Six months on, DRA makes its impact felt

Dear AuntMinnie Member,

Has the Deficit Reduction Act (DRA) of 2005 been as bad for U.S. imaging centers as expected? A new analysis of the legislation's impact at the midyear point indicates that the answer can best be expressed in one word: unequivocally yes.

Well, that's two words. But there's no arguing with the seriousness of the DRA's effects on providers of outpatient imaging services, according to a new article by staff writer Kate Madden Yee in our Imaging Center Digital Community.

Many imaging centers are eking out marginal profits as revenues decline. Entrepreneurial activity has slowed to a crawl, consolidation is picking up, and many facilities are postponing capital equipment acquisition -- which is having a ripple effect on imaging equipment manufacturers.

But whatever doesn't kill you makes you stronger, as a German philosopher once said, and those centers that survive the initial shock of DRA are likely to emerge as healthier, more efficient competitors in the healthcare landscape -- especially as their weaker rivals disappear.

Find out what center operators are doing to survive by clicking here. When you're done, join in on the DRA discussion in our Forums, where a number of pundits believe the DRA's impact has been overblown and could actually be beneficial for radiology. You'll find that thread by clicking here.

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