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Delivery System to Subsidize EHRs
HDM Breaking News, August 21, 2007
Nine-hospital Appalachian Regional Healthcare, serving Kentucky and West Virginia, will subsidize electronic health records software for independent community physicians.
The Lexington, Ky.-based delivery system has licensed the Horizon Ambulatory Care software from McKesson Corp., San Francisco. Contract terms were not disclosed.
Appalachian Regional will start the deployment with about 90 employed physicians. Late this year, it will offer the software to independent physicians.
The delivery system estimates about 110 independent physicians would be interested in the program, says Joe Grossman, vice president for administration. Other physicians in the community either aren’t ready to adopt EHRs, already have them or expect to buy the technology from other vendors, he says. “If we find demand is even greater, we’ll work out a way to get it done.”
Grossman declined to discuss the terms of the subsidy program.
The delivery system is taking advantage of last year’s changes in the Stark Act, which permit I.T. donations, to further advance its mission to improve the health of the communities it serves, Grossman says. Appalachian Regional operates hospitals, ambulatory facilities, home health agencies and retail pharmacies, so the time has come to bring in community physicians, he adds. “That brings lots of data together in one place to help us work with the medical community to improve community health.”
He also expects the donation program will enhance physician loyalty to Appalachian Regional’s hospitals. Overall, the delivery system has a moderate level of competition from other hospitals, he says. More information is available at arh.org and mckesson.com.
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