman Richard Coorsh. “But they do not address the underlying problem, which is the conflict of interest in the area of physician-owned hospitals.” In the other corner, however, the victors are celebrating. In a statement, Jim Grant, president of the American Surgical Hospital Association, said, “This day has been a long time coming, and we are glad to finally witness its arrival.” In lifting the ban and issuing a final report on the matter, the CMS says it found little evidence supporting the hospital lobby’s claim that specialty hospitals self-select healthier and better-insured patients, leaving sicker and lesser-insured patients for acute-care hospitals. They also claimed that physicians are economically motivated to refer patients to facilities in which they have an ownership stake rather than to other facilities that may offer comparable or even better care. “This final report is a comprehensive review of the evidence on specialty hospitals and a comprehensive path forward to address concerns that have been raised,” CMS Administrator Mark McClellan says. However, the CMS did place some disclosure requirements and business restrictions on physician-owned specialty hospitals that treat Medicare and Medicaid patients (See box). ■ The path to providing quality health care is clear With over 2,500 accredited organizations throughout the ambulatory community, the Accreditation Association for Ambulatory Health Care (AAAHC/Accreditation Association) is the leader in ambulatory health care. For over 25 years, the Accreditation Association has been using an educational, consultative and peer-based survey approach to help all types of ambulatory health care organizations provide the best possible care to their patients. Recognized by third party payors, medical societies, governmental agencies and the general public, AAAHC accreditation is a symbol that an organization is committed to excellence in quality health care. To learn more about how the Accreditation Association for Ambulatory Health Care can put your organization on the path to quality health care, contact us at 847/853.6060 or [email protected], or visit www.aaahc.org. NEWS Modern Physician | September 2006 • 5 One for you, two for me Physicians, ASCs hit hardest by proposed reforms would cut the full marketbasket allotment by 2 percentage points for The CMS proposed a set of farthose that don’t participate. reaching Medicare outpatient payment regulations last month that ■ Pay ASCs 38% less for the same would greatly alter the way the govtype of procedures done in hospital ernment pays for ambulatory care. outpatient settings. Hardest hit in the pocketbooks by The CMS made its proposals in the changes would be physicians two sets of regulations: its proposed and free-standing ambulaMedicare outpatient tory surgery centers. prospective payment sys“This latest Medicare tem rule and its proposed physician payment rule Medicare physician-fee again highlights the need schedule. The agency pubto fix the fatally flawed lished the regulations in physician payment systhe Federal Register on tem, with next year’s Aug. 8, with a 60-day pubMedicare physician paylic comment period. Final ment scheduled to be cut regulations will be pub5.1%,” said Cecil Wilson, lished later this fall. chairman of the American Wilson: System In the past, Congress Medical Association, in a has stepped in to reverse is fatally flawed. statement. “Seniors who proposed cuts in Medirely on Medicare and the physicians care payments to physicians—and who care for them are stuck wonder- is likely to do so again this year. ing if 2007 will be the year access More surprising are the CMS’ drato care erodes as we wait for conmatic payment reforms for ASCs, gressional action to stop the which would greatly affect physicians. Medicare payment cuts.” The CMS says it wants to revise the Specifically, the proposed regulasystem for the centers using outtions for 2007 would: patient PPS relative payment weights as a guide. Rates would be based on ■ Impose a congressionally manthe ambulatory payment classificadated 5.1% cut to physician reimtions used to group procedures bursement. ■ Update by 3% Medicare payments under the outpatient PPS, but payments in the ASC setting would be for outpatient services. 38% lower than the payment for the ■ Expand the list of quality meascorresponding procedure in hospital ures both inpatient and outpatient outpatient departments. ■ departments must report, and BY MATTHEW DOBIAS ARAMARK lab coats come with an attractive new feature. We’re confident – whether you rent or purchase our lab coats – that you’re going to be impressed with our quality and service at ARAMARK Uniform Services. But that’s not the only attraction. Right now, when you sign an agreement with us, we’ll give you a $50 Amazon.com® gift certificate*as a way of saying thank you.