May 2005 News Archives
May 31, 2005 Portal Brings Together Regional Healthcare Work Groups Edifecs, a provider of B2B solutions for transaction-based interoperability, recently launched IndustryDesk, a complimentary resource bringing together the knowledge of many regional collaborative groups in a single portal to allow resource sharing and work product coordination. IndustryDesk allows different associations to cross-collaborate among themselves on key initiatives and projects through Edifecs IndustryDesk. With a free user name and password, you can access the following:
- Resource Library: With work products contributed by the leading regional and national collaborative groups, this resource library will equip you with the most up to date information on healthcare initiatives including Transaction & Codes Sets, Security, NPI, Claims Attachments, etc.
- Survey Collaboration: Regional and national groups will be posting surveys for industry wide response. Once completed, the aggregate, de-identified reports will be shared out through the portal.
Go to Edifecs' IndustryDesk. 
May 31, 2005 Gingrich: Electronic Health Records Needed in US Newt Gingrich, former speaker of the House of Representatives, spoke at the Workgroup for Electronic Data Interchange's (WEDI) annual convention in Baltimore last week, saying that US hospitals, doctors, insurance companies and the government are endangering lives by moving too slowly in adopting electronic health records, reports Computerworld. Gingrich, now running a healthcare advocacy group called the Center for Health Transformation, challenged attendees to push for higher standards in health care and promote electronic health records. Electronic health records are the first step toward what Gingrich called a "21st century intelligent health system" that would make an electronic health record an instant diagnostic tool available to all US residents.
Read more. 
May 31, 2005 Group Recommends Framework for Aligning Healthcare Quality & IT Incentives The eHealth Initiative (eHI) released last week "Parallel Pathways for Quality Healthcare," a framework and a set of principles for aligning emerging incentive programs with both quality goals and the health information technology (HIT) infrastructure required to achieve those goals to support higher quality, safer, and more effective healthcare. The Parallel Pathways Framework was released at eHI's Connecting Communities for Better Health Second Annual Learning Forum. The Framework provides staged guidance to purchasers, payers, practicing clinicians, and regional or community-based collaborations for aligning incentives with three key areas: quality capabilities, HIT capabilities within the physician practice, and health information exchange capabilities with regions and communities across the US.
Read more.
May 27, 2005 Government Advisory Group to Explore E-Drug Records The Commission on Systemic Interoperability, a government advisory body charged with devising strategies for adopting and implementing healthcare IT standards, met last week in Washington, DC, to craft a proposal to make electronic medication records available to all patients, reports Healthcare IT News. Commission Chairman Scott Wallace said the report, which will be released in late October, will contain recommendations to HHS Secretary Michael Leavitt on specific steps the government can take to advance IT use in healthcare.
Read more. 
May 23, 2005 CMS Provides Walkthrough of NPI Application Process as Implementation Begins Starting today, May 23, all healthcare providers can apply for their National Provider Identifier (NPI). The NPI will replace healthcare provider identifiers currently in use in standard healthcare transactions. The health plans with whom you do business will instruct you as to when you may begin using the NPI in standard transactions. All HIPAA covered entities except small health plans must begin using the NPI on May 23, 2007; small health plans have until May 23, 2008.
The Centers for Medicare & Medicaid Services (CMS) today posted to its web site an interactive instructional tool on the NPI. The NPI Viewlet, designed for all healthcare providers, gives an overview of the NPI, a walkthrough of the NPI application process, as well as live links to the National Plan and Provider Enumeration System (NPPES) web site where the learner can apply for a NPI.
Go to the NPI Viewlet. 
May 18, 2005 HHS Readies More HIPAA, E-Prescribing Rules The Department of Health and Human Services (HHS) on May 16 published its semiannual regulatory agenda, a summary of rulemaking actions under development or review by the department. HHS expects to publish proposed rules that would enable outside organizations to assist physicians in adopting e-prescribing technology to use in the Medicare Part D drug benefit program, reports Health Data Management. The proposed e-prescribing rule expected this month would create an exception to laws restricting physician referrals to healthcare entities with which they have financial relationships. A proposed “safe harbor” rule, expected in August, would enable other organizations to help physicians offset the costs of e-prescribing technology. According to Health Data Management, it is not immediately clear if the two proposed rules would enable physicians to use the e-prescribing technology when treating patients not covered under Medicare.
