Becker's Healthcare June 12, 2024
Patsy Newitt

ASCs nationwide are facing rising operating costs that are outpacing dwindling reimbursements.

Matt Kraemer, administrator of Northern Arizona Healthcare in Flagstaff, joined Becker’s to discuss the ramifications of this disparity and how his team is handling it.

Editor’s note: This response was edited lightly for clarity and length.

Question: What are the ramifications of ASC reimbursement costs not keeping up with rising costs?

Matt Kraemer: Ultimately, the more your operating costs rise without an increase to how you’re compensated, your margin is going to reduce. It’s not rocket science. You can only sustain that reduction in margin for so long as inflation and overhead continue to rise.

One option is to control the costs. I think healthcare...

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