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New Study Shows 'No Medicare Savings' if Congress Moves Against Physician Owned Hospitals.
Date:12/17/2009

t treated in a POH will cost the Medicare program on average $734 (4.6%) less than a similar patient receiving the same treatment in a non-POH.
  • For a subset of high-volume cardiac and orthopedic procedures performed at POHs and non-POHs in the same community, allowed Medicare charges for POHs were 6% less than allowed charges for nearby non-POHs.
  • Both the U.S. House passed health care reform bill and the bill under consideration in the U.S. Senate already spell economic trouble for nearly all of the state and local economies where hospitals owned by physicians are located. The economic impact is placed at a loss of well over $5 billion and could eventually cost up to 100,000 jobs.

    "In allowing the attack on physician owned hospitals to remain in the health care bill, nothing is gained, the only results are incredibly negative economic impact, and loss of healthcare access," said Sandvig.

    PHA is asking House and Senate members to take a second look at the effort to undermine physician owned hospitals since the core economic argument, projected Medicare cost savings, has vanished. "When members of the United States Congress understand the senseless chaos these provisions will cause in many communities in 37 states, with absolutely no benefit to Medicare, we are confident they will be changed," added Sandvig.

    Physician Hospitals of America (PHA) is the national organization representing more than 220 hospitals owned and operated by reform-minded physicians themselves. PHA is on the web at: www.physicianhospitals.org.

    The Oxford Outcome study by Dr. John Schneider is available for download as a .pdf at:

    SOURCE Physician Hospitals of America
    Copyright©2009 PR Newswire.
    All rights reserved

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