The nation’s largest anesthesia staffing company, North American Partners In Anesthesia (NAPA), faces scrutiny over staffing practices and the influence of private equity ownership. Allegations of understaffing, prioritizing profits over patient safety, and anti-competitive practices have emerged from multiple hospitals across the United States.
Cooperman Barnabas Medical Center
Cooperman Barnabas Medical Center in New Jersey established its own anesthesiology department after alleging dangerous understaffing by NAPA. The hospital’s lawsuit claims NAPA prioritized profits, leading to hundreds of adverse events in the first half of 2022. This action followed the abrupt termination of the department chief after he raised concerns about staffing levels.
NAPA’s Business Model Under Fire
NAPA, owned by private equity firms American Securities and Leonard Green & Partners, employs 6,000 clinicians at 500 facilities in 21 states. The private equity model, focused on short-term profit maximization, has raised concerns among physicians and patient advocates regarding its compatibility with prioritizing patient well-being.
Renown Regional Medical Center in Reno
Renown Regional Medical Center in Reno, Nevada, terminated its contract with NAPA this year citing similar concerns about understaffing and patient risk. The hospital’s CEO, Dr. Thomas Graf, expressed worry about the potential for “disasters” due to private equity’s short-term profit focus in healthcare.
Monopoly Power and Rising Costs
NAPA’s dominance in the anesthesiology staffing market has also drawn attention from the Federal Trade Commission (FTC), which is investigating potential anti-competitive practices within the industry. Experts suggest that private equity’s consolidation of the healthcare industry contributes to monopolistic power, potentially leading to higher prices and reduced quality of care.
Thomas Graf
Dr. Thomas Graf, CEO of Renown Health, voices concerns over the impact of private equity on healthcare, specifically citing the potential for compromised patient care due to profit-driven motives. He directly links NAPA’s alleged understaffing at Renown Regional Medical Center to this broader issue.
Research indicates that private equity acquisition of anesthesiology practices correlates with a significant increase in patient costs. A study published in JAMA Internal Medicine found a 26% rise in patient costs following private equity takeovers.
Further Legal Challenges and Responses
A lawsuit filed by Moses Taylor Hospital in Scranton, Pennsylvania, alleges that NAPA threatened to abruptly withdraw anesthesia services during the height of the COVID-19 pandemic as leverage in a financial dispute. This action further highlights concerns about NAPA’s business practices and their potential impact on vulnerable patients.
NAPA denies all allegations, emphasizing its commitment to patient safety and clinician well-being. The company cites high clinician retention rates, surgeon satisfaction scores, and patient satisfaction ratings as evidence of its dedication to quality care. However, ongoing litigation and investigations continue to raise questions about NAPA’s operations and the role of private equity in shaping the future of healthcare. The outcome of these legal battles and investigations will likely have significant implications for the anesthesia staffing industry and patient care nationwide.
