This month, we’re exploring the business case for cardiac CT, listing and evaluating the variables that factor into the decision-making process. “It’s a complicated equation,” warns John Lesser, MD, co-director for cardiac CT at Minneapolis Heart Institute in Minnesota. Developing a fiscally sensible cardiac CT program hinges on multiple variables including: volume, procedure mix, staffing, local reimbursement and workflow. Variable No. 1: Referrals One of the first factors to consider in the cardiac CT decision-making process is the local patient population. Are there enough cardiologists referring cases to generate a volume of studies to support the breakeven point? “Practices require a base mass of cardiologists to make cardiac CT cost-effective,” says Vance Chunn, CEO of Cardiology Associates in Mobile, Ala. Although exact numbers vary, Chunn estimates that practices of 10 or more physicians can sustain the investment. Groups of five or six, on the other hand, may struggle to make ends meet, particularly if one or more physicians is not committed to cardiac CT. Estimates of the minimum daily volume vary from four to eight scans. For some sites operating a cardiac CT program using a 64-slice system, the break-even point is a minimum of four CT angiograms a day, says Matthew Budoff, MD, director of cardiac CT at UCLA Harborview Medical Center in Los Angeles. Practices need to factor in staff and rent costs, which could raise minimum volume to six or eight studies. Financing is another challenge. “In the current [U.S. economic] climate, practices need to understand what financing companies require,” cautions Tony DeFrance, MD, medical director of CVCTA Education Center in San Francisco. Vendors may require both corporate and personal guarantees when financing a new system. Auxiliary exams provide critical breathing room. In fact, most practices employ a three-legged business model that includes CT angiography, peripheral vascular studies and calcium scoring. Peripheral vascular studies represent a critical supplement and may be reimbursed at a higher rate than cardiac CT exams, depending on the location. At Cardiology Associates, peripheral vascular volume accounts for nearly half of its CT volume. Cardiology Associates also uses calcium scoring to boost revenue derived from its GE Healthcare LightSpeed VCT 64-slice scanner with patients paying $125 for the unreimbursed procedure. (In some parts of the country, private payors and Medicare cover calcium scoring.) Local primary-care physicians embrace the study because it helps them determine how aggressively to treat patients. Calcium scoring requires seconds of scan time, and does not require administration of beta blockers or contrast. Scores are computed automatically at the workstation, and cardiologists typically spend five to 10 minutes meeting with patients after the study. Other supplementary options include non-cardiac studies including chest CT exams or head and neck CT studies. DeFrance, for example, partners with a radiologist and uses Toshiba America Medical Systems Aquilion 64 and Aquilion One scanners for general body CT exams in addition to cardiac studies. Secondary costs A state-of-the-art cardiac CT scanner is a seven-figure investment, but imaging technology isn’t the only cost variable to enter into the equation. “People tend to under-appreciate the IT investment associated with cardiac CT,” says De France. A cardiac CT program requires at least two dedicated workstations and software. Sites should budget $100,000 or more for each workstation, says Lesser, whose 45-cardiologist group employs Siemens Healthcare’s Somatom Definition Dual-Source CT scanner and Vital Images Vitrea workstation as part of its comprehensive patient services. Other essentials include DICOM storage. Cardiology groups that haven’t yet invested in PACS may be at a disadvantage compared to their radiology peers because most radiology practices can scale PACS to include cardiac CT studies. Some groups do manage without PACS. Cardiology Associates, for example, has stored cardiac CT studies on optical disk since 2005. But that is far from the norm.
