Senator's Reform Plan Highlights I.T.

November 12, 2008

Sen. Max Baucus (D-Mont.), chair of the Senate Finance Committee, has published a 98-page white paper outlining his views of comprehensive health care reform.

While light on specifics, Baucus outlines throughout the report his views on the importance of health information technology to support virtually all aspects of reform.

Baucus outlines three core strategies to encourage health I.T. adoption: financial incentives, assistance to providers in selecting and implementing systems, and promotion of information sharing among providers.

For instance, Medicare recently implemented financial incentives for adoption of electronic prescribing software, with gradual payment reductions for physicians that don't adopt the technology. "A similar model could be employed to encourage the use of electronic health records if other obstacles are addressed," according to the paper.

Baucus acknowledges that many existing payment incentives actually discourage I.T. adoption. He calls for financial assistance to help small primary care practices adopt I.T. that supports the medical home model. His priorities for health infrastructure investment include comparative effectiveness research, information technology and retraining the health care workforce.

In the paper, "Call to Action: Health Reform 2009," Baucus notes the Finance Committee in 2008 held nine hearings and a summit to gather information on reform.

"This paper represents the next step," he states in the introduction. "It is not intended to be a legislative proposal. Rather, it details my vision for both policy and the process in the upcoming health care reform debate. The plan contained here addresses health care coverage, quality and cost. Many components will require an initial investment but, over time, will vastly improve the quality of the health care Americans receive and reduce the cost of that health care, ultimately putting our system on a more sustainable path. It is my intention that after 10 years, the U.S. will spend no more on health care than is currently projected, but we will spend those resources more efficiently and will provide better quality coverage to all Americans."

To download the white paper, click here.

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