Monday Morning Update 4/25/11

From A Friend: “Re: McKesson. Did you see they lost their appeal for patent infringement to Epic? The products affected are what is now called RelayClinical Communicator vs. MyChart.” I did see that, although the verdict was filled with a lot of legalese and dissenting opinions, which probably means the fat lawyer hasn’t sung yet. McKesson’s original patent was for putting visit-specific information on a Web page for patients, including offering online scheduling and refill requests. The judge found that Epic doesn’t make those capabilities directly available in MyChart, which requires patients to request the service and physicians to approve their request. On that basis, Epic is off the hook – for now. The ruling doesn’t really hurt MCK all that much since it only prevents them from insisting that Epic pay up.

From Cantankerous: “Re: videos on HIStalk. Is there a way to view them on the iPad?” I don’t think so. Apple refuses to work with Flash, which is how YouTube videos stream. You could use the YouTube app that’s included in the OS, but I don’t think you can do that without searching for the video all over again from YouTube. All of that’s good news for companies selling Android-based phones and tablets.

From Ishmael: “Re: Meditech 6.0. I was hoping for something that would improve my workflow, but all I got was a new graphical front end to the exact same functionality as 3.0 and 4.0 except that it now takes 50% longer to do it. Time is all I have and anything that takes it away without compensating me for it is my enemy. It’s not helping me, the doc who has to use it, and it’s taking nurses away from my patients so they can spend more time staring at a screen.”

From Outside Insider: “Re: iPad not being revolutionary. The device weighs just over a pound, you can access your network and systems, you don’t need an input device other than your fingers, and your developers can write apps that will let you access your data any way you want. Would you be as comfortable carrying around a laptop or rolling a PC on a cart? Those who don’t recognize the advantages to change are typically the last to implement and are behind the curve in realizing the benefits.” My iPad has a great screen and very cool apps written specifically for it, but I’ve found the iPod Touch to be the real game-changer since I don’t carry an iPhone. It’s always on and has a huge battery life and quick recharge time, so I check e-mail, CNN, and the weather last thing before bed and first thing in the morning. Sometimes I stream Netflix over it while sitting outside or in the kitchen. For both devices, the key to my satisfaction was to buy a cheap non-USB charger so I could top off the batteries quickly from a wall socket anywhere. The Touch costs only around $200 and carries no recurring expense since it hops happily onto the WiFi at home or work. My record still stands: I use the Touch all the time, and even though it’s primarily a music player, I’ve yet to play an MP3 on it.

From The PACS Designer: “Re: Microsoft Office 365 beta. Now that Microsoft has launched its online version of Office, those of you who could enhance your business practices by incorporating Office can contribute to further refinement of the Office 365 release by participating in the improvement process for this product, and also possibly improve your day to day operations for the future.” It starts at $6 per user per month, which is $6 per user per month more than Google Docs (although to be fair, you’d have to pay Google $4 per user per month for Google Apps for Business to get the uptime guarantee that’s probably not needed anyway). The Microsoft offering includes stripped down versions of Word, Excel, PowerPoint, Outlook, OneNote, and parts of SharePoint. Personally, I find Microsoft’s offerings confusing: there’s also Windows Live SkyDrive (free)and Office Web Apps, all to replace Office 2010 (which you can buy in a three-user license pack for $120 and with no stripping down or need for Web connectivity). I find Google Docs to be pretty clunky and not all that intuitive, so maybe that’s a market for whatever Microsoft ends up releasing. It should be most attractive to small business that haven’t already bought Office and don’t want to manage servers. Maybe I’m naive, but I just don’t see the average user needing to collaborate to an extent that e-mail doc swap doesn’t address, so I personally wouldn’t use either service enough to justify paying for it.

