WV HEALTH CARE AUTHORITY

AMBULATORY CARE CENTERS

CON STANDARDS MEETING

10/28/2008 – 1PM ET

Conference ID 137202

 

 

 

Ms. Sonia Chambers:  All right, why don’t we, it’s 10 after, why don’t we go ahead and get started, my name is Sonia Chambers, and I’m chair of the West Virginia Health Care Authority.  I believe on the phone is Marilyn White, one of the other board members.

 

Ms. Marilyn White:  I’m here.

 

Ms. Sonia Chambers:  And Sam Kapourales, who will be arriving here momentarily.  He’s running a little bit late.  For those of you who have not participated in one of these prior meetings, we are going through a process agreed to by the legislature, getting input from the various, I guess, stakeholders, interested parties, around whether we ought to continue to subject certificate of needs, certain services, that are currently regulated by certificate of need.  The legislature is looking at that issue more generally, and has asked us to convene groups and get input around each of the specific types of services.  We will be providing the comments from today’s meeting, which I’d like to remind you, we are getting transcripts, we are recording these calls and meetings, and we are getting transcripts, those will be available on the website.  I would also welcome you to submit any written comments you would like to about this set of issues today.  Please direct those to Dayle Stepp, our director of Certificate of Need, and have those in within 30 days.  We will provide all of that to the legislature.  With that as background, I’d like to first go around the room here, see who’s on the phone, and then, Dayle will briefly go over the standards and any other material we might have, and then we’ll just open it up for comments and discussion.  So, again, I’m Sonia Chambers.  We’ll go around the room here, and then we’ll see who’s on the phone.

 

Mr. David Jarrett:  I’m David Jarrett, with CAMC.

 

Ms. Jill McDaniel:  Jill McDaniel, Hospital Association.

 

Mr. Joe Letnaunchyn:  Joe Letnaunchyn, Hospital Association

 

Ms. Lindsay Darling:  Lindsay Darling, Jackson & Kelly.

 

Ms. Nora McQuain:  Nora McQuain, I’m with the Bureau for Medical Services, Medicaid

 

Ms. Raymona Kinneberg:  Raymona Kinneberg, Bill J. Crouch Associates

 

Ms. Sheila Kelly:  Shelia Kelly, CON division.

 

Mr. Tim Adkins:  Tim Adkins, Health Care Authority, CON division.

 

Ms. Martha Morris:  Martha Morris, with the Insurance Commission and consumer etiquette division.

 

Ms. Marianne Kapinos:  Marianne Kapinos, General Counsel.

 

Ms. Cindy Dellinger:  Cindy Dellinger, the Health Care Authority.

 

Ms. Kay Myers:  Kay Myers, Health Care Authority.

 

Ms. Sonia Chambers:  Okay, and on the phone?

 

Mr. Phil Wright:  Phil Wright, over at The Health Plan.

 

Mr. Gary Murdock:  Gary Murdock, WVU Hospital.

 

Ms. Angela Swagger:  Angela Swagger, WVU Hospital.

 

Mr. Ed Hamilton:  Ed Hamilton, Mountain State Blue Cross Blue Shield.

 

Unidentified Female:  [unintelligible], WVU Hospital.

 

Mr. Bob Coffield:  Bob Coffield, Flaherty, Sensabaugh & Bonasso

 

Ms. Sonia Chambers:  Anybody else?  Okay.  Dayle, why don’t you go through the standards briefly?

