Compass Partners with Local Surgeons in Specialized Joint and Spine Center

June 11, 2020 – Odessa, F.L. and Raleigh, N.C. – Compass Surgical Partners announcedExterior rendering 3 a partnership with local physicians in newly constructed Comprehensive Outpatient Joint & Spine Institute (COJSI) in Odessa, FL. COJSI specializes in total joints, sports medicine, spine procedures, and pain management. This partnership brings together multiple reputable physician groups in the area, including surgeons from Florida Joint Care Institute, NeuSpine, and WCMI Ortho.

“This surgery center will deliver a world class patient experience that exceeds hospital care,” said Dr. Jennifer L. Cook, total joint surgeon and partner in COJSI. “As a center of excellence for outpatient joint, spine and orthopaedic cases, COJSI will bring exceptional care to our patients in Odessa and the surrounding area.”

Slated to open this summer, COJSI has 3 operating rooms in a 12,000 square foot facility, with specialized staff to care for orthopaedic and spine cases. COJSI offers patients the option to have their orthopedic, spine, or pain management procedure performed outside the hospital setting. Because it is focused on musculoskeletal procedures, COJSI will be able to deliver superior patient care, more conveniently to its patients, and at lower costs.

“COJSI is the first of its class in the area—a specialized center for outpatient joints and spine procedures. From the start this group of physicians had incomparable energy for this project, which is essential to a successful partnership. Compass is thrilled to partner with these high-quality, committed surgeons,” said Scott Bacon, Compass VP of Business Development.

COJSI will be accredited by the Accreditation Association for Ambulatory Health Care (AAAHC), the standards of which demonstrate a commitment to quality and a deep concern for patients. Compass is honored to be a part of COJSI and to be partnered with a such a dedicated group of providers.

About Compass Surgical Partners
Headquartered in Raleigh, N.C., Compass Surgical Partners creates high-value partnerships that provide exceptional surgical services to local communities. Compass manages and develops Ambulatory Surgery Centers (ASCs) and is dedicated to supporting a growing demand from patients for additional options for outpatient surgery traditionally performed in the hospital setting. For more information, please visit www.compass-sp.com.

Aren't All ASC Management Companies the Same?

Insights from an ASC Expert
Scott Bacon

May 25, 2021 - Aren’t all ASC management companies the same?

Definitively, no. All ASC management companies should bring professional expertise and guidance to Insights 3 May 2021 smalljpgyour ASC project, but almost every ASC management company’s economic model is unique. Let’s dive deeper into the primary differences and discuss how to maximize your return on investment.

  1. Majority vs. Minority – In the ASC industry, most firms fall into one of two “buckets.” The first group requires a majority equity interest (>51%) in an ASC partnership. These firms typically have ready-made ASC rates with the commercial payers (depending on the market).

    The second group is comfortable holding a minority equity interest (<50%) in the ASC partnership. Firms in this group have various equity ownership requirements, with some companies offering a sliding scale based on their financial model/offering (i.e. development fee, management fee, revenue cycle fee, etc.).

  2. Governance/Control – Firms who own a majority interest in an ASC partnership typically require controlling provisions in the operating agreement, primarily for two reasons: (i) It’s the largest shareholder and wants to protect its investment, and (ii) The commercial payor relationships require a ‘controlling interest’ in an ASC for their rates to apply.

    Minority firms typically have physician-friendly governance requirements in the partnership agreement, though minority firms will not cede all rights, as they want to protect their investment as well. In this scenario, these firms provide expert guidance to surgeon partners to ensure the partnership makes solid business decisions.

  3. Commercial Payor Rates – This should not come as a surprise, but the majority firms typically have better reimbursement rates to offer to their ASC partnerships. For these to apply, the tradeoff to the surgeon investors is less equity and control.

    Some minority firms have ready-made ASC rates while others do not. For those firms without available rates, they will lead rate negotiations with the payors in the respective state. Ensure the firm has experience negotiating rates with commercial payors for a de novo ASC and determine their likelihood of success. Some factors to consider: (1) is the market saturated with other ASCs, (2) what percentage of cases will be transitioning from the hospital setting (higher cost) to the ASC (lower cost), and (3) what is the specialty mix of cases to be performed in the ASC? This topic deserves focus while evaluating ASC partners.

So where do I begin, and what’s the best fit for a new ASC?

If I were preparing to develop an ASC, should I consider a majority or minority management firm to partner with? Here are three reasons to start with a minority firm.

  1. You maintain more equity in the partnership and thus a higher financial upside both short-term and long-term (more below).
  2. You have input and control on key partnership and project decisions early in the process (i.e. equipment, floorplan, staff, location, lease terms, etc.) as well as throughout the partnership.
  3. You maintain the ability to sell a majority equity interest (to a hospital or a majority ASC firm) which could create a significant liquidity event for the surgeon investors. Fair market value for the purchase of a majority interest in an ASC is approximately 8 times its TTM EBITDA. If you’re unfamiliar with TTM or EBITDA, contact me to discuss this important topic.

While every situation is unique and should be discussed with multiple firms to get a feel for the right fit, there is a clear recipe to maximize economic returns. I would be happy to discuss your situation in detail to offer professional guidance accordingly.

If you’re interested in developing a new ASC but don’t know if it’s financially feasible or where to begin, request a customized proforma by emailing me at This email address is being protected from spambots. You need JavaScript enabled to view it..

How Many Nurses Are on the Compass Team?

May 6, 2021 - Did you know there are 3 nurses on the Compass team?Jamie Stacy Cropped 2

For #nationalnursesweek, we want to recognize our incomparable nurses: Chief Clinical Officer Beth Derby, VP Operations Stacy Danahy, RN, CNOR, and VP Facility Development Jamie Heater, RN.

We couldn't do this work without you. You make and keep our centers safe so patients can have their best experience. And your compassion, optimism, and kindness make us a better team. Thanks for all you do!

See Stacy and Jamie at right at one of our developing centers.

4 New ASCs in 2021

May 4, 2021 - With three new centers announced or opened in 2021 and a fourth on the way, there's a lot of excitement here at Compass.

Recently, Director of Development William Holding spoke with Patsy Newitt at Becker's Healthcare naming 3 keys to Compass' growth in the past year.

Innovations in the ASC Industry with McDermott Will & Emery

May 3, 2021 - What innovations are coming in the ASC industry?

Don't miss McDermott Will & Emery's ASC symposium May 6-7. During "Innovations in the ASC Industry," Compass CEO Darin Hill and others will discuss the continued migration of surgical procedures to the outpatient setting, the uptick in de novo ASCs, unique ASC/PPM partnerships, a fresh look at bundled payments, and more.

Looking forward to the conversation with Sara Bressman and Paul Jawin, moderated by Adam Rogers.

Our mission is to create high-value partnerships that provide exceptional surgical services to the local communities and provide a positive return on investment to each partner.

Compass Surgical Partners