2008 RVU Analysis, Part I – GPCI!

Each year, when the new RVU values and rates are announced, a tremendous amount of attention is paid to the “Conversion Factor” – is it going down 10% this year, after all? Will the cut only be 5%? Could it go up by 5%?
Most of the time, little attention is paid to the subtle changes that are made to the GPCI, or the geographic adjustments that are made to each and every code. Well, I ran through all of the locations today and came up with a table outlining the effects of the GCPI in 2008. Some important ones in here.
Reading this table is straightforward – in addition to any changes that might happen on a code level or to the Conversion Factor this year, practices in Ventura, CA will receive a 1.6% increase of their rates from 2007. Santa Clara, CA, on the other hand, will have a 4.4% reduction.
That’s huge!
Quick numbers: the average location loses a little more than 1%. Only 17% of the locations are getting an increase. The big losers are largely rural states with low costs of living

Location Difference (’08-’07)
Ventura, CA 1.6%
Rhode Island 1.3%
Miami, FL 1.2%
Los Angeles, CA 1.2%
New Orleans, LA 1.1%
Hawaii/Guam 0.6%
Anaheim/Santa Ana, CA 0.5%
Fort Lauderdale, FL 0.5%
Iowa 0.4%
Rest of Pennsylvania 0.3%
Connecticut 0.3%
Delaware 0.3%
Rest of New Jersey 0.2%
Northern NJ 0.1%
Virginia 0.1%
Metropolitan Philadelphia, PA 0.0%
Rest of Massachusetts 0.0%
Rest of California* -0.1%
Metropolitan St. Louis, MO -0.1%
Rest of Maryland -0.2%
Queens, NY -0.2%
Poughkpsie/N NYC Suburbs, NY -0.3%
Ohio -0.3%
Baltimore/Surr. Cntys, MD -0.4%
NYC Suburbs/Long I., NY -0.4%
Rest of New York -0.4%
Nevada -0.5%
Indiana -0.5%
Galveston, TX -0.5%
Manhattan, NY -0.5%
Rest of Maine -0.5%
Rest of Michigan -0.5%
Beaumont, TX -0.6%
Houston, TX -0.6%
DC + MD/VA Suburbs -0.6%
Alaska -0.6%
Metropolitan Boston -0.9%
Minnesota -0.9%
Fort Worth, TX -0.9%
Chicago, IL -0.9%
Portland, OR -1.0%
Rest of Washington -1.0%
Southern Maine -1.0%
Brazoria, TX -1.0%
Wisconsin -1.0%
East St. Louis, IL -1.0%
Rest of Florida -1.0%
Suburban Chicago, IL -1.1%
Detroit, MI -1.1%
Seattle (King Cnty), WA -1.1%
Rest of Georgia -1.2%
Tennessee -1.2%
Alabama -1.2%
South Carolina -1.2%
Rest of Louisiana -1.2%
New Hampshire -1.2%
Rest of Illinois -1.3%
Dallas, TX -1.3%
New Mexico -1.4%
Colorado -1.4%
Idaho -1.5%
Vermont -1.5%
North Carolina -1.6%
West Virginia -1.6%
Rest of Texas -1.6%
Marin/Napa/Solano, CA -1.7%
Utah -1.7%
Arizona -1.7%
Metropolitan Kansas City, MO -1.8%
Atlanta, GA -1.8%
Virgin Islands -1.8%
Oakland/Berkley, CA -1.8%
Rest of Oregon -1.8%
Austin, TX -1.9%
Kentucky -1.9%
Kansas* -2.0%
Arkansas -2.0%
San Francisco, CA -2.0%
Oklahoma -2.0%
Mississippi -2.1%
San Mateo, CA -2.1%
Nebraska -2.3%
Rest of Missouri* -2.5%
Wyoming -2.9%
Montana -3.1%
South Dakota -3.7%
North Dakota -3.8%
Santa Clara, CA -4.4%
Puerto Rico -6.2%
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Trackbacks & Pingbacks

  1. […] what has become a (nearly) annual tradition – check out 2008, 2009, 2011, 2012 –  it’s time to see what the new GPCI adjustments have in store for us […]

  2. […] There will be an extension of the 1.0 floor to the work geographic adjustment (the effects of the loss of which were heroically outlined par moi). […]

  3. […] This year, with the budget neutrality cuts still in place (ironic, if you think about it) and the ~1.1% cuts from GPCI, the implication was that the 10% cut would be removed […]

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