 

Mr. Dayle Stepp:  The ambulatory care center, starting with the definitions, the first definition is Private Office of Health Professionals.  This kind of outlines what a private practice of a health professional is, and it says private office practice is exempt from certificate of need review.  It says the facility which meets any part of the definitions of ambulatory care centers is not a private office practice for purpose of this standard and is subject to review as an ambulatory care center.  Then defined ambulatory care centers as freestanding facilities staffed with one or more health care professionals, that serve on an outpatient basis, an ambulatory care center, if they require medical equipment over the threshold value, or they fall under one of the categories: community based primary care center, urgent care center, diagnostic center, ambulatory surgery center, which we already had a meeting on, or an outpatient behavioral health center.  Need methodology is generally what we see as, what’s called the general, or general need methodology, wherein the applicants have to show a specificity that there’s an unmet need, does one have a negative impact on the community at the most cost effective.  They have to define their service area, document expected utilization for the service to be provided for the population, this can be expressed as a number of providers typically required service in a given population, a number of persons that’s typically served by a single provider.  Then they have to estimate the number of existing providers in the service area and the extent to which the demand is being met.  It says where expected, utilization, expected utilization is expressed as a number, providers typically serve in a given population, shall be sufficient to share the ratio providers to the population in the area is below the expected number.  It goes into the quality standard, they have to meet all the licensing certification, their accreditation standards, they have to have a suitable plant, physical plant, adequate staff, effective treatment protocols, administrative evaluation process, they have to develop referral relationships, cost, they have to show that it’s financially feasible, that the charges are comparable to other services in the area, and that all interested persons needing the service or procedures can be served without jeopardizing the financial viability of the project as far as accessibility [unintelligible] it is accessible to the disabled, and preference be given to applicants who demonstrate intent to provide service to all patients without regard to ability to pay.  They have to show that this is the best alternative for the project.  Then it goes into some facility specific community, standards for community based primary care centers, which we won’t go through.  Each of those have their own quality standards in addition to the quality standards for the general application.  That’s basically a quick overview of it.  Also, we have, we don’t have a comprehensive listing of every ambulatory care center, because there’s so many different variations of it, but we printed out from the licensure website all federally qualified health centers, all real health clinics, there’s 121 at QHCs, and we’ve found 54 real health clinics.

 

Ms. Sonia Chambers:  And all of those documents Dayle referenced will be available on our website.  All right.  We just jump right into comments.  Raymona looks like she had something she’d like to say. 

 

Ms. Raymona Kinneberg:  Well, I think that there could be some changes to this standard, you know, for example, the diagnostic center definition is inconsistent with the regulations.  Behavioral health is no longer under this standard, it’s under a different standard.  I think, in general, that [unintelligible] continuation of ambulatory care centers.  We do have some recommendations that we’ll be putting in a letter in the 30 day comment period.

 

Ms. Sonia Chambers:  Okay.  Joe?

 

Mr. Joe Letnaunchyn:  Nothing to really add to that, other than the comments that Raymona made, but that it should be, our position is that it should remain [inaudible], a review of a service.

 

Ms. Sonia Chambers:  Dave?

 

Mr. David Jarrett:  Yes, our position is that they should remain on the review list as a reviewable service.

 

Ms. Sonia Chambers:  Okay.  Anybody, Lindsay?  Just happy to be here, huh?  Nora, you just continue to be happy to be here, right?

 

Ms. Nora McQuain:  Absolutely.

 

Ms. Sonia Chambers:  All right.  Ed or Phil?

 

Mr. Phil Wright:  Phil.  Question: if, how many, well I guess, back up, how many surgical centers are there?  Ambulatory centers?

 

Ms. Sonia Chambers:  Ambulatory surgery centers?

 

Mr. Phil Wright:  In the hospitals in West Virginia.

 

Ms. Sonia Chambers:  We discussed that last week, and there are –

 

Mr. Dayle Stepp:  11.

 

Ms. Sonia Chambers:  11 of them.

 

Mr. Phil Wright:  And where are they?

 

Ms. Sonia Chambers:  They’re all over the state.  There’s a couple in Huntington, Morgantown, Charlestown, Beckley, Martinsburg, Fairmont, Weirton.

 

Mr. Phil Wright:  As I understand it, if a group of doctors wanted to put a surgery center in –

 

[unintelligible]

 

Mr. Phil Wright:  I’m sorry, I’m saying the wrong thing here.

 

Ms. Sonia Chambers:  Well, Phil, we did, I think you participated, did you not participate in our meeting that we had last week that we had specifically about ambulatory surgery?

