by Beth Derby

My very first surgery center was 1978, when nobody knew what an ambulatory surgery center was, including me. I was brought in long after the design had been completed. The construction had already begun, and I was asked to outfit the place, to go buy things. I suppose if that facility had failed, I would have gone back to running the Yale Recovery Room and would’ve never had a career in ASCs.

It was Temple Surgical Center in New Haven, CT. We started with 4 ORs and eventually grew to 6. The flow was awkward and the rooms small, but even then, space was used to maximize patient flow. People walked into the OR. Actually walked in!

What we didn’t know in 1978 could’ve filled 500 books. We learned with each project and then applied the experience to each of our future centers. That original company in Connecticut went on to build 6 more centers in every major city in Connecticut. The model for the facility grew over time. And since then, the model has become even more sophisticated. 

May 5, 2022 – Raleigh, NC, & Chicago, IL  —Compass hires Michael Wegmann to join the Compass team as Vice President of Business Development for the western region. With that, BLÜPRINT ASC Consulting Services becomes part of Compass Surgical Partners.

Most recently, Michael led BLÜPRINT ASC Consulting Services which provided surgeons and ASCs with a customized blend of services and solutions involving managed care, efficiencies, patient engagement, data collection, and development. BLÜPRINT helped surgeons and ASCs prepare for the mass migration of surgical procedures to the outpatient setting. Before that, he’d excelled at Surgical Care Affiliates and various medical device sales.

Insights from an ASC Expert, by Scott Bacon

What are the benefits and what unforeseen hurdles should it be aware of before proceeding?
This month’s ‘Insights from an ASC Expert’ column is focused on health systems considering the conversion of a hospital outpatient department (HOPD) to an ambulatory surgery center (ASC). Reimbursements for cases performed in an HOPD are greater than those same cases being performed in an ASC setting. For this reason, conversion of these outpatient facilities to licensed, free-standing ambulatory surgery centers has been slow to occur over time. However, the pace of conversion is increasing.

Why Would Health Systems Convert HOPDs to ASCs?
Among many reasons, a few stand out:

1. Physician Demand. Employed, affiliated, or aligned independent physicians are pushing health systems to provide ASCs in which surgeons have more control, greater efficiency, less bureaucracy, and financial upside.
2. Hospital Protection. By creating alignment with surgeons in an ASC, those relationships become much stickier. In particular, it’s a tool to prevent employed surgeons from leaving or aligning with competitive systems or practices.
3. High-acuity Case Migration. CMS continues to approve higher-acuity cases to be performed within the ASC setting, meaning the majority of outpatient appropriate surgery can now be performed and billed in a licensed ASC.
4. Commercial Payer Requirements. Pre-authorization requirements from commercial payers. These payers are requiring certain case types be performed in the lower cost ASC setting.

April 4, 2022 – Raleigh, NC 
Compass Surgical Partners has appointed Robert Carrera to serve as its next Chief Operating Officer. As the nation’s high-performance joint and spine Ambulatory Surgery Center developer/manager, Compass tapped Carrera to deliver industry-leading performance and to continue to execute its mission to cultivate high-value partnerships that deliver exceptional surgical services to local communities.

Carrera brings over 30 years of healthcare experience and leadership, with the last 20+ focused exclusively on the ASC industry. In 2020 he concluded 15 years as President and CEO of Pinnacle III where he had oversite of the development and management of 40+ surgery centers primarily in the musculoskeletal (MSK) arena.

Raleigh, NC - March 11, 2022 // Compass Surgical Partners (Compass), a full service, independent
developer and manager of ambulatory surgery centers (ASCs) announced a minority investment by Health Velocity Capital, a growth equity firm that invests exclusively in innovative healthcare services and software businesses. Concurrent with the financing, Marty Felsenthal, Health Velocity Capital Partner, joined Compass’ Board of Directors.

Ambulatory surgery centers (“ASCs”) are freestanding surgical facilities that serve as a convenient, low-cost, same-day-surgery surgery option for patients. Buoyed by clinical advancements allowing most surgeries to be provided safely in ASCs, the majority of surgeries have migrated into these centers.

Over the past few years, this trend has accelerated even faster with new technology, the adoption of safer and more effective techniques in anesthesia, and surgeons’ increased experience in non-hospital settings. COVID-19 both re-affirmed and accelerated the shift as ASCs become important tools to help alleviate hospital capacity. “Given the tailwinds in the market, we saw a window to further catalyze opportunities to develop high-quality ambulatory surgery centers with trusted partners,” said DJ Hill, CEO of Compass. “Our team has developed and managed more than 250 ambulatory surgery centers over the course of our careers, and we have high conviction that the outpatient migration is accelerating and that providers deserve dedicated, independent partners to deliver superior clinical and financial results. Partnering with Health Velocity Capital will benefit our joint ventures, as the firm has deep expertise in rapid innovation deployment and shares our belief in the importance of high-quality ASCs.”