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Consumers
for Affordable Health Care Applauds DHS Commissioner
for Decision Denying New Surgery Center in Portland
DHS Commissioner Looks
for "Orderly and Economic Development of Health
Facilities" in Maine
Consumers for Affordable Health Care, an Augusta-based
consumer health care watchdog organization, today
applauded the decision of DHS Commissioner John Nicholas
that denied an application to build a new ambulatory
surgery facility in Portland by the Portland Surgery
Center, LLC and ASCOA. Consumers for Affordable Health
Care opposed the project because there was no evidence
that the facility met the specific health needs of
the area to be served and argued that it could increase
costs by increasing the units of services delivered
without improving quality or outcomes.
The application by the physician-investor group,
Portland Surgery Center, LLC, and its 30% partner
Ambulatory Surgical Centers of America, requested
approval to build a two-story 19,000 square foot free-standing
surgery center on Marginal Way in Portland. The projected
costs to build and equip the new facility exceeded
$3 million.
Consumers opposed the project because the physician-investors
failed to show that there was a need for a new surgical
facility in Portland. Joe Ditre, an attorney and director
for the consumer watchdog group, said "The law
requires the applicants show that their project will
'substantially address specific health problems as
measured by health needs in the area to be served'
and they failed to do so. It's pretty straight-forward."
He added, "As a state, we can either spend our
scarce health care dollars on services that are not
needed or we can strategically direct those dollars
to meet specific health needs that improve the health
of our neighbors and communities. We choose the latter."
Commissioner Nicholas agreed with consumers and hospitals
that opposed the project. Moreover, the Commissioner
cited the surgery group's failure to show how it would
be accessible to all residents, including people in
need of free or charity care, and how it would promote
orderly and economic development of health facilities
given losses that it would present to Mercy and Maine
Medical Center. The Commissioner also warned the area
hospitals proposing similar projects that "Mercy
and Maine Medical Center will have the same burden
to demonstrate and document that their proposals will
substantially address specific health problems in
the area."
"Commissioner Nicholas's decision was well-reasoned
and fair. We look forward to working with him and
his staff in the future as expensive projects are
considered. We hope this decision indicates a new
direction of the Department in dealing with rising
costs and quality of care. It's a very welcome decision."
said Joe Ditre, Executive Director for Consumers for
Affordable Health Care Foundation.
"CAHC has long been concerned with the effects
of building new facilities when the existing ones
are not operating at full capacity. Why build a new
facility? Let's use the existing capacity at current
facilities before building new ones. And, most of
all, let's ask the people living in the community
what they need for services before plunging into projects
like this." Said Ditre.
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