Morning Headlines 7/10/15

ICD-10 Medicare FFS Acknowledgement Testing: June 1 through 5, 2015

CMS reports that 90 percent of submitted claims were accepted during its latest round of ICD-10 acknowledgement testing. Most rejected claims were the result of errors within the submission, and no claims system issues were identified.

Obama nominates Slavitt as CMS administrator

Andrew Slavitt is nominated as the next CMS administrator, a position he has held on an interim basis since Marilyn Tavenner stepped down in February.

Theranos and Capital BlueCross Team Up to Provide Innovative, Low Cost, Accessible Lab Testing Services in Central Pennsylvania

Lab services vendor Theranos announces a partnership with BlueCross to offer lab tests at a cost 50 percent below Medicare reimbursement rates.

Gary Fingerhut out as Cleveland Clinic Innovations executive director

Cleveland Clinic Innovations Director Gary Fingerhut quits after the FBI discovers that he made inappropriate financial transactions related to a Cleveland Clinic spin-off company. 

Morning Headlines 7/9/15

Cerner to Replace Department of Defense’s Anatomic Pathology Laboratory Information System

The DoD selects Cerner as its next laboratory information system vendor, replacing its existing LIS applications across all Military Health System facilities.

Thompson, Harper, Black, Welch Introduce Bipartisan Legislation to Expand Telehealth Services

US Representative Mike Thompson (D-CA) along with three co-sponsors introduces a bipartisan bill that would remove geographic barriers to telehealth services and increase the use of remote patient monitoring technologies for Medicare patients. The bill was referred to the House Ways and Means Committee.

New Patient-Focused Commitments to Advance the President’s Precision Medicine Initiative

The White House publishes proposed research guidelines for its Precision Medicine Initiative, aimed at protecting patient privacy. Public comments are open until August 7. The announcement also highlights several new initiatives aimed at increasing patient awareness about their right to get digital copies of their medical records.

Why medical journals must make researchers share data from clinical trials

BMJ becomes just the second major medical journal to require research data sharing as a condition of publication, joining PLOS. The NIH, World Health Organization, and Cochrane Collaboration have called for de-identified patient data collected during clinical trials to be shared with the the larger research community, but information sharing is still an uncommon practice.

Morning Headlines 7/8/15

Checking on your doctor? Even feds’ database is flawed

CMS’s National Provider Identifier database, which was developed to provide patients with a way of researching physicians, is found to contain tens of thousands of errors and mismatched provider identification numbers. 

With $2.1B in digital health funding, first half of 2015 is keeping pace with 2014

Rock Health publishes its mid-year digital health funding report. Investments in health IT have mirrored the amounts seen in 2014, with an uptick in later stage funding rounds and M&A activity.

Delaying Certain Penalties Relating to Meaningful EHR Use By

Rep. Steve King (R-IA) proposes an amendment to the 21st Century Cures Act that would delay Meaningful Use penalties and rebate penalties already paid by eligible providers.

This Medical Charity Made $3.3 Billion From a Single Pill

The Cystic Fibrosis Foundation nets $3.3 billion by selling its royalty rights to Kalydeco, the first drug approved to treat the underlying cause of CF.   The foundation had been funding CF drug research in exchange for a share of royalties on any treatments developed since the late 1990s.

Morning Headlines 7/7/15

CMS and AMA Announce Efforts to Help Providers Get Ready For ICD-10

AMA announces that after negotiating with CMS, the two have agreed on changes to the ICD-10 transition plan that will provide a one year grace period in which ICD-10 claims without the appropriate specificity documented will still be accepted.

Meaningful Use Program: Why it failed and how to save it

Niam Yaraghi, a Brookings Institute fellow in the institution’s Center for Technology Innovation, suggests that MU2 failed because clinicians were never presented with a compelling reason to fully embrace health IT. He proposes mandating efficiency improvements in hospitals and practices, and then granting providers the flexibility to adopt whatever IT solutions they need to achieve those goals.

Despite regulatory troubles, DNA testing firm 23andMe raises more money

Personal genetics vendor 23andMe raises $80 million of a planned $150 million Series E funding round, its first investment activity since 2012, before it ran into significant regulatory problems with the FDA.

$237 million Tuomey judgment upheld by federal appeals court

A federal appeals court upholds a $237 million False Claims Act verdict against Tuomey Healthcare System (SC), exceeding the hospital’s annual revenue. The fine stems from charges that in the early 2000’s Tuomey knowingly filed thousands of illegal claims worth $39 million to Medicare.

Happy Data Independence Day!

Former national coordinator for health IT Farzad Mostashari, MD launches #DataIndependenceDay, a call to action for the public to request electronic copies of their medical records and then share their experiences.