 

Mr. Phil Wright:  Yes, I’m sorry, I’m thinking surgery and not ambulatory.  I’m sorry.

 

Ms. Sonia Chambers:  It’s all right.  The standards for ambulatory surgery are embedded in these standards.  But we did try to have a separate meeting about that.  Ambulatory care is kind of a broad –

 

Mr. Phil Wright:  Very broad –

 

Ms. Sonia Chambers:  Yeah, somewhat catch-all, I guess, definition.

 

Mr. Phil Wright:  But these are the standards that apply to the ambulatory surgery center.

 

Ms. Sonia Chambers:  They are embedded, yes, generally yes, and then there are some more specific ones in here.

 

Mr. Phil Wright:  Then I’ll go back to my question.  If an ambulatory surgery center wanted to just get into the market to reduce the price, they couldn’t because of the formula?

 

Ms. Sonia Chambers:  Well, they would have to show a need, and one of the largest, I guess, hurdles, is that the operating rooms in the service area have to be operating at

 

Mr. Dayle Stepp: 40 hours?

 

Ms. Sonia Chambers:  - 40, all of them have to be operating at 40 hours a week to show that there’s an unmet need for new operating rooms.

 

Mr. Phil Wright:  I’m not one for opening it up.  We tried, at The Health Plan, we try to keep our business within a hospital, but there’s nothing competitively driving the cost.  In the ambulatory surgical centers, you are required to keep it in the hospital, and required to keep the rates the way they are, with the increases the way they are.  So there’s no competition to try to keep the rates in check.  Hello?

 

Ms. Sonia Chambers:  Yep.

 

Mr. Phil Wright:  Yep.

 

Ms. Sonia Chambers:  We’re just, we’re absorbing your comment.

 

Mr. David Jarrett:  This is David Jarrett, I don’t know about the rest of the hospitals that are here represented, at our branch, they’re set by the Authority.

 

Mr. Phil Wright:  The hospital rates.

 

Mr. David Jarrett:  Yes, they are.

 

Mr. Phil Wright:  Yes, I know.

 

Ms. Sonia Chambers:  The over, your average is, but not the amount that you charge for a specific surgical case.  So you can really pretty much set your surgical rate as you please.

 

Mr. David Jarrett:  Right.

 

Mr. Ed Hamilton:  And this is Ed Hamilton.  That’s one of the things that I was kind of thinking of yesterday when I brought up the question of, why is this provider not rate regulated?  And that’s something that we’re looking at here to see what the code says, vs. the definitions that are in the code, vs. what’s apparently being applied in practice.  Beyond that, page 9 of this certificate of need guideline talks about operating suites and surgical suites, and I’m looking at item number 2A, and you know, in the past, sometimes the term “treatment room” has been used, and when we look at claims for quote-unquote “procedures,” we’re looking at, well, in the reimbursement genre falls to the category of surgical procedures, which includes treatments, operations, in a broad sense, but you know, we’re paying them based upon surgical codes.  So, you know, if somebody pops up and says, “Oh, that’s not an operating room, it’s a treatment room,” the question then becomes, that’s a treatment that’s probably being paid by a surgical code, therefore it’s a surgical room to us, and under the guideline, I don’t see where there really is a clear differentiation as to whether there is a difference or whether there isn’t a difference.  You know, is there such thing as a treatment room vs. an operating room vs. a surgical suite?

 

Mr. Dayle Stepp:  Ed, this is Dayle, and I’m not sure this, what I think the difference is, operating suite and surgical suite are probably the same, those are sterile environments.  A treatment room doesn’t have to be a sterile environment.

 

Ms. Sonia Chambers:  But I don’t think, I don’t think that we would necessarily, and it would be up to you as to how you pay for different types of services.

 

Mr. Ed Hamilton:  Well, I’m wondering if, you know, calling something a treatment room, it being a non-sterile environment, therefore, it makes it unregulated.