From GoTooSlow: “Re: Valley Medical Center, Renton, WA. Has signed with Epic to replace many modules.” Verified, apparently, since I found the above in the minutes from the hospital board’s December 13, 2010 meeting. It seems to me (without any hard data to prove it) that McKesson is losing more Horizon Clinicals customers to Epic as a percentage than any other vendor, which might have been expected given that those customers were the only ones with significant doubts that their vendor and product would get them ready for MU requirements in some survey I recall from a few months back.

From Lucy Gucci: “Re: Epic. They gave me a great start in healthcare IT (I didn’t exactly have recruiters pounding on my door as a fresh liberal arts graduate), but it’s truly a sweatshop for most people because of 70-80 hour weeks, lack of work-life balance, and travel. I got sick during a Monday-Saturday work trip and had to go to urgent care. The PA there said they see Epic staff constantly because they travel during normal appointment hours and need antibiotics since they can’t take time off to recover. In our March 2011 staff meeting, Judy spent five minutes going over the HIStalk awards and seemed to be tickled pink with her ‘industry figure with whom you’d most like to have a few beers’ award, although she said the would have to drink a chocolate milkshake since she doesn’t drink – at corporate events, we have ‘mocktails.’ As is obvious, sales are through the roof and we dread hearing the wedding music playing over the PA to indicate a new sale since Epic truly does not have the experienced implementation staff to support all the new customers. Experienced employees used to have two customers, now 3-4 are the norm. Please keep me anonymous – Judy warns us every single month at the staff meeting not to post anything about Epic to blogs.”

This weekend was an almost-first: I whisked Mrs. H away to a beach mini-vacation and didn’t touch the laptop until we got home. There was mango sangria, walking in the surf, watching a horrible Burt Reynolds movie (was that redundant? – well, it was Stroker Ace, which is bad even by low Burt standards, but I couldn’t look away given the mammoth thespian talents of Jim Nabors) while drinking wine in front of the TV with the sea breeze wafting in, and eating some excellent fish tacos and goat cheese with mango salsa (it was a two-mango weekend). I’m sunburned, behind in my work, and not a bit regretful about either. 

The feds aren’t exactly wowing those of us in the industry with their Medicare and Medicaid fraud-fighting record, with 95% of respondents saying they’re doing something less than a good job. New poll to your right: will the Meaningful Use requirements significantly improve patient outcomes and patient safety?

My Time Capsule editorial from 2006: Joe Sixpack’s Concerns About Privacy and Security Need to be Taken Seriously. A snip: “Odd, isn’t it, that a physical break-in seldom reflects poorly on the company being victimized, but an electronic one immediately triggers outrage and disbelief?”

Cerner COO Mike Valentine resigns the job he’s held for three years for unstated reasons, although the company claims it has nothing to do with its upcoming earnings announcement. He will be replaced by Mike Nill, EVP and chief engineering officer, who oversees the company’s solutions and technology management. Nill, who joined Cerner in 1996, holds a bachelor’s degree in computer information systems from Rockhurst University and was previously with Andersen Consulting.

In addition to the COO change, Cerner also announces that SVP Zane Burke has been promoted to EVP over the client organization that covers the Americas and the Pacific Rim. He joined Cerner in 1996.

More HIStory from Vince Ciotti.

The New Mexico REC accepts Sage Intergy Meaningful Use Edition as a qualified product.

Adena Health System (OH) chooses MedsTracker 5.0 from Design Clinicals for medication reconciliation.

The CDC-funded Lab Interoperability Cooperative is recruiting hospitals to participate in a program that will connect their labs with public health agencies as required by ONC’s Meaningful Use criteria. LIC will provide educational and technical assistance to at least 500 hospitals help them electronically transmit lab results. The underlying technology is the Surescripts Network for Clinical Interoperability. Participants include AHA, the College of American Pathologists (and CAP-STS – SNOMED Terminology Solutions), and Surescripts. A readiness checklist is here.

MedPlus puts a cool green bus on the road to demo its Care360 EHR. I should tag along since it’s as close to a rock star tour as we’ll get in this industry, although there was no mention of groupies or trashing hotel rooms.

