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Media
Contacts: |
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For Immediate
Release |
Office of Communications
David Paulson
Karen Black
Office: 410-767-6490
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Annapolis, MD (May 19, 2009)
– Governor Martin O’Malley signed HB
706 Electronic Health Records –
Regulation and Reimbursement today
making Maryland the nation’s leader in
developing Health Information Technology
(HIT). Maryland becomes the first state
in the nation to build upon the HIT
funding provided in the American
Recovery and Reinvestment Act (ARRA) of
2009 by requiring the State’s private
insurers to offer incentives to
providers for the adoption of electronic
health records.
“This
administration is serious about health
care reform and this legislation makes
Maryland the premier health care
innovator in the nation,” said Governor
Martin O’Malley. “This advance in health
information technology is a giant step
in creating a safer, more efficient
health care system that reduces costs
for all Maryland families.”
Health information
technology is one of the few tools that
can improve health care quality, prevent
medical errors, assure the delivery of
preventative care, and reduce costs by
delivering essential information at the
time and place of care. To accomplish
those goals there must be widespread use
of electronic health records and the
ability to exchange health information
privately and securely through an
exchange. This legislation advances
both.
“Maryland is now
seizing the opportunity to reduce
medical errors and control costs for
everyone,” said DHMH Secretary, John M.
Colmers. “The development and use of
this technology holds the greatest
promise when it's done in a coordinated
fashion with everyone in health care
moving in the same direction.”
Similar to the ARRA,
HB 706 provides a carrot and stick
approach. The carrot is in the form of
incentives, such as increased
reimbursement and payments for
electronic record start-up costs to
health care providers. The bill gives
health care providers several years to
improve their medical record systems
before reducing reimbursements to those
not using certified electronic health
records.
The bill also
requires the Maryland Health Care
Commission and the Health Services Cost
Review Commission to designate a
statewide health information exchange by
October 1, 2009. Maryland convened two
stakeholder groups that submitted their
reports in February 2009 on proposed
methodologies to implement a statewide
health information exchange.
The State has since
issued a Request for Application for the
establishment of a citizen-centric
statewide health information exchange.
Responses are due by June 12, 2009.
Maryland has set aside $10 million from
hospital rates dedicated to startup of
the exchange.
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