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ASA NEWSLETTER
 
 
February 2001
Volume 65
Number 2
   
Surviving the Perfect Storm: Challenges Faced by Our Training Programs

Kevin K. Tremper, M.D., Ph.D., President Association of Anesthesiology Program Directors
Simon Gelman, M.D., Ph.D
., Immediate Past President Society of Academic Anesthesiology Chairs



The past decade has seen unprecedented changes in the management of health care that have placed academic medical centers at significant financial risk. In the early portion of the decade, managed care plans grew significantly, reducing fee-for-service income and progressing toward a capitated environment in some markets. 1 The financial risk was shifting from insurers to the providers. Hospital patient length of stay was dramatically reduced, resulting in decreased occupancy and reduced hospitalizations and surgical procedures along with reimbursement. Health care planners envisioned a future with primary care gatekeepers who would decrease the need for specialists.

In 1997, the Health Care Financing Administration (HCFA) capped the number of residents for graduate medical education reimbursement and even proposed financial incentives to institutions that would voluntarily reduce their number of house officers. Academic medical centers strived to produce a greater number of primary care trainees to meet the perceived demand for these new gatekeepers of capitated care. Many academic medical centers expanded their primary care base by buying practices, thereby ensuring their referrals to maintain academic and financial viability.

At the height of this push for primary care, the field of anesthesiology appeared to be targeted as one with an oversupply that would be especially impacted by decreased surgical procedures resulting from full capitated care. 2 A shocking reduction in medical school applicants to anesthesiology programs occurred in 1995. The graduating CA-3 class in 1994 was 1,843, while the entering CA-1 class for 1996 was only 745. 3 Although this class was ultimately supplemented to 885, the number is still approximately 1,000 less than the graduating classes during the peak years of the early 1990s. 4 Nearly all training programs suffered a substantial drop in their number of residents, and the field noted a dramatic increase in the percentage of international medical graduates (IMG) (10 percent in 1990 to 57 percent in 1999). 3

Managing an academic program while providing the necessary clinical service was a challenge with the residencies cut in half. This staffing problem has placed significant stress upon the faculty of these training programs as well as the financial resources of the departments and the institutions in which they are inexplicably bound. To make a difficult financial environment even worse, Congress passed the Balanced Budget Amendment in 1998 in which HCFA would progressively reduce graduate medical education (GME) reimbursement to teaching hospitals. 4, 5 The result has been a progressive decrease in training hospitals’ profitability, where many academic medical centers are either in the red, some to a dramatic degree, or are predicting progressive financial difficulties as the Balanced Budget Amendment is implemented. 6 Ironically, this has occurred during a decade in which the United States’ economy has been remarkably strong, producing a positive federal budget.

Table 1: Current Manpower Needs in Academic Departments
August 2000

Response Rate: 66.2% (94/142) Yes No
Additional Faculty Needed? 91.5% 8.5%
# of Faculty Needed 326  
Average # Per Department 3.8  
Additional CRNAs Needed? 66.5% 33.5%
# of CRNAs Needed 246  
Average # Per Department 4.0  


Academic departments of anesthesiology enter the new millennium facing the confluence of three adverse financial pressures: 1) decreased professional fee reimbursement, 2) working within academic medical centers that are struggling to remain financially viable and 3) trying to retain academic faculty in the best job market for anesthesiologists in 20 years. 7 The reduction in resident class size in the late 1990s has obviously resulted in the decreased availability of trained anesthesiologists today. As the overall job market has improved, the academic life has progressively deteriorated. When the number of residents decrease, academic faculty are required to spend a greater and greater portion of their time providing service, thereby limiting time for academic development. It may be difficult for some faculty to determine the difference between an academic position and a private position, other than a lower salary. 8 With hospitals trying to meet their budgets, there are greater pressures to shift costs to the academic departments by not providing the necessary support. The demands for more clinical productivity with less support have placed academic departments under unprecedented financial stress. 6

It is the current feeling among anesthesiology training department chairs that there is a significant shortage of faculty and that this problem may only become worse over the next three years. Last August, a survey was sent to all Society of Academic Anesthesiology Chairs/Association of Anesthesiology Program Directors members asking them two, two-part questions:

1. Do you currently need additional faculty? If yes, how many would you like to hire?
2. Do you currently need additional nurse anesthetists? If yes, how many would you like to hire?

