Seven ways to streamline radiology.

When it comes to reimbursement for imaging services, Charlie Owens, PACS administrator at the Knoxville-based University of Tennessee Medical Center, sings a refrain that has become an industry norm: it’s going down, down, down. “Rates have really fallen in the last five years,” he sighs. “If you’re in a competitive area, payers put the squeeze on you.” By way of example, he cites reimbursement for a colonoscopy by the state’s Medicaid program. Eight years ago, the payer reimbursed $400 for the procedure. Today, it pays about $90. Meanwhile, Owens faces another common dilemma. To stay competitive, the center must invest in the latest and greatest imaging equipment—while continually upgrading its storage. The medical center’s PACS long-term imaging archive, for example, stands at 58 terabytes, a massive amount of data which must be replicated in a back-up storage system for safety. “You’re only protected if you have two copies,” Owens says. Faced with this across-the-board economic crunch, radiology practices across the nation have taken a variety of steps to stay afloat financially. Following are seven strategies.