Morning Headlines 7/6/15

Theranos receives FDA clearance and review and validation of revolutionary finger stick technology, test, and associated test system

Palo Alto-based lab test vendor Theranos announces that it has secured FDA clearance for its testing process, which it says is cheaper, faster, and requires a smaller sample than traditional lab tests.

Aetna Agrees to Buy Humana for $34.1 Billion

Aetna will acquire Humana for $34.1 billion, or $230 a share, a 23 percent premium over Humana’s closing stock price on Thursday.

In Health Law, a Boon for Diet Clinics

The New York Times analyzes a component of the ACA that requires insurers to cover nutrition and obesity screenings and the effect the requirement is having on the for-profit weight loss industry.

Deadline confusion threatens EPAS rollout to new hospital

In Australia, the Royal Adelaide Hospital, a new 800-bed facility being constructed in South Australia, may fail to bring its Allscripts EHR implementation live prior to its scheduled 2016 opening because it mixed up its own go-live deadlines and has been struggling with clinical adoption issues.

Morning Headlines 7/2/15

Teladoc shares surge 50% in healthy IPO debut

Dallas-based telehealth vendor Teladoc raises $157 million in its IPO debut, valuing the company at $620 million. Stocks closed at $28.50, up 50 percent on its first day.

The Fatal Cost of Hospitals’ IT Ignorance

Leah Binder, president and CEO of Leapfrog Group, publishes a Wall Street Journal editorial suggesting that poor health IT implementations are plaguing US hospitals because the health care industry lags behind in technology and, as a result, hospital administrators lack the experience needed to successfully implement the new systems.

Doctors See Big Cybersecurity Risks, Compliance as Key for Hospitals

A survey of 272 physicians, administrators, and health IT professionals finds that physicians have a significantly lower opinion of their hospital’s ability to defend against a cyber attack than health IT professionals and administrators, and are far more likely to cite EHRs as the hospital’s primary vulnerability.

CMS: Hospitals can attest to first year of ‘meaningful use’ this summer

ONC will allow hospitals participating in Meaningful Use for the first time this year to attest this summer rather than waiting until January 1 as it had previously planned. 

Morning Headlines 7/1/15

Allscripts Takes $200M Equity Position in NantHealth and Expands Strategic Alliance to Enhance Precision Genomic Medicine at Point of Care

Allscripts invests $200 million in billionaire Patrick Soon-Shiong, MD’s startup NantHealth, taking 10 percent ownership of the company in return. At the same time, Soon-Shiong personally invests $100 million in Allscripts. The two have formed a partnerships to integrate and market their respective product offerings together.

Patient Use of Email, Facebook, and Physician Websites to Communicate with Physicians: A National Online Survey of Retail Pharmacy Users

CVS publishes findings from a study of customers with at least one chronic condition, finding that 37 percent reported contacting their physician by email within the last six-months.

Epic chosen as new electronic health record system for UC Irvine Health

UC Irvine Health (CA) announces that it will implement Epic as its next EHR.

Vietnamese 7th grader devises comprehensive, handy medical software

A seventh grader in Vietnam has coded a program designed to help doctors and medical students review the latest medical research for conditions they see regularly. The system includes 300 evidence-based treatment plans and is now being used at Hau Giang General Hospital’s Internal Medicine Faculty.

Morning Headlines 6/30/15

Source Data Capture From Electronic Health Records: Using Standardized Clinical Research Data

The FDA will host a demonstration day for vendors to showcase technology that will help it mine EHRs for automated clinical trial data capture.

Despite Threats, Senate Appropriations Bill Currently Remains Free of ICD-10 Delay Amendment

Though a number of competing bills have recently been introduced in Congress to delay or outright cancel the upcoming ICD-10 transition, AHIMA reports that the Senate Appropriations Bill remains free of any language that could derail the transition.

Improving prediction of fall risk among nursing home residents using electronic medical records

Researchers develop an algorithm that uses either EHR data or MDS 3.0 data to predict fall risk for patients in the nursing home setting, finding that EHR data was almost 10 percent more accurate at forecasting falls.

Texas medical fraud case screams for tighter auditing by feds

The Dallas Morning News looks back on the $18 million Meaningful Use attestation fraud scam that left the owner and CFO of Shelby Regional Medical Center (TX) in jail, citing it as a key example of why the program needs more stringent audits.

Morning Headlines 6/29/15

Indictment In UPMC Stolen Identity Scheme

A federal grand jury in Pittsburgh returned a 21-count indictment against a foreign suspect charged with filing 900 fraudulent tax returns using the information of UPMC employees, The employee’s data was compromised in a 2014 breach that impacted 62,000 employees.

