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Bush Plan for Electronic Record System Gains Momentum

By ALM Staff | Law Journal Newsletters |
February 25, 2005

In April 2004, President Bush called for development of a nationwide electronic health records system that would include most Americans' health data within 10 years. He took some steps then to get the ball rolling, but funding for the program was cut in November as part of a plan to balance the federal budget. However, in the first months of 2005, Bush renewed his push for reforms, which he asserts will cut health care costs and reduce medical errors.

Bush created the Office of the National Coordinator for Health Information Technology, and in May 2004, David J. Brailer, MD, PhD, was appointed to the new position. In July 2004, then Health and Human Service Secretary Tommy Thompson launched the “Decade of Health Information Technology” with his agency's outline of a 10-year plan to transform health care with a new health information infrastructure, including electronic health records and a new network to link health records nationwide. The plan, prepared by Dr. Brailer, identified potential methods for encouraging the health care sector to adopt electronic records systems, because, according to the report, only 13% of hospitals reporting had any such system in 2002 and only 14% to 24% of physicians in practices did. These included regional grants to stimulate electronic record and community information exchange systems, low interest rate loans to set up such systems and Medicare reimbursement.

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