Other rules related to HIPAA and healthcare IT referenced in the semiannual regulatory agenda include:
- NPRM expected September 2005 proposing "an electronic standard for claims attachments required by HIPAA. It would be used to transmit clinical data, in addition to the data contained in the claims standard, to help establish medical necessity for coverage and payment."
- NPRM expected November of this year implementing "a standard identifier to identify health plans that process and pay certain electronic healthcare transactions. It would implement one of the requirements for administrative simplification that have a national scope beyond Medicare and Medicaid."
- NPRM expected February 2006 that "would revise the electronic transactions and code sets standards mandated by HIPAA."
- NPRM expected April 2006 that "would revise the adopted transactions and code sets standards detailed in regulations specified by HHS on August 17, 2000, and February 20, 2003. The Secretary intends to propose any replacements for specific code sets."
- Final action on the notice of proposed rule-making (NPRM) issued April 18, 2005, expected in August 2006 that "would seek to establish a framework for enforcing compliance with the 'administrative simplification' provisions of HIPAA."
- Final action on the interim final rule issued August 15, 2003, expected December 2006 that "implements the requirements for electronic submission of Medicare claims, submitted on or after October 16, 2003. In addition, this rule also implements the conditions upon which a waiver could be granted for these requirements.
- Final action expected February 2008 on the Medicare Modernization Act, which "requires Medicare Part D plans and Medicare Advantage Plans to enable transmission of basic prescription data to and from doctors and pharmacies, and to adopt a number of the initial standards required for electronic prescribing."
May 17, 2005 CMS Begins Outreach Efforts for NPI, Including Roundtable Conference Call The Centers for Medicare & Medicaid Services (CMS) announced last week in a letter to providers that they may begin submitting online applications for the National Provider Identifier (NPI) on Monday, May 23. The NPI is the standard unique identifier for healthcare providers that was adopted under HIPAA. The announcement letter informs healthcare providers about the NPI, describes three ways to obtain the NPI, and gives them guidance as to what they should do once they have their NPI. The letter states that beginning on that day, CMS will provide up-to-date information about the NPI, including when and how to apply, on the National Plan and Provider Enumeration System web site.
CMS also announced it will host a National HIPAA NPI Roundtable conference call on June 22, 2005 at 2:00 PM ET. The call-in number is 1-877-203-0044 and the identification number is 5580682. No cost or registration required.
On June 15, 2005, from 1:00 to 2:30 PM ET, the Workgroup for Electronic Data Interchange (WEDI) will hold an audiocast discussion of the NPI to follow up on the issues raised at the 14th Annual WEDI National Conference session, "NPI - Let the Implementation Begin," which is slated for May 26, 2005. Cost for the audiocast is $135 for WEDI members and $195 for non WEDI members.
Find out more about WEDI's audiocast. 
Read CMS' letter to providers. 
Read more about the NPI.
May 13, 2005 Congress Introduces Health IT Funding, Safe Harbor Bill A bipartisan group of House members introduced legislation May 11 promoting healthcare IT adoption, reports Government Computer News. Senate majority leader Bill Frist (R-TN) and Sen. Hillary Rodham Clinton (D-NY) are
expected to introduce the Senate legislation in about three weeks. Rep. Patrick Kennedy (D-RI) and Rep. Tim Murphy (R-PA) sponsored the 21st Century Health Information Act (HR 2234), which would fund through grants and loans the startup of regional health networks, provide investment in administrative and clinical technology, and eliminate legal barriers that prevent hospitals from helping physicians adopt IT.