 

Ms. Sonia Chambers:  Didn’t data on the charge, Dayle, include treatment rooms as well as surgery rooms in the count of rooms that were available in the ambulatory?  I think they did.

 

Mr. Dayle Stepp:  Ed, this is Dayle, I’m still not sure whether it’s an operating room, a surgical room, or a – how that affects what you determine to be the payment for that particular service.

 

Mr. Ed Hamilton:  Well, I’m not concerned about our payment methodology.  My question is, if it’s, you know, a room where they do colonoscopy, that’s not necessarily a sterile procedure, but does that fall under this regulation?

 

Ms. Sonia Chambers:  Yeah, Marianne has taken care of.  We, this question does come up periodically, about endoscopies.  And Marianne, the answer is –

 

Ms. Marianne Kapinos:  We have looked at them in the past as surgical centers, because they administer anesthesia.

 

Ms. Sonia Chambers:  Right.  Did you hear the answer to that, Ed?

 

Mr. Ed Hamilton:  Yeah.

 

Ms. Sonia Chambers:  I’m sorry, that was a yes, you heard it, or no you did not?

 

Mr. Phil Wright:  Did not hear it.

 

Mr. Ed Hamilton:  I heard it, I don’t think Phil did.

 

Ms. Sonia Chambers:  Okay, Marianne, why don’t you restate that a little louder.

 

Ms. Marianne Kapinos:  We have looked at endoscopy facilities or at ambulatory surgical facilities in the past, because they administer anesthesia, and that’s one of the [unintelligible].

 

Ms. Sonia Chambers:  So if a room was used solely for endoscopies, it would still be considered an operating room.

 

Ms. Marianne Kapinos:  Right.

 

Ms. Sonia Chambers:  Or surgical room.

 

Mr. Ed Hamilton:  Is that something that maybe should be better defined as to, you know, help broaden that where we’re working with?

 

Ms. Marianne Kapinos:  Written in 1992.  I’m sure there are a number of [unintelligible]

 

Ms. Sonia Chambers:  I think that could probably be addressed in the standards, as opposed to in the statute.

 

Ms. Marianne Kapinos:  Oh, absolutely, yeah.  That’s what I meant.  The standards were written in 1992.

 

Mr. Phil Wright:  You have all these standards.  Who enforces these standards?

 

Ms. Sonia Chambers:  The Health Care Authority does.

 

Mr. Phil Wright:  Do you audit or go into the hospital and do what?

 

Ms. Sonia Chambers:  We require them to submit compliance reports to us for a period of time, and if we, it came to our attention that we thought somebody was not meeting the standards, then we would certainly have the right to do that.  We have periodically sent informational requests to providers who we think are not meeting the standard.

 

Mr. Phil Wright:  How many CONs have you withdrawn?

 

Ms. Sonia Chambers:  Have we actually withdrawn for non-compliance with standard?

 

Mr. Phil Wright:  For this provision, yes.  For ambulatory.

 

Ms. Sonia Chambers:  Ambulatory surgery, we haven’t done anything for ambulatory surgery.  We can condition the CON compliance for three years.  And after that, Phil, we don’t have as much legal authority.

 

Ms. Jill McDaniel:  The hospital’s license, or whatever’s license is in jeopardy if they’re found to be operating a unit without a Certificate of Need, and any billings that are done within that unit are void if they don’t, haven’t been approved by the Health Care Authority.

 

Ms. Raymona Kinneberg:  Phil, this is Raymona Kinneberg, and I’m not sure where you’re going with this.  This standard sets requirements that are in place before you get a CON.  Once there’s a CON, there’s no mandate that you operate at a certain level.  All the ASCs in the state are certified through OFLAC, every one that was on that list last week, and the operating rooms and hospitals are under hospital licenses, so they’re all under oversight in terms of quality, but there’s nothing in this CON that sets requirements as there are in some other CON standards for utilization.

