EHR Medicare and Medicaid Incentive programs are NOT Jeopardized

We've been hearing about the Republicans trying to repeal "Obama Healthcare" in very general terms. What does it mean specifically? How does it impact the Medicare and Medicaid EHR Incentive programs?


Let me dive in a bit more in detail. 


Rep. Jim Jordan (Republican, Ohio), introduced the Spending Reduction Act of 2011 (H.R. 408) on January 24. This bill seeks to reduce federal spending by $2.5 trillion over the coming decade! How? It singles out many federal programs for elimination.

Section 302 of the bill, titled "REPEAL OF CERTAIN STIMULUS PROVISIONS," states that "effective on the date of the enactment of this Act, subtitles B and C of title II and titles III through VII of division B of the American Recovery and Reinvestment Act of 2009 (Public Law 111-5) are repealed, and the provisions of law amended or repealed by such provisions of division B are restored or revived as if such provisions of division B had not been enacted."

Here's where it gets messy. The $27 billion earmarked for Medicare and Medicaid EHR incentives falls under division B.

If firmly believe the bill will not pass.

The GOP holds majorities in the House, but the Democrats control the Senate. President Obama will surely veto this bill if it ever comes to him.

I (and many other analysts and industry experts) am not worried about the bill being signed into law. What is worrisome is the confusion this bill creates. Providers are skeptical of anything that CMS does. This bill compounds the skepticism. I suspect many providers may hold off their purchasing decisions.

Providers should be looking at EHR technologies for the benefits it accrues to them and their practice. Stimulus incentive should be an added bonus. They should not be putting the cart before the horse. I hope this message comes out loud and clear.

Paving the Way for providers to adopt and achieve Meaningful Use of Electronic Health Records

In the latest news update from Health Information technology newsletter from The Office of the National Coordinator for Health Information Technology, Dr. David Blumenthal has letter on the 2010 ONC Update.

In his latest letter, Dr. Blumenthal, National  Coordinator for Health Information Technology, gives an overview of the important policies and programs established this year that are paving the way for providers to adopt and achieve meaningful use of electronic health records.

Dr. Blumenthal also provides information about the 2010 ONC Update meeting on December 14and 15, which will give participants a better understanding of the role of Health IT in health system change and health care reform.

Read Dr. Blumenthal's new letter: 2010 ONC Update to learn more.

House Approves Temporary Medicare Fee Schedule Fix; 2011 Rates Include 30% Cut

Here we go again! Reimbursement rates for 2011, scheduled to take effect January 1, include a 30% cut. 

On November 30, 2010, the U.S. House of Representatives approved the Senate-passed bill that stops a projected 23% cut in the Medicare Physician Fee Schedule and extends the current payment rates through December 31. The legislation pays for the extension by implementing a policy that reduces the payment rate for second and subsequent speech-language, occupational therapy, or physical therapy treatments provided to the same patient on the same day.

However, most Medicare observers expect Congress to enact legislation to prevent implementation of these dramatic cuts.

In spite of Electronic Medical Records incentives, whether client server based EMR or EHR where there is a substantial investment or Web-based EHR or web-based EMR, where upfront investments are less or next to nothing, physicians are still reluctant to adopt electronic medical record systems and are adopting a wait and watch policy when it comes to any incentives from CMS.

Ideal EMR/EHR

Trying to define an ideal EMR/EHR is like trying to define an ideal car. There ain't no such thing.

How do you go about buying a car?

If you are one of the few that don't have a favorite car to buy, you probably start with style - sedan, SUV, minivan. You look at crash ratings for safety, you look at price, maybe some more criteria. You narrow down to a few manufacturers and models. If you're in the market for family sedans, you probably have a short list: Ford Fusion, Honda Accord, Toyota Camry, Chevy Malibu, and a few more.

What do you do then? Do a little price check. Pretty soon you find they're in the same 'price range'.

Next, TEST DRIVE!

You may like one, your spouse may like another one. This is exactly how EMR/EHR buying works. You have to test drive.

Of course, you will must your colleagues, seek references, check reviews, blogs and so on, but you must 'test drive'. By this, what I mean is, see a demo. I suggest see two demos. After the first round of 'sales demos', pick the one you like best and ask for a detailed demo where you can ask pointed questions related to your practice, and try to see how this software will work in your environment.

If you now feel comfortable, that EMR/EHR is the one you go with.

Believe me, it is not as complicated as some people make it out to be.