** Quality apparel. Spotless service. ARAMARK. 1-800-ARAMARK *Amazon.com is not a sponsor of this promotion. Amazon.com and the Amazon.com logo are trademarks of Amazon.com, Inc. or its affiliates. Amazon.com gift certificates are redeemable only at www.amazon.com. See www.amazon.com/gc-legal for terms and conditions of use of Amazon.com gift certificates. **Offer good for the first 100 new customers. ARAMARK will email/mail gift certificate within 30 days of signing agreement. HealthcareApparel.ARAMARK-Uniform.com B R I E F LY Modern Physician | September 2006 • 6 Docs to open hospital in Indiana … … and one in Florida (maybe) Prexus Health Partners, Cincinnati, filed plans to build a medical complex that would include a 30-bed surgical hospital in New Albany, Ind., across the Ohio River from Louisville, Ky. Tentative plans call for a 60,000square-foot facility and a separate 10,000-square-foot building. Prexus, formerly known as Premiere Healthcare Partners, is a physician-owned company that operates surgery centers in the Cincinnati area, as well as the Butler County (Ohio) Medical Center in Hamilton, a small forprofit surgery hospital co-owned by local physicians. Nemours Foundation, Jacksonville, Fla., continued its pursuit of approval to build a children’s hospital in Orlando, filing a second certificate-of-need application. A CON decision is expected in December. The state rejected Nemours’ first request in June, saying the pediatric specialty group had not established a need for the $270 million, 95-bed hospital. The proposal faced opposition from pediatric-service providers, chiefly Orlando Regional Healthcare, which operates Arnold Palmer Hospital for Children. Nemours and Orlando Regional had discussed a joint project, but talks fell apart. Docs warm to ASPs … and two in Texas … A physician-owned acute-care hospital is slated to open in Texas this month when Houston-based University Hospital Systems’ University General Hospital is completed. That $50 million, 10-story hospital is the company’s first, says University President and CEO Kamran Nezami, the only nonphysician partner in the company. Former Memorial Hermann Healthcare System administrator Jerel Humphrey will serve as hospital CEO. University also says it will partner with Houston developer Park 8 to build Chinatown General Hospital, a $68 million, acute-care hospital. University will lease the 80-bed hospital from Park 8 and will partner with about 80 physician-owners. The application service provider model of distributing computer software has long held promise as a low-cost method of providing healthcare information technology to small physician offices. The problem was few physicians bought electronic health-record systems in the past decade and far fewer still wanted to touch ASP-based EHRs. But physician resistance to ASPs appears to be easing, and with recent legal safe harbors and exceptions established by the Bush administration for IT sharing, use of ASP-based EHRs could grow much more common, according to a report at last month’s work-group meeting of the American Health Information Community. So far, Masspro, which is running an HHS pilot program in Continued on p. 7 78th AHIMA Convention and Exhibit | October 7–12, 2006 Stay on Top of the Latest Healthcare Information Industry Trends Register today for the 78th American Health Information Management Association (AHIMA) Convention and Exhibit Educational session topics include: • Legal health records • ICD-10 • Electronic health records • RHIOs • Computer-assisted coding • and more For information and registration, click here. The American Health Information Management Association is the premier association of health information management (HIM) professionals. AHIMA’s 50,000 members are dedicated to the effective management of personal health information needed to deliver quality healthcare to the public. Founded in 1928 to improve the quality of medical records, AHIMA is committed to advancing the HIM profession in an increasingly electronic and global environment through leadership in advocacy, education, certification, and lifelong learning. For information about the Association, go to www.ahima.org. ©2006 SOURCE CODE: S276 B R I E F LY Continued from p. 6 Massachusetts to extend IT to small physician offices, has helped with 16 ASP-based IT implementations out of a total of 56 installations, says Chuck Parker, vice president and chief technology officer at Masspro. Emdeon wants out Emdeon Corp., Elmwood Park, N.J., says it will sell its Emdeon Practice Services unit, which makes medicalrecords and practice-management software, to Sage Software for $565 million in cash in a deal expected to be completed this