 

Mr. Phil Wright:  I guess that’s my point.  Once you get the CON, then there is no further compliance review other than what was just said.  Once you’re protected, you’re protected.  You don’t have to have the number of hours in the operating room, you don’t have to have the, for renovation, replacement, you don’t have to have the 36, you can be operating at 10 or 20, and nobody would really care, would they?

 

Ms. Sonia Chambers:  If you come in for a renovation, a replacement, or for an additional, like if you wanted to get an additional something, then there are standards.

 

Mr. Phil Wright:  You get those, but once you get those, and you drop below those numbers, there’s no further review, is there?

 

Ms. Sonia Chambers:  Well, there is for three years.

 

Mr. Phil Wright:  Okay, that’s what I didn’t hear.  I didn’t read that anyplace.

 

Ms. Sonia Chambers:  There is for three years.

 

Mr. Phil Wright:  Okay.

 

Ms. Sonia Chambers:  Like, for instance, we have, we have been going back and forth with some cardiac cath providers recently, because they were not necessarily meeting the numbers they needed to make in their original application.  So we have been taking some action.  We have taken action in some cases.  Gary and Nancy and Angela, I’m guessing I know your opinion, but if you’d like to state it.  I guess, still on the phone?

 

Ms. Nancy [??]:  This is Nancy.  We agree that it should remain in the standards as a reviewable item.

 

Ms. Sonia Chambers:  Mr Coffield?

 

Mr. Bob Coffield:  Yes, ma’am!

 

Ms. Sonia Chambers:  Comments?

 

Mr. Bob Coffield:  No comments!  I’m just listening in!

 

Ms. Sonia Chambers:  Just listening in, all right.  Anybody else?

 

Ms. Marilyn White:  Sonia, this is Marilyn.  I don’t know who to address this to, but who could, I want someone to tell me that, okay, it sounds like everyone that’s present on this call feels that we should definitely keep these standards in place.  And who can tell me why?  So, just so that I help, can understand your logic better.

 

Mr. Phil Wright:  Well, I don’t know if I agree with that.  I don’t know if all of us think that, because nobody’s talking doesn’t mean they agree.

 

Ms. Marilyn White:  Okay, okay.

 

Ms. Raymona Kinneberg:  This is Raymona, I want to be clear that we’re all talking about the same thing, which is ambulatory care centers, not including ambulatory surgery centers, because we dealt with those last week.

 

Mr. Phil Wright:  Right.  But in this is also urgent care centers.

 

Ms. Raymona Kinneberg:  Yes, but only urgent care centers that spend more than $2 million in capital expenditures within a 2 year period.  That’s the only part of the definition that applies.  It says, “An urgent care center is subject to the criteria and standards set forth below if it involves the acquisition over a period of two years of medical equipment with a value in excess of [inaudible],” so any urgent care center that spends less than that is not –

 

Mr. Phil Wright:  My question, I guess, on the urgent care centers, is how did the 60 hours get adopted?

 

Ms. Raymona Kinneberg:  This is Raymona Kinneberg.  I want to make sure that there’s another understanding.  There’s a catch-all definition at the bottom of this that says any other ambulatory health care facility, as defined by West Virginia code at the bottom of page 3, some of these definitions don’t apply.  Any health care facility that develops a new site that doesn’t fall under some other standard falls under the ACC, under the Ambulatory Care Facility Standard, so it doesn’t matter what the definitions are in here, if you’re [unintelligible] practice, [unintelligible], you don’t fall under this unless you’re looking at ASCs, which we’re not talking about.  If you are a health care facility, and you develop a new site that’s not a hospital or some other entity that’s covered under another standard, this is the standard that applies.  So we can get all hung up in talking about the different definitions, but the fact is that this applies to all new sites for existing health care facilities that don’t fall under some other standard.  We may need to rewrite standard to make that clear, but that’s what we’re talking about, is new sites developed by health care facilities when one of the other standards has, one of the other CON standards doesn’t apply.

