WASHINGTON – The president of the American College of Physicians told members of a Congressional subcommittee this week that a full-scale adoption of healthcare information technology would significantly improve quality in the U.S. healthcare system.
Lynne Kirk, MD, president of ACP, testified before the Subcommittee on Regulations, Healthcare and Trade of the House Committee on Small Business. She urged Congress to act decisively to promote adoption of healthcare IT at the solo and small practice level.
“To achieve immediate quality and healthcare savings through [healthcare IT], Congress must recognize the significant financial barriers for solo and small practices,” Kirk said. “It must offer creative solutions to stimulate adoption of [healthcare IT] where most Americans receive healthcare – in offices of one to five physicians.”
Kirk was one of five panelists speaking to Members of Congress at “The Value of Health IT to Solo and Small Practices” hearing. She told the Subcommittee that the high cost of implementing electronic health records prevented most physicians from adopting the technology.
“Depending on the size of the practice and its applications, acquisition costs average $44,000 per physician,” said Kirk. “The average annual ongoing costs are about $8,500 per physician. The business case does not exist to make this kind of capital investment.”
Kirk said that in order to overcome the financial barriers preventing most physicians from acquiring EHRs and other healthcare IT, Congress must consider changing current physician reimbursement policies.
ACP recommends that Congress implement an add-on code to the Medicare physician payment system that relates to the complexity of healthcare IT adopted by a physician practice. The organization also wants Congress to allocate funding for solo and small practices to make an initial investment in healthcare IT.
“Without adequate financial incentives, solo and small physician practices will be left behind the technological curve,” Kirk said.
The American Medical Association also endorsed increased Congressional attention to the financial challenges faced by small physician practices that are considering adoption of healthcare IT.
In a statement submitted to the subcommittee, the AMA called for Congress to consider increased reimbursement for the use of healthcare IT, accelerated depreciation for healthcare IT investments, tax credits, and other incentives.
“The decreasing revenue from public and private payers, high medical liability insurance premiums, and state and federal mandates, make the cost associated with implementing [healthcare IT] a significant impediment for physicians,” said William G. Plested, MD, president of AMA.