Critics say the legislation could lead to increased risk of invasions of privacy and possibly identity theft if appropriate protections are not provided. According to the Foundation for Taxpayer and Consumer Rights (FTCR), the legislation will create huge databases containing a patient's medical information including illnesses and genetic predispositions, alcohol and drug addiction, the medications the patient receives, and most likely, personal identifier information like Social Security Numbers. The bill requires health information networks funded through new technology grants to allow patients to "opt out" of including their information in medical databases but fails to hold database operators accountable when information is inappropriately accessed. "While better medical technology can save lives and money, this legislation puts consumers at risk of invasions of privacy and possibly identity theft." said Jerry Flanagan of FTCR. "At a time when information brokers buy and sell our private information to the highest bidder, database managers must be held accountable when identity thieves take advantage of lax security precautions and make our private information public."
Read more.
May 13, 2005 HHS Secretary and Leading US Companies Say Health IT Should Be Urgent Priority Department of Health and Human Services (HHS) Secretary Mike Leavitt issued a new report this week citing investment in information technology (IT) as an essential, high priority for the American healthcare system and the US economy. The report, “Health Information Technology Leadership Panel: Final Report,” was released by the Health Information Technology Leadership Panel whose members are corporate executives in large companies that purchase a substantial amount of healthcare for their employees.
Read more.
May 12, 2005 Senate Hears Support for Data Breach Law that Pre-Empts State Laws Senate committees are holding hearings on private data companies that currently have little oversight and few rules that protect public privacy, reports InternetNews. As they have in previous appearances before Congressional panels this year, executives from ChoicePoint and LexisNexis again apologized for their companies' well-publicized data breaches while touting their strengthened security measures. Tuned into the current Capitol Hill clamor for federal action, both companies said they support a data breach disclosure law as long as it pre-empts any existing state laws. If forced to accept regulations, the companies prefer to deal with one federal standard as opposed to a patchwork of state laws. Senators Bill Nelson (D-FL) and Charles Schumer (D-NY) are co-sponsoring new legislation requiring notification to consumers when their data is compromised and cracking down on the sale of Social Security numbers.
Read more. 
May 12, 2005 Privacy Groups Criticize Senate for Passing Electronic ID Card Bill The Senate yesterday passed a bill that would create an electronic ID card designed to stop illegal immigrants from getting driver's licenses, reports Computerworld. But critics said the bill would bring the US a giant step closer to creating a national ID system. The House of Representatives already passed the bill, which was tacked onto an Iraq military spending measure, earlier this year. The legislation requires states to issue federally approved electronic ID cards, including driver's licenses. Anyone without such a card would not be able to board an airplane, an Amtrak train, open a bank account or enter a federal building. Called the Real ID Act, the bill mandates that driver's licenses and other ID cards include a digital photo, features designed to thwart counterfeiting and a "common machine-readable technology" that could include a radio frequency identification (RFID) tag. The mandates take effect in May 2008.
Read more. 
May 10, 2005 US Group Launches Online Personal Health Record Program A service launched yesterday by a coalition of professional medical groups will allow patients to see, change and share medical records on the Internet. The service, called iHealthRecord, will let patients control their own records, while allowing doctors access when they need it, hopefully providing a way for doctors and patients to replace thick medical charts and swap information without the need for costly and time-consuming office visits. The system is being provided by Medem Inc., an online medical services company set up in 1999 by medical societies such as the American Medical Association, American Psychiatric Association, and American Academy of Pediatrics.
Find out more at iHealthRecord.org. 
May 5, 2005 CMS Posts FAQ on HIPAA Security Incidents & More Today, the Centers for Medicare and Medicaid Services (CMS), in charge of enforcing the HIPAA Security Rule, posted five new frequently asked questions (FAQ) to its web site concerning security incidents, risk analysis, and user IDs. The FAQs address:
- Must business associates report security incidents to the covered entity?
- What does the HIPAA Security Rule require a covered entity to do to comply with the Security Incidents Procedures standard?
- What are some examples of threats that covered entities should address when conducting their risk analysis?
- Must plan sponsors report security incidents to the group health plan?