 

Ms. Jill McDaniel:  And this is Jill McDaniel, the Hospital Association.  One area of concern that we particularly have is the diagnostic centers definition, and also, as I’ve mentioned before, in these proceedings, there have been studies of national level about the surgeon spending due to ambulatory surgical centers and also diagnostic centers.  So we think that it’s very critical for [unintelligible] to look at those facilities very carefully.

 

Ms. Raymona Kinneberg:  And one of the things, Marilyn, this is Ramona, in addition to what Jill said in terms of diagnostic services, I think we do need  to look at the definition in here, is that once you develop a site, a new site, so if ambulatory care facilities were not reviewable, once you develop a new site, and that’s a health care facility, you can add anything to that without a CON if it’s not a specific CON.

 

Ms. Marilyn White:  Yeah, and I appreciate all your thoughts.  I guess I was hoping that somebody would help me understand better.  To me, when I look at it, I think, okay, it’s either a quality issue, or it’s a financial issue.  And I just wondered if that wasn’t what people are looking at, what is it?  And what should it be?

 

Ms. Jill McDaniel:  If I may jump in again, this is Jill McDaniel.  I think it’s both.

 

Mr. Phil Wright:  Me too.

 

Ms. Jill McDaniel:  Some actual studies have shown that there are some quality issues, perhaps, in some of these ambulatory settings, that aren’t either licensed or accredited, or subject to the same type of standards that hospitals, and also certified ambulatory surgical centers may be subject to, for lack of oversight has been a major concern, and also the financial aspect, as I mentioned.  It’s both.

 

Ms. Sonia Chambers:  Anybody else want to take a crack at Marilyn’s question?

 

Mr. Phil Wright:  I think it’s a double edged sword, Marilyn.  If you don’t have a competition, you can’t drive the price.  On the other hand, you don’t want to take the volume out of a hospital, or you reduce the quality at the hospital.  It’s a double edged sword.

 

Ms. Marilyn White:  It really is.

 

Mr. Phil Wright:  Sure.

 

Ms. Sonia Chambers:  Phil’s got it all figured out.

 

Mr. Phil Wright:  I figured it out, right!

 

Ms. Jill McDaniel:  I’m sorry, I’m having difficulty differentiating between Phil and Ed on the phone.  You’re not saying who it is.

 

Ms. Sonia Chambers:  That was Phil.  Anybody else?

 

Mr. Ed Hamilton:  This is Ed Hamilton again, at Mountain State Blue Cross Blue Shield.  Is it the intent that the ambulatory surgical center guidelines be separated from the ambulatory care center guidelines, because, you know, we had a meeting last week on am-surge, so to speak, but this guideline obviously encompasses that also.  So is it the intent at some point that those two guidelines be separated?

 

Ms. Sonia Chambers:  Not necessarily.  I just thought, when we were setting up these meetings, Ed, we tried to set them up so that discrete groups of interested parties might be able to attend different meetings.  Ambulatory surgery, while it is included in this, has a bit of a different constituency than ambulatory care generally.  I don’t think there’s necessarily any plan to do that, although I think once we get to the legislative session and see what has finally been decided, then we’re going to need to go back and, I think revisit a number of the sets of standards.  So I wouldn’t rule it out, but I don’t think there’s any preconceived notion about it.

 

Mr. Phil Wright:  Under this definition, Sonia, would a medical home be an ambulatory care center?

 

Ms. Sonia Chambers:  It would depend on how that ambulatory, how that medical home was structured.  Now I’m practicing law, so I’m looking at my lawyers and my CON director here.  If the medical home was a separate practice location started by a hospital with employed physicians, and it was not on campus, then it would fall under this definition.  If a private physician, a primary care physician, let’s say, I don’t know, up your way, if Dr. Comercy[sp?] or somebody, that wanted to become a medical home and was going to do all of that in his current office practice, then it would not be reviewable, because that’s just a continuation of his private practice of medicine.  If it were going to be done in an existing urgent care center, then it would not be reviewable.  If it were going to be done at an existing primary care center, be it a rural health clinic or an FQHC, it would not be reviewable.

 

Mr. Phil Wright:  Take a double standard.