State Of Software Security – Volume 6: Focus on Industry Verticals

A Veracode report finds that healthcare is poor at keeping up with security policy compliance, with 80 percent of tested healthcare applications containing cryptographic issues, and only 43 percent of known issues being corrected.

Electronic Health Records Come Under Fire in Ventura County, Calif.

The Ventura County (CA) civil grand jury says that the Ventura County Health Care Agency failed to adequately prepare for its $50 million implementation of Cerner across two hospitals and 40 clinics. The new system, which the director of the Health Care Agency says is working fine, reportedly caused frequent crashes and problems generating prescription labels.

Morning Headlines 6/26/15

Supreme Court saves Obamacare

In a 6-3 decision, the Supreme Court rules in favor of preserving ACA subsidies for the six million users obtaining insurance through Healthcare.gov.

Arcadia Healthcare Solutions Acquires Leading Managed Care and ACO Implementation Provider Sage Technologies

Data aggregation and analytics firm Arcadia Healthcare Solutions acquires Sage Technologies, a company focused on helping provider groups transition from fee-for-service to value-based reimbursement models.

CVS Health Announces New Clinical Affiliations with Four Leading Health Care Organizations

CVS will use its Epic EHR to begin sharing visit and prescription information with four new clinical affiliates: Sutter Health (CA), Millennium Physician Group (FL) Bryan Health Connect (NE), and Mount Kisco Medical Group (NY).

HIStalk Practice Interviews Steven Stack, MD President, AMA

HIStalk’s own Jenn interview’s incoming AMA president Steven Stack, to discuss chronic disease management and prevention, improvements to medical education, and the impact EHRs and reimbursement reform is having on the provider community.

Morning Headlines 6/25/15

MDLIVE raises $50M from private equity firm

Telehealth vendor MDLive raises a $50 million investment round from private equity firm Bedford Funding.

Best Places to Work in IT 2015

Health IT was well represented on Computerworld’s “100 Best Places To Work In IT” list for 2015. The list included Cerner, Humana, Kaiser Permanente, Intermountain Healthcare,  HCA, and a number of other health systems.

Mobile app improves rates of CPR in cardiac arrest cases, studies find

A New England Journal of Medicine study investigates a mobile app that alerts CPR trained individuals when someone nearby needs help by pulling information from 911 dispatch systems. In the study, the app increased the likelihood of heart attack patients receiving CPR by almost 15 percent.

Welcome to our Newest CommonWell General Members

CommonWell Health Alliance welcomes T-Systems, Caremerge, and HIEs from Michigan and Texas to its health data exchange platform.

Morning Headlines 6/24/15

Google Reveals Health-Tracking Wristband

Google X Labs has developed a health tracking wristband that monitors pulse, heart rhythm, sink temperature, and environmental conditions such as light exposure and noise levels. “Our intended use is for this to become a medical device that’s prescribed to patients or used for clinical trials,” says Andrew Conrad, head of the life sciences team within X Labs.

Less than 15% of Doctors Use RI Health Information Exchange

In Rhode Island, less than 15 percent of providers are using the state’s $25 million health information exchange, while 75 percent have yet to even setup their account.

Healthcare Revenue Cycle Management | 2015

Peer60 publishes a report on value-based payment models, with 36 percent of respondents reporting that they have already migrated to a new reimbursement model. Respondents expect that the changes will reduce capital spend, but only seven percent expect efficiency gains.

Beacon Hospital to become Ireland’s first paperless hospital

In Ireland, Beacon Hospital signs with EHR vendor Sláinte Healthcare in a deal worth $3.5 to $5 million USD. While a local paper predicts the deal will result in the first paperless hospital in Ireland, Sláinte’s CEO subtly clarifies, “It will scan historical charts and paper files as necessary.”

Morning Headlines 6/23/15

Provider Experiences with HIE: Key Findings from a Six-State Review

ONC publishes a report on provider perceptions of state health information exchanges, finding that the needs of providers and ACOs have surpassed the basic requirements outlined in MU. Access to care summaries, ADT alerts, and medication reconciliation support are the most valued services offered by HIEs.

Cigna rejects Anthem takeover bid

Cigna has rejected a $47 billion offer to acquire the insurer by larger rival Anthem, calling the offer inadequate and “woefully skewed in favor of Anthem shareholders." The offer came in at $184 per share, an 18 percent premium on Cigna’s closing stock price on Friday.

Budgetary and Economic Effects of Repealing the Affordable Care Act

The CBO publishes the financial implications of repealing the ACA, finding that regardless of whether the entire law is repealed or only the contested federal subsidy portion, any repeal will add to the national deficit.

House votes to repeal medical device tax

A bi-partisan majority in the House of Representatives votes to repeal the Medical Device Tax enacted as part of the ACA. The President has promised a veto should the bill clear the Senate.