The results are presented in Table 1. There are 326 open faculty positions in the 66 percent of departments that responded to the survey (3.8 per department). If the rate of open faculty positions is applied to all residency programs, there would be 490 openings in our academic departments as of August 2000 and nearly 370 positions for nurse anesthetists in those departments. This is very disconcerting since most academic departments recruit their new faculty during the summer, are therefore usually staffed at the highest levels by the end of August and lose faculty to community practices and attrition throughout the academic year.

How much and how quickly those situations will improve is unclear. The size of entering resident classes over the past few years has progressively increased 9,10 [Table 2]. Unfortunately, since a large percentage of those residents are IMGs, it is unknown how many of those trainees will be able to enter the U.S. market due to issues relating to their visa status. Residents who have J-1 training visas must return to their home country after the completion of their training for a minimum of two years before applying for an immigration visa. The graduating classes of 2001, 2002 and 2003 should increase in size, but the number of American medical graduates (AMGs) is only 471, 632 and 811, respectively. This is well below the AMG graduates of the mid-1990s, which ranged from 1,358 to 1,547 [Table 2]. For a more complete description of the residency composition and numbers, see the article by Alan W. Grogono, M.D., in the November 2000 NEWSLETTER. 10

Table 2: AMG and IMG Resident Graduates
1993 through 2003



Clearly, if we are to maintain our residency programs, we require faculty to provide the clinical training as well as to continue to invest in the academic base of our specialty. Without that academic investment to develop new knowledge in the field of anesthesiology, the future of our medical specialty is at risk. This current problem should be a wake-up call to those in our specialty who felt that the work force was glutted with too many practitioners and hoped for a reduction in the number of residents. The shortage of trained anesthesiologists that we see today may improve the job market for anesthesiologists in the short run but may be a threat to the future of our specialty in the long run.

We need to make hospital deans and executives aware of the dwindling physician resources within our specialty. We need to inform medical students of the opportunities in our specialty from a clinical and academic perspective. As a specialty, we are obligated to provide the medical care needed by our patients and to develop new knowledge to meet the needs of future generations.

References:

1. Rogers MC, Snyderman R, Rogers EZ. Cultural and organizational implications at academic managed-care networks. N Engl J Med. 1994; 331:1374-1377.

2. Anders G. Once a hot specialty, anesthesiology cools as insurers scale back. Wall Street Journal. March 17, 1995.

3. Grogono AW: Update on Residency Composition 1960-1999. ASA Newsl. 1999; 63(11):17-19.

4. Implementing BBA Provision. Federal Register 412.105. Direct Graduate Medical Education 413.86. May 12, 1998.

5. Association of American Medical Colleges Fact Sheet. Association of American Medical Colleges. Washington, DC: 1999; 3(5).

6. Reves JG, Greene NM. Anesthesiology and the academic medical center: Place and promise at the start of the new millennium. Chapter 3: The present (1990-2000). Int Anesthesiol Clin. 2000; 38(2):45-96.

7. Johnstone RE, Hosaflook C. Financial impact if payers use Medicare rates. Anesthesiology. 2000; 93:852-857.

8. Academic Practice Faculty Compensation and Production Survey. Medical Group Management Association. Englewood, CO; 2000:14.

9. Personal communication. Frank Hughes, Ph.D., American Board of Anesthesiology; September 2000.

10. Grogono AW. Residency composition and numbers graduating. ASA Newsl. 2000; 64(11):16-19.



    Kevin K. Tremper, M.D., Ph.D., is Professor and Chair, Department of Anesthesiology, University of Michigan, Ann Arbor, Michigan.


    Simon Gelman, M.D., Ph.D., is Chair, Department of Anesthesiology, Perioperative and Pain Medicine, Brigham and Women's Hospital, Boston, Massachusetts


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