During an investor call Aug. 6, DaVita HealthCare Partners Inc. CEO said that "inevitably some centers will close" if the Centers for Medicare & Medicaid Services moves ahead with its proposed 9.4% cut to the payment bundle for the End Stage Renal Disease Program.
"Almost inevitably some centers will close, actually inevitably some centers will close."
"This is exceptionally frustrating given already dialysis providers lose money on Medicare patients and charge private patients significantly more in order to subsidize government patients," Thiry said after reporting less than expected earnings from its new acquisition of HealthCare Partners Inc."It is our understanding at this point that CMS felt compelled to focus on a very narrow sliver of the bundle having to do with pharmaceutical utilization … We disagree with that interpretation and are making that point vigorously."
"If they cut reimbursement there will be changes to patient access to care, there is no two ways around it … Almost inevitably some centers will close, actually inevitably some centers will close. And they will tend to be those centers that serve the most vulnerable patients. We have carried a lot of centers that lose money overall in aggregate, trying to be a good citizen of the system. But if they cut reimbursement, at some point it becomes impossible to do that everywhere."