 

Ms. Sonia Chambers:  Well, because the medical home is an extension of that private office practice.  Unless you were going to, all of the sudden, do other things, unless I don’t understand exactly what’s going to have to be done in a medical home, I don’t know that it’s really that different than many current primary care centers or private practitioner office practices.

 

Mr. Phil Wright:  Didn’t you say, though, if a hospital, the physicians off campus, it would be reviewable?

 

Ms. Sonia Chambers:  That is currently the case.  Whether it’s a medical home or not.

 

Mr. Phil Wright:  The only difference is ownership, from private to a hospital home.

 

Ms. Sonia Chambers:  Yes, that is true.  And I think some of the, I think the rationale for this, and I’m just going to key up my understanding of the rationale, and I’m kinda looking at everybody in the room who’s looking at me, saying, “Oh, let’s see how she explains this one!”

 

Mr. Phil Wright:  I’m not trying to put you on the spot, Sonia.

 

Ms. Sonia Chambers:  Well, no, I think that was originally designed to make sure that the playing field with private practitioners was level.  I think the concern by physicians was that hospitals have a lot more financial wherewithal to set up potentially competing practices right across the street from a, perhaps, a single physician practice, and that if the hospital wanted to do that, with all its financial backing, then they had to go through certificate of need.  And that is also no longer on their campus, if they do it on their campus, that’s a different matter, but if they want to go out, branch out, and get into traditional physician office practice, then they have to go through review.

 

Mr. Phil Wright:  Your offices?

 

Ms. Sonia Chambers:  That’s setting up a new location for that institutional facility.  So that’s my understanding.  Now obviously, all this predated me, but that’s my understanding for the rationale.

 

Mr. Phil Wright:  If you had ten primaries wanted to set up an office outside the hospital, again, privately owned, and you had a hospital wanted to have ten doctors in a practice across the street from them, one is reviewable, and the other one isn’t.

 

Ms. Sonia Chambers:  That’s correct.

 

Ms. Marilyn White:  And on that, this is Marilyn again, but Phil, on that theory, I think, it just dawned on me, these ten physicians could, quote, “have their office,” and they could stay open 12, 18 hours a day, and they could do minor surgery, and they could really run, be very competitive, couldn’t they, under this.  I hadn’t thought about that.

 

Ms. Sonia Chambers:  Well, I think the other rationale, Phil, is, as long as you are getting into your traditional line of business, then in your current location, then it’s not reviewable.  If you wanted to get into somebody else’s line of business, and it’s a regulated line of business, then you have to go through review, and the argument kind of cuts both ways.  If a hospital, that is really not traditionally in the business of running private physician office practices, wants to go set up somewhere, and compete with that, then it has to go through review.  The flip of that argument is that, if physicians want to get into the traditionally regulated business of imaging or ambulatory surgery, or ambulatory care, then they have to go through review.  It’s leveling the playing field that cuts both ways.

 

Mr. Phil Wright:  If you look at it that way, yes.

 

Ms. Sonia Chambers:  Unfortunately, those who want things don’t often like to look at it both ways.  They want to look at it only as their way.

 

Mr. Phil Wright:  I’ll shut up.

 

Ms. Sonia Chambers:  No, I think that’s a good question.  And it does seem a bit odd and not fair unless you look at it the way I sort of outlined it.

 

Mr. Phil Wright:  Yep.

 

Ms. Sonia Chambers:  Other comments or questions?

 

Ms. Jill McDaniel:  I had a question related to –

 

Ms. Sonia Chambers:  And you’re Jill McDaniel, right?  [laughter]

 

Ms. Jill McDaniel:  Question related to community based primary care.  Although there are standards here that define, you know, what these facilities are, is there a provision that allows new primary care clinics, either FQHCs or CHCs to be exempt from the Certificate of Need review process?

 

Mr. Dayle Stepp:  Separate regulations, 65-23, that it’s an exemption process.  For new primary care centers, they’re not exempt from Certificate of Need review, but it’s a different process than going through an expedited review.