- Does the Security Rule permit a covered entity to assign the same log-on ID or user ID to multiple employees?
Read CMS' HIPAA FAQ. 
May 5, 2005 The Economist Looks at Barriers to Health IT The Economist this week examines the "woeful, even scandalous" failure of the worldwide healthcare industry to adopt health information technology, reports iHealthBeat. The healthcare industry spends roughly 2% of its revenues on IT, compared with 10% in other information-driven industries. Healthcare IT is especially lagging in the US because of "special complications," the Economist reports, such as financial incentives that "are not exactly aligned" to facilitate IT adoption and concern over privacy despite the adoption of HIPAA.
Read more. 
May 4, 2005 Senate Majority Leader to Introduce Healthcare IT Bill Senate Majority Leader Bill Frist (R-TN) is preparing to introduce legislation that would address the technical requirements and financial incentives needed to help the healthcare system electronically exchange clinical information and achieve widespread adoption of computerized health records, reports Healthcare IT News. Frist is circulating a draft of the legislation among Senate Republicans; it is uncertain when Frist will introduce the legislation. The draft of the legislation addresses development and maintenance of healthcare IT standards, regulatory barriers that may prevent the electronic exchange of health data, security standards of systems purchased with federal funds, patient control over personal health information, and the future role of the National Coordinator for Health Information Technology.
Read more. 
May 3, 2005 Leavitt Calls for Move Toward Interoperable Health IT Standards Department of Health and Human Services' (HHS) Secretary Mark Leavitt said yesterday that IT is the "big gear" that can transform US healthcare and the government needs to lead the way by setting up a "clear set of operating standards" to harness its benefits, reports AHA News. Speaking at the annual membership meeting of the American Hospital Association (AHA), Leavitt suggested the government may need to assist hospitals in absorbing the costs of adopting IT. He called for "old-fashioned" collaboration among government and healthcare organizations to move toward interoperable IT standards.
Read more. 
May 3, 2005 Users Need to Know What to Expect from E-Records Projects Managing expectations is one of the critical components of a successful electronic medical records system implementation, says Major Cathy Walter, director of healthcare informatics at William Beaumont Army Medical Center in El Paso. Walter was speaking at the American Nursing Informatics Association's 12th Annual Conference last week in Las Vegas, reports Health Data Management. "You have to tell end-users in great detail what the new system will do and what it will not do," Walter emphasized.
Read more. 
May 3, 2005 ASC X12N Implementation Guide Available for Review The ASC X12N Healthcare Provider Inquiry and Response (274) Implementation Guide (004050X185) is now available for industry review. X12 is an Accredited Standards Committee (ASC) under the American National Standards Institute (ANSI). The purpose of this implementation guide is to acquire provider information such as demographics, contact information, specialty, etc., without having to receive, store, or support complete provider directory information. This transaction can also support the acquisition or validation of the National Provider Identifier. The information supported within the response transaction could be used for patient referrals, contact information for provider consultation, validation of the NPI prior to claims submission, provider enrollment, and or credentialing processes.
The public review period began April 24 and will close on May 24 at 8:00 PM EDT. The authors will review and discuss any and all comments following the public review period. Official work group responses will be sent to the individual commenter who submitted the comment and will be posted to the online conference. This is the only public review period. For a complete understanding of changes being made to the guide, reviewers should monitor the online conference during the public review period and review all author responses prior to the Informational Forum.
Download the draft implementation guide. 
Submit comments on the draft implementation guide. 
May 3, 2005 Off-Site Storage Firm Loses Tapes with 600,000 Social Security Numbers Iron Mountain Inc., which provides off-site storage for companies' computer backup tapes, admitted yesterday that it lost backup computer tapes belonging to customer Time Warner - tapes that included Social Security numbers and sensitive information on 600,000 current and former Time Warner employees, reports the Boston Herald. The news immediately triggered calls for Congress to pass tougher laws protecting personal data and private identities. It may also push more companies to encrypt information before storing it with third-party records management companies such as Iron Mountain.
Read more. 
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