month. Emdeon, formerly WebMD, also says it continues to explore strategic alternatives for its business-services unit—Emdeon’s medical-claims clearinghouse—and expects to make an announcement shortly. Sage is part of the North American subsidiary of Sage Group, Newcastle, England. Emdeon also reported second-quarter net income of $23.2 million on revenue of $354.9 million. Emdeon Practice Services had revenue of $77.3 million during the quarter, down from $78.6 million in the year-ago quarter. Coming clean with patients … About 98% of physicians surveyed said serious medical errors should be disclosed to patients, but about 60% said they will be less likely to do so if they “think the patient would not understand what I was telling him or her,” according to a study in last month’s Archives of Modern Physician | September 2006 • 7 Internal Medicine. The study included anonymous responses from 2,637 U.S. and Canadian physicians between July 2003 and March 2004. Other factors the doctors said that might inhibit disclosure included: “If I think the patient would not want to know about the error” (30%); “if the patient is unaware that the error happened” (21%); and “if I think I might get sued” (19%). According to a second article examining other responses from the same physicians, there exist wide variations in how physicians disclose medical errors. For example, 56% of respondents would mention the adverse event but not the error, and 19% would volunteer no information about the error’s cause. ... and with provider peers A new national study reiterates a widely accepted maxim: Communication is one of the keys to any good relationship—especially those involving hospital administrators and physicians. These sometimes “volatile” relationships call for added focus on both collaboration and communication, according to a study by consultancy Mitretek Healthcare and the American Hospital Association’s Society for Healthcare Strategy and Market Development. The report provides benchmark data on more than 60 strategies that hospitals are using to strengthen ties with physicians, including a focus on economic alignment between the two groups. THE 2ND ANNUAL World Healthcare Innovation and Technology Congress INNOVATION TO TRANSFORM Omni Shoreham Hotel • Washington, DC A uniquely dynamic and interactive forum giving you access to innovative policy, business, and technology initiatives as told by senior executives, policy makers and pioneers in healthcare transform from the nation's most technically advanced health systems, health plans, and policy makers. C O N F I R M E D Dean L. Kamen Founder, DEKA Research & Development Corporation Herbert Pardes, MD Vice Chairman, President and CEO New York Presbyterian Hospital Elias A. Zerhouni, MD Director, National Institutes of Health (NIH) Mickey McManus President and CEO MAYA Design Dr. Joseph F. Coughlin Director, AgeLab Massachusetts Institute of Technology (MIT) William Gray Deputy Commissioner of Systems, Social Security Administration George M. Church, PhD Professor of Genetics, Harvard Medical School MIT Health Sciences & Technology; Director of the Lipper Center for Computational Genetics, MIT-Harvard DOE Genomes to Life Center, NIH Center for Excellence in Genomic Science GOLD SPONSOR: K E Y N O T E • November 1-3, 2006 ORGANIZED BY: PLATINUM SPONSOR: CO-SPONSORED BY: L E A D E R S Pat O'Neal Retired Army General, Currently supporting international corporations including Defense Advanced Research Projects Agency and the associated Command Post of the Future Program Rishad Tobaccowala Chief Innovation Officer Publicis Groupe Media Chief Executive Officer DeNuo Dr. Mae Jemison, MD, Astronaut, Chemical Engineer, Professor, Lecturer and Entrepreneur, Area Peace Corps Medical Officer in West Africa, Lecturer and Entrepreneur Jonathan B. Perlin, MD, PhD, MSHA, FACP Under Secretary for Health Veterans Health Administration David Cutler Otto Eckstein Professor of Applied Economics, Department of Economics and Kennedy School of Government, Harvard University Author, Your Money or Your Life: Strong Medicine for America's Healthcare System EDUCATIONAL UNDERWRITERS: T O D A T E : Michael B. McCallister President and Chief Executive Officer Humana Carolyn Clancy, MD Director, Agency for Healthcare Research and Quality (AHRQ) Dept. of Health and Human Services Charles N. Kahn III President Federation of American Hospitals Vincent C. Caponi, BA, MHA Chief Executive Officer St. Vincent Health DISTINGUISHED CONGRESS FACILITATOR: Peter Robinson Author, Television Host and Former White House Chief Speechwriter to Vice President George H. W. Bush; Fellow, Hoover Institution OFFICIAL PUBLICATION: F O R P R O G R A M U P D AT E S , P L E A S E V I S I T U S O N L I N E AT W W W. W H I T C O N G R E S S . C