 

Ms. Raymona Kinneberg:  This is Raymona.  Actually, there’s a couple routes that they can go.  As Dayle said, there’s a separate regulation, I do think it says exemption on it, but you know, there’s a lot of things that could be similar to this that are in that, and that’s one route they can go.  That’s the route that was taken before an additional change to the law, which allows an exemption with the approval of the Office of Community Health Services, the Health Care Authority, so at this point, most things that are done by primary care centers are done through the law exemption, part of that, and I’m trying to remember the last one I did which was a few years ago, a couple years ago down in Summers County, there’s an exemption in the regulation.  I’ve never seen anybody go use this through the CON process, because you’ve got those other exemption avenues.

 

Mr. Dayle Stepp:  [unintelligible] 16-2D-5M is the one where they can request.

 

Ms. Jill McDaniel:  I’m familiar with the provision, I guess I’m asking kind of a hypothetical question, is there a level playing field between these types of facilities and other ambulatory health care facilities that may be providing similar services.

 

Ms. Sheila Kelly:  This is Sheila Kelly.  The primary care centers are still subject to review if they purchase major medical equipment in the amount of two million dollars or more, so if they were going to do anything like imaging, or at least on a large scale, I would imagine, though, it would still be reviewable.

 

Ms. Raymona Kinneberg:  This is Raymona Kinneberg.  In addition, those two exemptions have to be approved from the authority, so if they were proposing something that the authority doesn’t feel fell under either of those exemptions, then they would be required to go under a CON standard.

 

Mr. Phil Wright:  Sonia, is the service area meaningful in this?  We’re talking about the application shall delineate the service area?

 

Ms. Sonia Chambers:  I’m sorry, Phil, your question is the application for what?  For any ambulatory care center?

 

Mr. Phil Wright:  Yes.

 

Ms. Sonia Chambers:  Yeah, they have to delineate a service area.  They can, in some cases, they can propose their own service area, is that correct?  And then, but then we have the ability to decide whether we believe that service area is reasonable and appropriate.

 

Ms. Raymona Kinneberg:  They can document where they currently get patients.

 

Ms. Sonia Chambers:  Yeah, they can come up, create one, say, you know, here are the counties from which we currently get our patients, we would anticipate they would be the same, or if we were going to offer these additional services, that it might grow by this, and here’s our reason for that.  They have to present a service area, and we have to find it credible.

 

Mr. Phil Wright:  Okay.

 

Ms. Raymona Kinneberg:  This is Raymona Kinneberg, if I can go back to what Jill was saying a minute ago, and I think this is part of your question.  I don’t see anything in either of the two exemptions, or in this definition of CON standard related to community based primary care center that would allow them to have an exemption from review in providing diagnostic services.  Is that –

 

Ms. Jill McDaniel:  I was asking more from the perspective that primaries in West Virginia, hospitals actually provide outpatient primary care service as needed through their outpatient department, or through rural health clinics.  And yet there’s a process that seems to exist to enable community health centers to expand within the same service areas that are already being somewhat served, but not making a statement whether they’re underserved or not, it’s just an unlevel playing field, if you will.

 

Ms. Raymona Kinneberg:  But I believe that the Office of Community and Rural Health and the Health Care Authority look at that.  If there were a new application to come through, and I can just sort of think of a few off the top of my head where that has been somewhat of an issue.  And the community and rural health and the Health Care Authority have had those discussions and considered that in looking at an application or proposal.

 

Ms. Sonia Chambers:  Okay.  If there’s nothing else, I thank everybody for their time.  The next meeting we have is –

 

Mr. Dayle Stepp:  October the 5th, on Radiation.

 

Ms. Sonia Chambers:  November the 5th.

 

Mr. Dayle Stepp:  November the 5th.

 

Ms. Sonia Chambers:  Next week, radiation therapy, which is next Thursday, is that correct?  The 5th?  Wednesday.  Next Wednesday.  Post election.  All right, thank you all.

[END]