The American Recovery and Reinvestment Act and Incentives to adopt EHR Technology
On February 17, 2009, the US Federal Government signed into law the American Recovery and Reinvestment Act of 2009 (ARRA). The Health Information Technology for Economic and Clinical Health (HITECH) Act, a section of the ARRA act, allocates $19.2 billion dollars for distribution by the Office of the National Coordinator for Health IT (ONCHIT) in order to encourage physicians and health care organizations to effectively introduce and utilize certified Electronic Health Record (EHR) technology.
Starting in 2011, incentives ranging from $44,000 to $78,000 will be allocated to qualified physicians who demonstrate ‘meaningful use’1 of the technology, including the use of ePrescribing and connectivity for the electronic exchange of Protected Health Information (PHI). Furthermore, failure to implement ONC certified EHR technology in accordance with the Health and Human Services (HHS) outline by 2015 will result in incremental penalties to Medicare fee schedules. Most Physicians in the United States are in the position to earn incentive payments if they can demonstrate implementation and ‘meaningful use’ of the technology. For eligibility criteria, please refer to the HHS website1.
EHR technology has repeatedly demonstrated the ability to improve patient care and reduce costs for health care professionals across the country. Rapid expansion of EHR development and improvements combined with the incentives provided by the ARRA create a ‘once in a lifetime’ opportunity to adopt the technology in a cost effective manner.
CMS Reimbursement by Year & Amount
| Year MU Certified | 2011 | 2012 | 2013 | 2014 | 2015 | 2016 | Total |
| 2011 | $18,000 | $12,000 | $8,000 | $4,000 | $2,000 | $0 | $44,000 |
| 2012 | . | $18,000 | $12,000 | $8,000 | $4,000 | $2,000 | $44,000 |
| 2013 | . | $15,000 | $12,000 | $8,000 | $4,000 | $39,000 | |
| 2014 | . | . | . | $12,000 | $8,000 | $4,000 | $24,000 |
| 2015 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
Meaningful Use
On July 13, 2010 the U.S. Department of Health and Human Services (HHS) announced the Final Rule on what constitutes “meaningful use” of an Electronic Health Record (EHR).
1Centres for Medicare and Medicaid Services, (June 16, 2009). Details for: MEDICARE AND MEDICAID HEALTH INFORMATION TECHNOLOGY: TITLE IV OF THE AMERICAN RECOVERY AND REINVESTMENT ACT. Retrieved August 14, 2009 from http://www.cms.hhs.gov









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