This MSN article states that doctor-owned hospitals are on the rise. In California, the opposite is the case. The hospital business is a lousy business in which to be. I would rather open a surgical facility. I had an opportunity to be a part of a group that bought a hospital a few years ago and passed.
In California, real medicine is going into the toilet as doctors realize that the work they have put in to get educated makes practicing fairly unrewarding. Niche markets and gimmicks are replacing the conventional medical landscape. That’s the reason we have so many non-plastic surgeons turning to cosmetic work. The bottom line is that you need to pay doctors enough so they can make a decent living or they will find something else to do.
Sad but true.
*This blog post was originally published at Truth in Cosmetic Surgery*
With the new healthcare reform bill signed into law, the fate of physician-owned hospitals was sealed:
The bill Congress passed in March includes a ban on new physician-owned hospitals and freezes those already in business at their present size. Doctors hold a one-third interest in Avera Heart, which opened in 2001, so the bill President Obama signed would prevent that facility from ever growing.
The law change, in effect, leaves expansion of treatment of cardiovascular disease open for Sanford to dominate locally in coming years — if in fact that field of medicine grows. Avera Heart says such growth is not a given, because people are living healthier and have less need for emergency care. (Argus Leader)
While it’s easy to point to the potential conflict of interest inherent to physician-owned medical facilities, it’s not so easy to demonstrate that non-physician-owned hospitals don’t have similar conflicts with generating profits. After all, continuing to build large $78 million expansions requires hospitals of any kind to achieve a return on their investment in order to continue operations. Read more »
*This blog post was originally published at Dr. Wes*