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Ask the Experts
is a question-and-answer forum featuring leading practice management experts who may or may not be employed by Physicians Practice. Physicians Practice receives questions from physicians, office managers, office administrators and others. Have a question about the operation of your practice? Visit www.PhysiciansPractice.com. Your question will be answered within three business days. For more practice management resources and tools, visit www.yourpractice-online.com.

Q My group of physicians includes five internists and one pediatrician. We have our own billing department. The billing expenses are currently being divided equally among all members. However, there are significant differences in productivity and utilization of the billing department. Are there any other common methods of allocating these expenses more equitably?

A You could run the billing office like an external billing service and require physicians to pay for the level of service required. One way to accomplish that is to charge for billing services on a “per claim” basis: physicians submitting more claims pay more. Similarly, you could split the costs based on the percentage of relative value units (RVUs) generated for the practice. If Dr. Jones generates 40 percent of the RVUs, she pays 40 percent of the billing costs.

One other alternative: everyone shares equally up to a point — say, 60 percent of total costs — and the rest of the costs are then divided based on productivity (RVUs).

The trouble is that you need to communicate very clearly. You don’t want to seem to be telling productive physicians to submit fewer claims. Stress that, overall, they still make more by being more productive.

Also, be sure you don’t divorce your plan for dividing billing costs from all your other cost-sharing policies. You want to follow a consistent strategy — a vision for how your physicians should expect to work together.

Q I am a solo practitioner, but I am expanding into a second office and will be hiring a nurse practitioner (NP) or physician assistant (PA). How do I turn over my established patients to the new person? I have seen more than 10,000 people over the last 23 years, and they have become accustomed to seeing only me on their visits. I never had even a nurse in the office.

A Here are a couple of ways to introduce your new NP or PA:

Have the new hire accompany you on several office visits so you can formally introduce her to your established patients. Say something like, “Amy here has stellar clinical skills and works under my guidance. She’ll also be easier for you to get in to see, and she will have more time than I usually do to chat. So I’d like you to make your next follow-up appointment with her. I’ll still see you at regular intervals, of course, to make sure all is well.”

Encourage your scheduler to direct patients, as appropriate, to your new employee. Give the scheduler guidelines regarding who should be directed where. You could also give the scheduler a script to help guide her with these patient conversations. You may want her to say, “Dr. Jones doesn’t have any openings for three weeks, but he is overseeing a new nurse practitioner who is just great. She is a graduate of XYZ University, has been in practice for X number of years, and all her work is supervised by Dr. Jones. Dr. Jones instructed me to tell all of his established patients that they are welcome to make appointments with her. She has an opening tomorrow. Why don’t you see her for this visit?”

You also could invite patients to an open house to meet your new NP or PA. Do so by mailing postcards to your patient base with the new practitioner’s photo and credentials. Explain when and where the practitioner will start seeing patients, and invite your patients to meet your new colleague informally at a reception.

Keep in mind that while patients may not be used to an NP or PA in your practice, they likely will have seen them in other offices.

Finally, make sure you’ve thought through all the related billing and supervisory issues that accompany bringing in a new practitioner. Review articles addressing this topic at www.PhysiciansPractice.com for further guidance.

Q I’m thinking of giving staff a clothing allowance for uniforms. How much is reasonable?

A If you don’t want to hassle with ordering uniforms for employees yourself, offer to reimburse your staff anywhere from $150 to $250 per year for clothing. This is a straight business expense for you, and it also allows your staff some freedom of choice since they can spend the money on the styles and colors they prefer.

Q
After two and half years of trying to do solo practice, I have had enough. This is not for me. Ideally, I want to sell my practice. If I can’t and I have to close it, what are the steps that I should take to ensure a smooth closing?

A To close the practice, you need to consider all the logistics based on your practice situation. For example, what will you do with your building? Do you rent, lease, or own? If you rent, you need to notify your landlord about your intentions. If you own, do you plan to sell? Find a real estate agent and start your preparations.

Also, determine what you need to do to move your equipment, files and furniture — and where you will put them. If you lease your equipment, notify your leaser. If you want to sell the equipment you own, find a seller, have a yard sale, put your equipment up for sale on eBay, or find another way to locate a buyer.

Give your staff adequate notification. You’ll want to retain at least one staff member for 30 to 60 days after the close to follow up on your final outstanding accounts. Most physicians find a part-time employee for 60 days to be adequate, but it depends on the volume and how many of your accounts are still to be collected.

Remember that a physician has an ethical obligation to notify her patients when she moves or closes her practice to allow them to obtain copies of their medical records or have their records transferred to another practice. Ideally, a physician should notify each patient by letter at least 60 days in advance of closing. Often a physician supplements these written notices with a published notice in her local newspaper scheduled to appear on three or more occasions.

The American Medical Association’s Ethics Opinion 7.03, Records of Physicians Upon Retirement or Departure From a Group, states in part: “A patient’s records may be necessary to the patient in the future not only for medical care but also for employment, insurance, litigation or other reasons. When a physician retires or dies, patients should be notified and urged to find a new physician and should be informed that upon authorization, records will be sent to the new physician. Records that may be of value to a patient and are not forwarded to a new physician should be retained, either by the treating physician, another physician, or such other person lawfully permitted to act as a custodian of the records.”

Finally, if you have privileges at a hospital — and especially if you take emergency calls — you’ll want to give that hospital at least 90 days notice, if not more.

Q How often should I hold staff meetings?

A In my experience, the majority of practices hold meetings once a month. It might be more effective to hold shorter meetings every two weeks or even weekly. The goals are to avoid letting issues fester and to keep the meeting tight and relevant. Monthly meetings can tend to drag and stray on to topics that aren’t crucial.

Q I need to train a new medical records clerk. Where can she find courses?

A Medical records technician courses are available through adult education services, Regional Occupation Programs (ROP) and private colleges and schools. Try the DeVry/Phoenix Universities and so on in your area.

There also are online opportunities. Try http://allied.brightoncollege.edu/.

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This material is provided by Physicians Practice and represents the views and opinions of Physicians Practice and not Humana.



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