Quality Systems, Inc. parent company of NextGen, has announced that it will add three new directors to its board to avoid a proxy fight initiated by activist investor Clifton Group. The deal will send Clifton Group nominees James C. Malone, Peter M. Neupert, and Morris Panner to the board. In exchange, the Clifton Group will withdraw both its call for the current board to be replaced as well as its series of bylaw proposals that would have been up for vote at the next shareholder meeting on August 15.
An EHR replacement trends report predicts a 50 percent reduction in the crowded field of EHR vendors by 2017 or the implementation Meaningful Use Stage 3. The study polled 880 EHR consultants, analysts, managers, and support team members on the state of affairs in what it calls the "Year of the Great EHR Switch."
In a finance oversight meeting with Farzad Mostashari, MD, Senator Orrin Hatch proposed a pause to the Meaningful Use program to evaluate whether the program may have "set the bar too low." He says the program should be judged not by how much incentive money has been spent, but on demonstrable improvements in patient care.
Vancouver, WA-based PeaceHealth is targeting $130 million in spending cuts to account for reduced reimbursement rates and a planned $350 million EHR implementation that will take place across its health system over the next few years. Cost-saving strategies will include voluntary furloughs, early retirement, reduced travel, leaving vacant positions unfilled, and consolidating the number of contractors.