O M OPINION All-out blitz Recruiting stars is key for football and healthcare One of the most common excuses or running back from another team in the free-agent market. By luring away for escalating healthcare costs, a star player, the team hopes to shoddy care and limited access to increase attendance, ticket revenue services is that healthcare is differand championships. One twist of a ent. Traditionalists argue that the typical economic forces that lead to knee (or scalpel) can be disastrous. This issue’s special report (p. 10) improvements in other industries by reporter Jessica simply don’t apply in Zigmond tackles the healthcare. After reading issue of physician this issue’s cover story recruitment in medically and special report, both underserved rural marof which focus on physikets. One strategy being cian recruitment and deployed by rural hospiretention, I know one tals, practices and medindustry that healthcare ical schools is that of is like. And that’s pro grooming homegrown football. DAVID BURDA talent. They’re creating As I write this, the Editor incentives for newly start of the regular seaminted physicians to son is just around the return to their home towns or praccorner and the 32 NFL teams in tice in the communities in which training camps are doing everything they received their medical training. from minor tweaking to wholesale Again, it’s reminiscent of professhuffling of rosters to find the right mix of players. It’s not that much dif- sional football, which relies on universities and colleges to train and ferent from what hospitals do with their medical staffs or practices with prepare the next crop of rookies available in the annual draft. Scouts their doctors. from professional teams constantly This issue’s cover story (p. 1) by hunt for local college players who frequent contributor Jay Greene could make a splash in the pros. revisits the topic of doctor stealing, So the next time you’re trying to which occurs when one hospital or attract a prominent physician to your practice lures away a prominent medical staff or practice, or groomphysician from a rival in the hopes ing a future superstar doctor, just of increasing patient admissions, read the sports page or watch a few revenue and prestige. games on Sunday. You might just It’s much like one football team learn something. stealing away a veteran quarterback Modern Physician | September 2006 • 8 LETTERS Carilion’s smart move … Putting the control of a health system back in the hands of the physicians—as Carilion Health System in Roanoke, Va., intends to do— makes perfectly good business logic (“From system to clinic,” August p. 10). Decisionmaking in most large health systems moves at glacial speed and rarely has support from a majority of the medical staff. Without physician leaders at the helm, there cannot be an alignment of goals; with that said, the community should have input at the board level. The political characteristics of a voluntary medical staff will be transformed into a collective, collaborative voice so long as rules and systems are in place that create equity, fairness and consistent decisionmaking. David Disbrow Administrator Pain Management Center Cleveland Clinic Foundation … doesn’t make sense Where were the executives of Carilion the past 20 years when we got “paradigm shifted” to the tune of billions of Wall Street’s dollars wasted trying this “integration” idea to change the economics of healthcare? No doubt the Einsteins at Carilion have well-paid consultants who put visions of Mayo, Scripps and Ochsner in their heads. They need to be reminded that those powerhouses grew over generations by building reputations, not by merging foundering entities and declaring themselves institutes. They gradually attracted endowments that allowed them to handpick the physicians who continued this success. There’s little doubt Edward Murphy, the physician figurehead who announced this project, is being driven by hospital execs salivating over Part B and other outpatient revenue. It won’t work. The physicians are actually earning all that revenue (and more) and good ones won’t be drawn to or remain on a “team” that is sucking them dry. There are a minority of unambitious doctors out there—they are already working for the Veterans Affairs Department, group model HMOs and second- and third-tier teaching hospitals. The ones worth big salaries are the ones Carilion needs, and it won’t attract them by simply corralling local physicians onto their letterhead. Jeffrey Denning Principal Practice Performance Group La Jolla, Calif. What do you think? Let us and your fellow Modern Physician readers know. Send your letter to the editor to [email protected]. FIRST PERSON Modern Physician | September 2006 • 9 Stroke of genius? venously delivered