Last of the Physician-Owned Hospitals Opening in Pennsylvania

The Physicians Care Surgical Hospital will be the last physician-owned hospital to open in Pennsylvania and one of the last in the country, according to a report by the Philadelphia Inquirer.

The Royersford, Pa.-based facility opens Oct. 25 and another physician-owned hospital, OSS Orthopaedic Hospital, a 30-room, four-OR facility in York, Pa., opens Oct. 18. An official at the Pennsylvania Department of Health knew of no other hospitals in this category under construction in the state.

Nationwide, eight hospitals are under construction that could finish in time to comply with a ban on new physician-owned hospitals under the healthcare reform law, which starts on Jan. 1, according to Physician Hospitals of America. However, PHA said the ban would undermine 84 projects that had been under development.

The $23 million Physicians Care Surgical Hospital has 12 beds, five ORs and 25 surgeon-owners. Managed by Nueterra Healthcare, it will cover general surgery, gynecology, oral and maxillofacial surgery, ophthalmology, orthopedic surgery, otolaryngology and pain management. It is expected to host 30 surgical cases a day.

Frederic Liss, MD, a hand surgeon who is chairman of the board and medical director of the new hospital, said competition with nearby hospitals would produce innovations and give patients more choices. "I did a gut check and said, 'Is this about money?'" he said. "For me, it's not."

The CEO of nearby Phoenixville (Pa.) Hospital said he would lose patients because surgeons at the new hospital have been bringing their cases to Phoenixville Hospital. To "make sure there are no gaps in services," he said the hospital has developed new partnerships with the Philadelphia Hand Center and Moore Eye Institute.

Read the Philadelphia Inquirer report on physician-owned hospitals.

Read more coverage on physician-owned hospitals:

- Ban on Physician-Owned Hospitals Forces Ownership Transfer of Nebraska Hospital


- Challenging the Ban on New and Expansion of Physician-Owned Hospitals: Q&A with Dr. Mike Russell of Texas Spine & Joint Hospital

- Director of Physician Hospitals of America to Take New Job to Open New Joint Replacement Hospitals


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