HiTech Act

Health IT Provisions01 Apr

While there are many details yet to be resolved, the broader stimulus bill includes a package of approximately $31.2 billion for healthcare infrastructure and EHR investment, and this legislation is expected to impact providers and vendors quickly. The $31.2 billion is the gross investment, with the Congressional Budget Office assumption that the program will save an estimated $12 billion over a ten year period, resulting in a net cost to the federal government of $19.2 billion. This portion of the bill is collectively known as the “HITECH Act”.

The goals of the legislation are to create and expand the current U.S. healthcare IT infrastructure, promote electronic data exchange, and substantially and rapidly increase EHR adoption to 90 percent for physicians and 70 percent for hospitals by 2019. Initial spending will begin in 2009 and is projected to increase considerably in 2010 and 2011.

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