tPA to dissolve blood clots obstructing coronary arteries were shown to decrease patients’ mortality. The National Institute of Neurological Disorders and Stroke was at the forefront of testing the efficacy and safety of tPA for A major barrier to stroke care has been financial. Despite the nation’s estimated $57 billion in yearly direct and indirect costs related to stroke, it was only in October 2005 that the CMS decided to reimburse hospitals for the additional expense of reperfusion therapy for acute stroke. Prior to the 2005 coverage decision, Medicare paid hospitals a set amount per patient treated Koroshetz Emr Added reimbursement could bring widespread tPA treatments BY WALTER J. KOROSHETZ, M.D., ERICA SEIGUER, MARIAN EMR AND NANCY HART In the decade since it was approved by the Food and Drug Administration, tissue plasminogen activator, or tPA, a reperfusion therapy for cardiac and stroke care, has revolutionized the treatment of stroke—the third leading cause of death in the U.S., and the leading cause of adult disability. Until the mid-’90s most physicians were trained to believe that little could be done to alleviate the severe neurologic disability that occurs with a stroke. However, laboratory work in animal models of ischemic stroke and studies in patients using positron emission tomographic imaging demonstrated that the process of permanent brain injury, or cerebral infarction, occurs over a variable time course, usually measured in hours. Reports began to appear of “Lazarus-like” patient improvement with rapid removal of a clot obstructing a cerebral vessel. In patients with acute coronary syndromes, multiple trials of intraIf you’re a physician and you’d like to tell your business story, please contact us at [email protected]. Submissions should be no longer than 1,000 words and should include a color photo of the author. Seiguer stroke. A carefully designed clinical trial of acute-ischemic-stroke patients found that those treated with tPA had a statistically significant better chance of a good recovery status by three months—a benefit that was sustained at follow-up. In 1995, the FDA approved tPA use within three hours of ischemic stroke onset. Safe tPA administration requires systems to be in place. An effective infrastructure for emergent care includes an acute-stroke team able to respond around-the-clock, a specialized unit dedicated to stroke care, appropriate laboratory services and a staff that undergoes regular continuing medical education. Hart for stroke, whether reperfusion therapy was used. Members of the Brain Attack Coalition—a group of professional, voluntary and governmental organizations working to improve stroke care—argued that patients who receive reperfusion therapy require more hospital resources than patients who did not. Increased intensity of patient monitoring; laboratory, pharmacy and neuroimaging costs; and hospital infrastructure costs have all been cited as barriers to the appropriate use of clot-busting drugs and devices. The standard stroke payment code, DRG 14, gave hospitals about $5,600 per stroke patient, and Medicare reimbursed hospitals $2,000 per administration of tPA to cover the costs of the drug itself. It is believed this reimbursement level, along with the cost of the infrastructure associated with establishing a system for using tPA safely, were financial disincentives for hospitals to give tPA. Brain Attack Coalition members, along with other stroke leaders, presented data to the CMS showing patients treated with tPA were twice as expensive to care for as the average stroke patient coded under the standard stroke DRG. In its 2005 ruling, the CMS recognized this disparity and instituted DRG 559 for acute stroke patients treated with a reperfusion agent. DRG 559 doubles the payment— now approximately $11,500. ■ Walter Koroshetz, M.D., is vice chairman of the department of neurology at Massachusetts General Hospital, Boston, and professor of neurology at Harvard Medical School. He has served as chairman of the Reimbursement Committee of the Brain Attack Coalition for the past four years. Erica Seiguer is an M.D.