The role of health information technology in improving quality and safety in RI: can new money solve old problems?

On February 17, 2009, President Obama signed into law the $787 billion American Recovery and Reinvestment Act (ARRA) of 2009. This legislation allocates approximately $34 billion dollars in stimulus money for health information technology (IT), the bulk of which will go to physicians and hospitals. Physicians who are “meaningful users” of electronic medical records (EHRs) by at least 2012 are eligible to receive incentive payments from either Medicare or Medicaid (not both). The Medicare incentive provides up to $44,000 each. If at least 30% of a physician’s practice are Medicaid patients, the physician may opt for incentives from Medicaid instead, which will total $63,750 each. But the window of opportunity shuts relatively quickly soon after. Physicians who miss the deadline and aren’t ready to start cashing in by 2012 will see the dollars slip away year by year, beginning with an initial reduction in the incentive of at least $18,000. Those who are not ready until after 2014 will not be eligible for an incentive payment. After 2016, the government will provide no further incentive payments. It’s clear the president believes in the value of health information technology to improve the quality, safety, and value of health care. But do we in Rhode Island also believe in health IT; and if so, how well are we positioned to secure the federal funding for implementing it?