Newly proposed Medicare Physician Fee Schedule (MPFS) regulation and impact imaging center value

On July 5 the Centers for Medicare and Medicaid Services (CMS) released the Proposed Medicare Physician Fee Schedule (MPFS) regulation for 2013. Doug Smith, author of the Guide to Healthcare Valuation chapter on Imaging Centers Valuation shared this analysis from Integrated Medical Partners (in which he is a partner) on the impact on Imaging Centers:

"Under the proposed rule, the 25% MPPR for CT, MRI and Ultrasound will be extended to include both the professional component of services rendered to the same patient on the same date by different physicians within the same group practice (same group NPI). New 25% MPPR?'s are proposed for the technical component of certain cardiovascular and ophthalmology services. We note that the scope of the cardiovascular services include many frequently performed by radiologists and imaging centers."

You can read the full text of the Proposed Rule here.

Chair's Comment: The Proposed Rule on the MPFS is one of the key means of assessing future risk in healthcare finance and valuation. It is a critical read for those wishing to be on top of Industry trends.