-Ph.D. candidate studying economics in Harvard University’s doctoral program in health policy. Marian Emr is the director of the Office of Communications and Public Liaison at the National Institute of Neurological Disorders and Stroke, National Institutes of Health. Nancy Hart is coordinator of the Brain Attack Coalition at the National Institute of Neurological Disorders and Stroke, National Institutes of Health. SPECIAL REPORT Help wanted Modern Physician | September 2006 • 10 concern for their spouses, families and children’s education, Mason says. In West Virginia, she emphasizes what she calls the state’s “relaxed, nature-loving” lifestyle, which is a good Benefits include friendly community and help paying off student debt fit for physicians and family members who enjoy hiking, biking, camping, kayaking and rafting. practice in rural communities and make them BY JESSICA ZIGMOND “We are getting better at shopping centers— want to stay. As the demand for qualified physicians and within an hour or so,” Mason says. “It might not At WVU, funding from the medical school other healthcare professionals in rural communibe in their backyard.” and the West Virginia Rural Health Education ties outweighs supply, local leaders continue to Last year, WVU’s program assisted 94 resiPartnerships-Area Health Education Centers seek solutions. Rural rotation programs during dents, of which 52, or about 55% of the total, helps provide the resources to target medical medical school and residency training, greater stayed in the state, while 41 left West Virginia; residents, fellows in all specialties, alumni attention to finding “homegrown” talent, and placement for one resident is still unknown. The and medical students to fill vacanassistance with repaying student loans overall percentage of retained physicians has cies. If students or residents prefer are among the ways some underbeen dropping in recent years: 43 residents, or to leave West Virginia, Mason says served areas are working to attract 61%, remained in West Virginia in 2002, and 18 she refers them to an appropriate and retain medical professionals. residents, or 62%, remained in-state in 2000. source to find placement. “A big challenge is that when physi“As much as I want to find (placements for) The university’s efforts include cians are working in rural areas, they rural locations, if they come to me and want to career guidance and support through are often alone and isolated,” says work in an urban area, there is not much I can presentations, a job search e-mail Elaine Mason, director of the West do to change their mind,” Mason says. service and a Web site, as well as an Virginia University Health Sciences Hurst, of the University of Louisville, says her annual career seminar and job fair. Placement Service. “We’re working school receives money from the state “I have long said that peohard at improving that situation.” One to help place physicians. According to ple who wind up in rural way for areas to keep an adequate Mason: Rural Hurst, rural areas can be an attractive healthcare are both mavernumber of caregivers is to “grow their physicians can option because physicians have less icks and missionaries,” says own,” an approach that emphasizes feel isolated. competition, and the setting is more Hilda Heady, executive direcencouraging students to give back to personalized. “You do have more the rural areas of the states where they received tor of the West Virginia Rural Health power, or a voice, if you want to have Education Partnerships-Area Health their medical education. an influence,” she says. Education Centers, which works to Earlier this year, at the annual National Rural One major recruitment tool for Health Association conference, Mason joined Jan retain West Virginia-trained health scistates is medical school loan-repayence graduates in underserved rural Hurst, director of physician placement at the ment programs. Hurst says many of areas of the state through partnerships University of Louisville (Ky.) School of Medicine, the university’s graduates have “at with communities, schools, healthcare and Mary Amundson, assistant professor at the Heady: Rural least $100,000 in debt” when they providers and government agencies. Center for Rural Health at the University of North physicians are graduate, and it’s likely twice that “They have a passion to make a difDakota School of Medicine and Health Sciences, “mavericks and for a private-school education. Loan to highlight the most important aspects in recruit- ference, and, with a missionary zeal, missionaries.” forgiveness can be an attractive facing and retaining physicians and other healthcare can move into these settings. They tor when residents and physicians are considhave to be mavericks if they are in a solo situaproviders in rural communities. ering placements. tion—there is not a large social system.” While the programs have slightly different tarAt the University of North Dakota, Amundson The “social system” issue is a significant chalget audiences and are not funded the same way, their missions are similar: to attract physicians to lenge in attracting physicians because of the Continued on p. 11 SPECIAL REPORT that in addition to an increasing demand for physicians in all areas, it’s difficult for physihas worked on the Student/Resident Experiences and Rotations in Community Health, cians to turn down a higher-paying opportunity in a nonrural