New Funds Support Rural Hospitals' Switch to Electronic Health Records

Department of Health and Human Services Secretary Kathleen Sebelius today announced nearly $20 million in new technical support assistance to help critical access and rural hospital facilities convert from paper-based medical records to certified electronic health record (EHR) technology.

Some 1,655 critical access and rural hospitals in 41 states and the nationwide Indian Country, headquartered in the District of Columbia, stand to benefit from this assistance, which can help each of them qualify for substantial EHR incentive payments from Medicare and Medicaid. new funding is provided under the Health Information Technology Economic and Clinical Health (HITECH) Act, part of the American Recovery and Reinvestment Act of 2009. The HITECH Act created the Medicare and Medicaid EHR incentive programs, which will provide incentive payments to eligible professionals and hospitals that adopt and demonstrate meaningful use of certified EHR technology. Incentives totaling as much as $27.4 billion over 10 years could be expended under the program, which is administered by the Centers for Medicare & Medicaid Services. In addition, the HITECH Act provided $2 billion through the Office of the National Coordinator for Health Information Technology (ONC) to support technical assistance, training, and demonstration projects to assist in the nation's transition to EHRs. The funding comes through one of the ONC programs, the Regional Extension Centers (RECs). RECs offer technical assistance, guidance, and information on best practices to support and accelerate health care providers' efforts to become meaningful users of certified EHRs under the Medicare and Medicaid incentives programs. A total of 60 RECs are located throughout the country.