BY BARBARA PINCKNEY
A pair of physicians that have medical offices
in Glens Falls are part of a team gearing
up to build the Northway Surgery and Pain
Center in Clifton Park.
According to documents filed with the
state Department of Health, which has given
preliminary approval for the project, the ambulatory
surgery center, which would focus on
pain management, would be built on vacant
land at 1596 Route 9, south of Northway Exit 9.
Costs to construct and equip the 9,400
square-foot building are estimated at about $1
million, according to the documents.
The center’s primary service area would cover
Saratoga, Albany, Schenectady, Rensselaer,
Warren and Washington counties, with the
majority of patients coming on referral from
primary care physicians. Using National Center
for Health Statistics estimates of chronic
pain prevalence in the adult population, the
partners estimated that about 182,000 people
in this six-county region would benefit from
their services.
Northway Surgery will be 95 percent owned
by an entity called NSPC Holdings LLC, a joint
venture between the partners in the Albany &
Saratoga Centers for Pain Management–Dr.
Edward Apicella and Dr. Martin Ferrillo–and
the partners in New York Pain Management
PLLC–Dr. Charles Gordon and Dr. Quenton
Phung.
According to the filing, Apicella and Ferrillo
each own 35 percent of NSPC Holdings
and Gordon and Phung each own 15 percent.
Apicella will be medical director of Northway
Surgery.
The remaining 5 percent is owned by Heritage
Ambulatory Surgery Center LLC., a new
company formed to provide consulting and
administrative services to Northway Surgery.
The partners in Heritage are Dr. Robert Tiso,
Joseph Cantino, Dr. Eric Tallarico and Dr. Nameer Haider.
Although a Certificate of Need filing put
the projected start-up date on Dec. 31, it is
not clear when Northway Surgery will open.
Inquiries about the project were referred
to Tom Pascarella, practice administrator for
the Albany & Saratoga Centers for Pain Management.
He said an opening is still several
months away, and he could not expand at thus
time upon plans filed with the state.
Apicella and Ferrillo currently practice
interventional pain management, using minimally
invasive techniques, in Saratoga Springs
and Albany. Gordon and Phung have practice
locations in Clifton Park and Glens Falls. In
2012, the most recent year cited in the application,
the four physicians did a combined total
of 9,700 office-based procedures.
They told the state they expect to do about
8,200 procedures at Northway Surgery in its
first year of operation–because some surgeries
will remain office-based–and as many as
10,000 in year three. The partners estimated
an average cost per visit of $378 in year one.
The ambulatory surgery center would have
four procedure rooms, and employ about 22
people. Emergency support would be provided
by either Saratoga Hospital or Ellis Medicine
in Schenectady, both of which are about 20
minutes away.
According to the application, the partners
expect revenue of $6.3 million in their first
year of operation, with expenses of about
$3.1 million. This would put net income at
about $3.2 million. By year three, revenue is
projected at $7.6 million, and net income at
$4 million.
Working capital requirements, estimated
at just under $600,000, will be covered by the
partner’s personal assets and a bank loan. A
bank loan also is expected to finance most of
the $1 million project cost, according to the
documents.