setting. or SEARCH, program for the past 16 years. It “It’s hard not to go to a site where you may takes an interdisciplinary approach and encourwork less hours. It’s hard to walk away at 5 p.m. ages health-professional students to work when you know there are people still to be seen, together in rural communities. “We try to show the medical students that they or on a weekend, when there is a need. Students want better balance in terms of personal time are not alone out there and to rely on the social workers, nurse practitioners, physician assistants and professional time,” says Crouse, who adds that the typical workweek is longer in rural areas and psychologists in their regional-access area,” because there tends to be less backup. Amundson says. The University of Wisconsin at Madison is This year, the SEARCH program had 23 students, which includes students in their first year preparing to admit the first students to its Wisconsin Academy for Rural Medicine in the fall of medical school, as well as students training to be social workers and nurse practitioners. As of 2007. The school-within-a-school is expected to expand the medical school’s student populapart of the program, students work with a varition to 175 from 150 and admit students from a ety of providers and try different specialties, geographically diverse cross section, Crouse including long-term care and public health. says. The program hopes to identify Amundson says the program stresses students who have a great affinity for a community component. In one rural practice and place them in rural instance, Amundson says two stuareas. They will follow the traditional dents “who did not have compatible curriculum during the first two years personalities” worked together to and then spend the majority of their launch a bike helmet safety program third and fourth years at rural sites. spanning five counties. “People from a rural area or an “I have seen a more critical shortunderserved urban area are more age—it is so difficult to recruit physilikely to return,” Crouse says. cians for very rural states,” Amundson According to Terry Hill, executive says, who added that physicians now director of the Rural Health Resource prefer less-frequent on-call duty than Amundson: It’s Center in Duluth, Minn., one way rural doctors in the past. “They are also so difficult to areas can succeed in keeping their looking for employment for spouses, recruit in very physicians and other caregivers is by which is more difficult in rural commurural states. considering what it takes for caregiver nities, (and) they are looking for curricuretention during recruitment. lum in the school system for their children. They “We recommend a community recruitment also want to be close by urban amenities. ... and retention committee to monitor how (the They are forgetting about the great quality of life physicians) are doing in the community,” Hill that you can have in a rural community.” says. “If you’re mindful about the fact that they Byron Crouse, M.D., associate dean for rural are a community asset and they can leave at and community health at the University of any time, then you’re going to retain (them), Wisconsin at Madison School of Medicine, says Continued from p. 10 Modern Physician | September 2006 • 11 and you won’t have to recruit.” The Rural Health Resource Center works with the University of Minnesota at Duluth Medical School to assist students and place them in summer internships in underserved areas. In addition to its connection with the university, the center’s Minnesota Health Professional Placement and Retention Program works with about 69 communities in the state. Program Coordinator Angie LaFlamme says the program A state program has helped fill vacancies at facilities such as the Littlefork (Minn.) Medical Center. works with an average of 90 candidates each year, of which about 80% are medical school residents. She estimates there are about 200 physician vacancies in Minnesota. Hill also says rural physicians are less isolated today, now that access to the Internet and satellite television has narrowed the gap. But there are other problems that could serve as a barrier to attracting physicians to rural areas. “I think we’ve improved on the problem of isolation, but still the problem relates to the school system,” Hill says, adding that students might not be steered toward careers in science and medicine. “Rural schools (especially at the secondary level) are not generally able to offer the same level of science courses. We have to find rural kids, but the rural kids have to be competitive. It becomes a community issue and a community problem.” ■ BY T H E N U M B E R S Modern Physician | September 2006 • 12 WHAT RECRUITERS SAY ABOUT RECRUITING PHYSICIANS Most difficult