Cash infusions
are on the way for health care providers, but that may only be a stopgap measure to address the persistent revenue shortfalls and decreased patient volumes that medical practices are reporting nationally.
Average patient volumes are down 60% during the same time period, the survey shows.
Overall, 97% of medical groups are suffering negative financial repercussions as a direct result of the public health emergency (PHE), the MGMA survey reveals.
The survey also shows a dire projection of financial health in the weeks to come. As of April 8, about 22% of responding medical groups reported layoffs, and 38% said they had gone through with staff furloughs.
Fast forward one month, and more medical groups will have to cut staff. About 36% of survey respondents predict that by May 8 they will incur layoffs, and 60% will institute furloughs.
“Our new data reflect a shocking decline in the number of patients seeking non-COVID-19 medical care during this crisis,” said Anders Gilberg, MGMA senior vice president of government affairs, in a statement. “Patients are foregoing necessary preventive and even acute care out of fear of exposure. Medical practices are struggling to keep their doors open as volume collapses."
Conducted April 7-8, the survey involved more than 720 responding medical groups. About three-quarters of the respondents are part of independent practices with 50 or fewer full-time physicians.
In recent weeks, the federal government has taken measures to ameliorate the financial duress afflicting the health care industry. On April 10, HHS
began distributing $30 billion directly to front line medical groups, providers and hospitals as part of a larger $100 billion health care relief fund.
Medical groups also can
tap into advance payments from their regional Medicare administrative contractors (MAC) to secure upfront funds covering up to a three-month period.
Industry groups, including MGMA, continue to lobby the Trump administration to offer additional relief as quickly as possible.