Speaking of PETs, why are so many centers reluctant to get them? You are interested in buying one, but smaller hospitals are not, viewing them as negative ROI, and instead prefer to have a mobile unit once a week with appointments booked a month out. I've never been privy to the pro forma on these, but I've seen this at multiple places. Why do you think this would be profitable but these hospitals view it as an unacceptable cost center? Is it the initial capital outlay that's the problem or is reimbursement actually negative for this service? What's the typical break-even in terms of volume?
It’s almost always due to CON rules.
In many states, there are cost thresholds where if you are below the cost threshold, the level of regulatory review (aka the degree of uncertainty to getting the damn scanner approved) is lower.
For example, in my state, imaging equipment was partially exempt from review if the total cost of the project was less than $3mil. However, PETCT specifically is carved out as always requiring extra scrutiny with population assessments of expected cancer rates and other anticompetitive garbage.
If they opt for a mobile scanner with limited service AND there is more than enough volume to fill it every day, that decision was almost certainly to skirt under some threshold.
They are very profitable for FDG & even more so in an IDTF situation because you can bill the tracer separately. Cms rates are excellent. I’d jump at the chance to buy one and be bound to accept only cms reimbursement. But I can’t even do that. And I have tried multiple times.
Hospitals have an accounting dislike because of the quirk of pass thru billing in that tracers get bundled after 2-4 years. Some tracers are very expensive. PYL was 4500 for us at cost. That eclipses the total reimbursement and is why most places have switched to GaPSMA because the kits and cheaper even when you have to buy the Gallium generator.
It’s actually best to have a fleet of hospital based and IDTF scanners and actually schedule the tracers based on pass thru status.
In my area, next available appointment are more than 5 weeks at the mega system I used to work at.
I would love to get a truck scanner and would get my CDL and drive it myself. But it’s illegal. For now.
And I live in a “red state”. It’s a 100% anticompetitive legal framework that should be burned to the ground.