to recruit specialties Percentage of time spent recruiting physicians Orthopedics 20% 4.8% 1.9% Cardiology 19% Neurology 14.3% 25% or less About 33% 42.9% 13.3% 14% About 50% 67 to 75% Psychiatry 22.9% 12% About 80% 90 to 100% Radiology 9% Note: Numbers may not equal 100 due to rounding Source: LocumTenens.com 2005 survey of ASPR Members Primary care 8% Surgery 7% Obstetrics 5% Based on a survey of 106 members of the Association of Staff Physician Recruiters. Percentages for all charts are percentages of respondents who cited each answer. Time required to fill a staff physician vacancy 2.9% 2.9% 19.1% 29.5% Anesthesiology 7 months to a year 4% 45.7% Pediatrics 12 to 18 months 18 months to 2 years 2% Source: LocumTenens.com 2005 survey of ASPR Members 6 months or less Other Note: Numbers may not equal 100 due to rounding Source: LocumTenens.com 2005 survey of ASPR Members NEWS MAKERS ASSOCIATIONS Russell Holman, M.D., senior vice president and national medical director of Cogent Healthcare, was named president-elect of the Society of Hospital Medicine, Philadelphia. Holman, 39, is a longtime member of the group and previously was secretary for the board of directors. EDUCATION The interim chairman of the Cleveland Clinic’s cardiology program now holds the job permanently. Steven Nissen, M.D., was chosen by a search committee to succeed Eric Topol, M.D., 52, who left the clinic in February to Nissen become a genetics professor at nearby Case Western Reserve University after a dispute with clinic leadership. Nissen, 57, says he wants his doctors to continue to develop preventive therapies and do more community outreach, particularly in terms of access to care. … T. Samuel Shomaker, M.D., acting dean at the University of Hawaii’s John A. Burns Making news? Send your personal and personnel stories to [email protected]. Please attach a color photo of your Modern Physician News Maker with your submission. Modern Physician | September 2006 • 13 School of Medicine, was named dean of Austin programs for the University of Texas Medical Branch at Galveston School of Medicine, officials said. Shomaker, 52, takes over as dean on Sept. 1. GOVERNMENT Surgeon General Richard Carmona, M.D., 57, stepped down and the job will be filled on an interim basis by Deputy Surgeon General Kenneth Moritsugu, M.D., 61, until the White House names a successor. Carmona’s fouryear term expired July 29. An HHS spokeswoman Moritsugu said Carmona plans to return to civilian life. Prior to becoming surgeon general, Carmona was chairman of a regional emergency medical system in southern Arizona and a professor of surgery at the University of Arizona. Among other activities, the surgeon general oversees the 6,000-member U.S. Public Health Service Commissioned Corps, which in 2005 saw its largest deployment ever after hurricanes Katrina and Rita struck the Gulf Coast. M.D., 52, will serve as board chairman and managing shareholder. … Craig Samitt, M.D., was named president and CEO for Dean Health System, Madison, Wis. Samitt, 42, will assume the position this Sammit month. He succeeds Allen Kemp, M.D., who has assumed the role of CEO emeritus and will represent Dean nationally. and senior vice president at the medical center. HOSPITALS, SYSTEMS SUPPLIERS, VENDORS Laura Forese, M.D., has been appointed chief medical officer of New YorkPresbyterian Hospital/Weill Cornell Medical Center. Forese, 45, will continue to serve as chief medical officer Forese Michael Hawkins, M.D., has joined Cogent Healthcare as regional medical director-Southeast. Hawkins, 51, is a fellow of the American College of Physicians. … Pathologist and physician-executive Dennis Morgan Smith Jr., M.D., was named to the board of directors of Clarient, an Aliso Viejo, Calif.-based developer of oncology products. RESEARCH Justin Starren, M.D., was appointed director of the Marshfield (Wis.) Clinic Research Foundation’s new Biomedical Informatics Research Center, which will include a focus on the use of information, data and knowledge in biomedical domains. Starren, 47, was associate professor in the departments of biomedical informatics and radiology at Columbia University, New York. CONTACT US Department Phone Fax E-mail Editorial Advertising Subscriptions 312-649-5418 312-649-5350 888-446-1422 312-280-3183 312-397-5510 313-446-6777 [email protected] [email protected] [email protected] GROUPS Michigan Medical, a Grand Rapidsbased physician group, named Ted Inman, 51, vice president of operations and general counsel, its new CEO. Former CEO James Buzzitta, Editorial mailing address Modern Physician 360 N. Michigan Ave. Chicago, Ill. 60601 To learn more about our other publications, please visit: modernphysician.com modernhealthcare.com
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