Morning Headlines 6/22/15

Aerospace Medicine Safety Information System (AMSIS)/ Request for Information

The FAA publishes an RFI for a system that it will use to track medical certifications, coordinate its substance abuse program, and integrate with NHIN and state and regional HIEs to collect medical information on pilots.

Personalized Technology Will Upend the Doctor-Patient Relationship

Harvard Business Review predicts that wearables, implanted devices, and medical apps will eventually deliver a 24/7 picture of individual health, revolutionizing the way chronic diseases are treated and managed and creating a gold-rush style influx of activity from existing businesses and startups. 

8 Indicted in Identity Thefts of Patients at Montefiore Medical Center

Eight Montefiore Medical Center (NY) were indicted Friday on charges of selling 12,000 medical records for $3 each, exposing the names, birthdays, and Social Security numbers of its patients.

Tamper-proof pill bottle could help curb prescription painkiller misuse, abuse

Engineering students at Johns Hopkins University’s Whiting School of Engineering createda 2.7 pound, 9-inch tall, tamper-proof pill bottle that uses fingerprint scanning technology to ensure that narcotics are dispensed only to the prescribed patient. The team cites the growing number of prescription drug-related overdoses as the motivation behind their work.

Morning Headlines 6/19/15

Health and social care leaders set out next steps to transform NHS services and improve health outcomes using technology and data

In England, the NHS announces that patients will be given real-time access to their entire digital health records by 2018. UK citizens are already able to book appointments, request prescription renewals, and view medical record summaries online.

New NHS e-Referral service ‘unavailable until further notice’

Also in England, the NHS’s new online appointment scheduling system has been taken offline until further notice after going live on Monday. The service, whose predecessor was used by 40,000 patients per day to schedule appointments until last week, launched despite 33 known issues, including missing functionality and slow loading times.

Making appropriations for the Departments of Labor, Health and Human Services, and Education

A draft budget created by the House Appropriations Committee reduces ONC’s requested $75 million budget to $60.4 million, and provides no funding for its proposed ONC Patient Safety Center.

National Medicare Fraud Takedown Results in Charges Against 243 Individuals for Approximately $712 Million in False Billing

The Department of Justice announces that it has arrested 243 individuals, including 46 doctors, in connection with a Medicare fraud scheme that netted $712 million through false billing. The arrests were the largest coordinated takedown in the history of the DOJ’s Strike Force.

Morning Headlines 6/18/15

Fitbit raises $732M in its IPO, $37M more than expected

Fitbit finalizes its IPO, raising $732 million at a $20 per share price, for a total valuation of $4.1 billion. Shares will begin to trade this Thursday under the symbol FIT.

Congressional GOP plans to continue health law subsidies

As the Supreme Court nears a ruling on a case challenging the legality of ACA subsidies paid on behalf of seven million Healthcare.gov consumers, congressional republicans announce that they will move forward with a plan to extend those subsidies through the end of the year while they draft their own healthcare reform plan.

US Nonprofit Hospital Tax Exemption Almost Doubles Between 2002 And 2011

Health Affairs publishes a study finding that the total value of tax exemptions enjoyed by non-profit hospitals has grown to $24.6 billion, up from $12.6 billion in 2002.

Doctor On Demand Pulls In $50 Million To Continue Expansion Of Its Virtual Doctor Visit Platform

Three-year-old telehealth vendor Doctor on Demand raises a $50 million Series B funding round to accelerate the growth of its platform. The company also announced that it has signed its 200th employer-customer.

Morning Headlines 6/17/15

CMS Internal Controls Did Not Effectively Ensure The Accuracy Of Aggregate Financial Assistance Payments Made To Qualified Health Plan Insurers Under the Affordable Care Act

An OIG report finds that CMS paid subsidies on behalf of Healthcare.gov and state insurance exchange customers without verifying that payments were made on behalf of confirmed enrollees or verifying that payments were made in the correct amounts.

What makes an EHR “open” or interoperable?

AMIA proposes an objective definition of EHR interoperability that calls on vendors to support data extraction, medical record transmission with structured data elements, exchanging records via record locator service queries, supporting migrations to another vendor by moving existing records to another EHR, and providing APIs that allow third-party apps to access and write to the EHR.

Bethesda health tech company raises $30 million

Bethesda, MD-based digital health startup Aledade raises a $30 million Series B to expand its ACO transition support firm. The company was founded by Farzad Mostashari, MD, former national coordinator for health IT, shortly after he left ONC.

CVS to Buy Target’s Pharmacy Business for $1.9 Billion

CVS acquires Target’s pharmacy business, which includes 1,700 pharmacies within Target stores, for $1.9 billion.