Small or new cardiac CT practices may bypass a dedicated nurse. If daily CT volume hovers around three studies, the physician can administer beta blockers; however, as volume increases the back and forth becomes a productivity issue, says DeFrance, who recommends hiring a dedicated nurse when daily volume exceeds six to eight cardiac scans. Michael Ridner, MD, director of cardiac CT for The Heart Center, a full-service cardiac imaging practice in Huntsville, Ala., puts the cardiac CT staffing equation in perspective. The Heart Center completes 25 to 30 cardiac CT weekly on its Siemens Somatom Sensation Cardiac 64 with a staff of three: one tech and two nurses. In contrast, the nuclear department relies on a staff of 15 to complete 35 to 40 nuclear studies daily. “CT doesn’t require a large staff. On the other hand, nuclear studies are very labor intensive for staff and time-consuming for the patient,” sums Ridner. The average nuclear study is a three-to four-hour patient visit. In contrast, cardiac CT patients may be in and out of the office in less than an hour. Reimbursement, marketing and more Cardiac CT reimbursement remains a work in progress. The Centers for Medicare & Medicaid Services (CMS) has not yet issued a national coverage determination, so reimbursement is decided at the local level. Third-party payments also vary across the county. Consequently, education of local payors becomes part of the program. Cardiology Associates, for example, initiated an aggressive educational campaign focused on the medical advantages and cost-savings associated with cardiac CT when it deployed its scanner in April 2005. The arguments are compelling; the negative predictive value of cardiac CT is 99 percent, which translates into fewer negative invasive catheterizations. The price tag of a conventional invasive cath study with hospital stay comes in the $4,000 to $5,000 range, so replacing unnecessary caths with a cardiac CT study makes sense, says Chunn. Experienced centers do see cardiac CT evolve into a substitute for other imaging modalities, which could help convince reluctant payors. Take for example The Heart Center. The 30-cardiologist practice initiated its cardiac CT program in 2005 and has seen significant changes in other imaging procedures. “Nuclear stress perfusion volume has dropped by 10 percent,” shares Ridner, “which is appropriate because it isn’t an ideal test for detecting coronary artery disease.” In fact, data show that nearly 50 percent of patients with coronary disease documented by cardiac CT produce normal perfusion results. Invasive catheterization volume also increased. The Heart Center realized a 10 percent increase in total invasive cath volume with a 25 percent decrease in normal studies. That’s because fewer patients with equivocal stress perfusion results are referred for diagnostic cath studies. In many cases, the cardiologist orders a cardiac CT prior to other diagnostic imaging tests, which eliminates diagnostic cath studies for patients with negative results. In addition to educating local payors, a practice needs to develop a plan to educate local physicians. The physician champion is essential, says DeFrance. One physician needs to commit to educational talks that encourage physicians to reconsider referral patterns. Smart practices hold educational seminars once weekly for several months as the cardiac CT program ramps up. Optimizing workflow South Florida Medical Imaging Cardiovascular Institute in Boca Raton, Fla., is one of the nation’s premiere outpatient imaging centers. The state-of-the-art facility features a Society for Cardiac Computed Tomography-accredited teaching center. Cardiac CT solutions include Philips Healthcare Brilliance 64-slice scanner, Philips Brilliance workstation and 4.0 software and Philips Brilliance Everywhere thin-client portal. The institute, which averages seven to 12 cardiac CT scans daily, has mastered the nuances of cardiac CT workflow. The goal for cardiac CT is to have the patient in and out of the room in 15 minutes, says Claudio Smuclovisky, MD, director. South Florida Medical Imaging, the model of hyper-efficiency, regularly achieves patient turn-around time of 10 minutes or less, including administration of intravenous beta blockers. One critical ingredient in the recipe for optimum workflow is the holding area. Patients may require additional beta blockers or post-scan monitoring. Using external holding areas minimizes the time on the table and frees the scanner for additional patients.
South Florida Medical Imaging weds its hands-on clinical model with high-tech. Cardiac CT requires a minimum 1 gigabyte network for rapid data flow, says Smuclovisky. In addition, Philips Brilliance workstations are equipped with 16 gigabytes of RAM to facilitate loading and manipulating 4,000-slice studies. The workstation also incorporates concurrent analysis and review screens to minimize time-consuming, back and forth toggling between screens. On the reporting side, Smuclovisky and colleagues use a robust voice recognition system with templates to produce comprehensive, multi-page reports outlining the extent of coronary disease, cardiac function and more. After a radiologist and cardiologist review the study, it’s signed electronically and faxed to the referring physician, usually within hours of the study. The ability to provide high-quality service and a comprehensive report is the cornerstone of the center’s marketing plan. “We’re a boutique practice. Our goal is to be the best, which means providing a precise report that answers the cardiologist’s clinical questions.” Smart business Cardiac CT continues to gain momentum, and the swell will continue as reimbursement improves and clinical data accumulates. Entering the market is a major business decision. Sound plans are comprehensive and take into account a variety of factors: physician and payor education, imaging and IT investments, staffing patterns and supplemental studies. The right mix will produce positive outcomes including more comprehensive patient service and a more solid, diverse bottom line.
Last updated on March 13, 2009 at 3:39 pm EST
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