Medicare and Medicaid EHR Incentive Programs

ARRA/HITECH/"Meaningful Use" What does it all mean?

The Health Information Technology for Economic and Clinical Health (HITECH) Act provisions within the American Recovery and Reinvestment Act of 2009 (ARRA) provides eligible professionals (EPs),non-hospital-based physicians, and eligible hospitals with an opportunity to earn federal funding bonus incentives when promoting the use of health information technology (HIT) and qualified Electronic Health Records (EHRs). EP’s that implement EHRs can earn up to $44,000 in incentive bonuses over a five-year period under Medicare. To earn this, practices must use a certified EHR and demonstrate “meaningful use” of the EHR solution by 2011. EPs and Eligible Hospitals who prove meaningful use are eligible for significant bonuses under Stage One, Stage Two and Stage Three objectives.

Stages of Meaningful Use (MU) Criteria by Payment Year

First Year 2011 2012 2013 2014 2015+**
2011 Stage 1 Stage 1 Stage 2 Stage 2 Stage 3
2012   Stage 1 Stage 1 Stage 2 Stage 3
2013     Stage 1 Stage 2 Stage 3
2014       Stage 1 Stage 3
2015+*         Stage 3

* Avoids payment adjustments only for EPs in the Medicare EHR Incentive Program.
** Stage 3 criteria of meaningful use or a subsequent update to the criteria if one is established through
rulemaking. Source- Federal Registry Department of HHS Rule Filing Dec 30, 2009

Medicare

The HITECH Act establishes incentive payments for the meaningful use of certified EHR technology by EPs participating in the original Medicare program now referred to as Medicare Fee-for-Service (FFS) program beginning in calendar year 2011. As defined by CMS, “Meaningful Use” describes the use of HIT that furthers the goals of information exchange among health care professionals.

Medicare Advantage

HITECH ACT also provides incentive payments to Medicare Advantage (MA) organizations for their affiliated EPs who meaningfully use certified EHR technology and meet certain other requirements, and requirement to make a downward adjustment to Medicare payments to MA organizations for professional services provided by any of their affiliated EPs who are not meaningful users of certified EHR technology, beginning in 2015.

Medicaid

HITECH Act provides 100 percent Federal financial participation (FFP) to States for incentive payments to certain eligible providers participating in the Medicaid program to purchase, implement, and operate (including support services and training for staff) certified EHR technology and 90 percent FFP for State administrative expenses related to the program to establish a program with input from the States to provide incentives for the adoption and subsequent meaningful use of certified EHR technology for providers participating in the Medicaid program.

The HITECH Act creates incentives in the Medicare Fee-for-Service (FFS), Medicare Advantage (MA), and Medicaid programs for demonstrating meaning EHR use and payment adjustments in the Medicare FFS and MA programs for not demonstrating meaningful EHR use. The three incentive programs contain many common elements and certain provisions of the HITECH Act encourage avoiding duplication of payments, reporting, and other requirements, particularly in the area of demonstrating meaningful use of certified EHR technology. Eligible hospitals may participate in either one of the Medicare (FFS or MA) programs and the Medicaid program, assuming they meet each program’s eligibility requirements, which vary across programs. EPs may have the opportunity to participate in either the Medicare or Medicaid incentive programs, and once an EP has picked a program, they are permitted to make a one-time switch from one program to the other.

Incentive Bonuses

AZZLY EHR/PM/PHR has integrated all of the latest standards, features and codes for you to achieve “meaningful user” status. If you can earn the full $44,000 bonus from federal stimulus funding without slowing your practice down- why not do it? AZZLY can help you and optimize the clinical and financial components of your practice at the same time. You have to prove that you are achieving ”meaningful use” using HIT to capture, send and receive healthcare information and are interoperable with other designated healthcare enterprises. We capture the data input for you in one place and can report what is required for you in standards based code and formats.

Penalties for not being a meaningful user

HITECH Act also provides that beginning in 2015, EPs who are not meaningful users of certified EHR technology will receive less than 100 percent of the fee schedule for their professional services. If you don’t implement then the penalties begin after 2015. Now is the time to find the best solution for your workflow needs and to benefit financially by attaining these bonuses.

ONC defining "certified EHR technology"

ONC will be defining certified EHR technology in its upcoming interim final rule. Since 2006, CCHIT was the only entity that the ONC and HHS recognized as a certifying body. In 2010, new certifying agencies will be recognized and announced. Although AZZLY EHR/PM/PHR was built using CCHIT 2011 Criteria for features and functions we are waiting for the latest update to make our selection for certification.

AZZLY EHR/PM/PHR is your answer.

AZZLY EHR/PM/PHR is designed and developed to support all of these features and functions because we are built on the latest standards and codes with today’s technology. Whatever curve ball comes your way we will deliver to our end users to make sure that you maximize your ROI. Complex challenges. Simple solutions. AZZLY.

Maximum Total Amount of EHR Incentive Payments for a Medicare EP

Calendar Year 2011 2012 2013 2014 2015
2011 $18,000        
2012 $12,000 $18,000      
2013 $8,000 $12,000 $15,000    
2014 $4,000 $8,000 $12,000 $12,000 0
2015 $2,000 $4,000 $8,000 $8,000 0
2016   $2,000 $4,000 $4,000 0
Total $44,000 $44,000 $39,000 $24,000 0

Source- Federal Registry Department of HHS Rule Filing December 30, 2009

Click here to download Medicare E-Prescribing Incentive

To learn more go to http://www.cms.hhs.gov/Recovery/11_HealthIT.asp

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