Big Boston physician groups Atrius Health and Fallon Clinic are in talks to merge, with their common software platforms for EHR, PM, and patient scheduling being cited as a reason that action makes sense.

Banner Health and Poudre Valley Health System will participate in the Colorado RHIO, which awkwardly calls itself the CORHIO HIE since a substantial part of its name came from a fad that has already become passé.

Stupid: a former Ohio neonatologist pleads guilty to signing up for a child pornography Web site using a hospital computer. He has surrendered his Ohio medical license, was fired from his most recent job as a Massachusetts researcher, and will serve 27 months in prison.

E-mail Mr. H.

News 4/22/11

Top News

CPSI reports Q1 net income of $5.37 million ($0.49/share) compared to $2.92 million in the prior-year period. Analysts were expecting $0.46. Sales revenue grew from $31.54 million to $40.38 million.

GE’s Q1 numbers: revenue up 6%, EPS $0.31 vs. $0.17, with $1.8 billion in profit from GE Capital. GE Healthcare put up good numbers.

Reader Comments

From Ishmael: “Re: Meditech. I am just loving being a Meditech beta tester for CHW’s rollout. It’s great when my livelihood and patients’ lives are on the line, especially when I’m not getting paid for it! I actually don’t mind the software as much as my median doc or nurse colleague, which are about an 80-20 split on hate/don’t mind. No one loves it.” I guess to be fair users almost never love enterprise software like they might Facebook or something. My armchair psychologist theory is that having software imposed on you with mandatory use is a reminder that you are subservient to management, and no matter how benevolent, nobody likes to give up control (and that’s what work software is – a package of rules, controls, and monitoring tools). Another problem I can cite from experience is that Meditech is the hardest system I’ve ever had to replace, and we’re talking the old Magic product – users hated anything that wasn’t Meditech. We took an IT black eye for replacing it in the hospital we acquired.

From St. Pauli: “Re: kudos. When I moved from medical practice to an informatics role, I researched any and all sources of information. HIStalk was one of the first I found and continue to read regularly. I admire anyone’s ability to write well and regularly and the expansion of HIStalk to include Inga, the reader polls, Dr. Jayne, Readers Write, and Ed Marx have increased HIStalk’s value logarithmically. I was recently promoted and would like to thank those responsible – my family, bosses, and employees. HIStalk is included in that list. This is not a lame attempt to get mentioned – I just want you and others that contribute to HIStalk to know the benefits you have given one of your readers.” Thanks – that made my day.

From Rango: “Re: HCRAP. Inga mentioned it, now I have to know what it means.” A couple of huge companies e-mailed to say, “We want to spend a ton of money and sponsor your site at a higher level than anyone else” (I’m paraphrasing slightly). I don’t do that – sponsorships are relatively inexpensive and everybody gets the same treatment – but I wanted to yank Inga’s chain. I first told her I was studying the Periodic Table of the Elements to find metals higher than Gold and Platinum and was feeling good about the Roentgenium Level and would calculate the price of that sponsorship based on its atomic number relative to those of the other metals. I then told her about the brainstorm I’d just had about two new sponsorship programs. The HS program (Hollywood Squares) allows a sponsor to not only run their own ad, but to buy the spots of their competitors (at a 50% premium) to block them from doing the same. The second option carries a 100% surcharge, for which we will send every news and rumor item about a company for their approval before we run it, which I dubbed the HIStalk Company Reputation Assurance Program (HCRAP). She was suitably amused, or at least pretended to be.

From iFad:”Re: iPad. It’s cool, but does anybody really think it’s revolutionary? We’ve had PCs for going on three decades and are still trying to figure out how to use them in healthcare. Call me a cynic, but there aren’t many paperless healthcare organizations and pie-in-the-sky simplicity and streamlined workflows remain just that. Reality check poll: if you own an iPad, do you really expect improved outcomes or productivity that you couldn’t get from a PC?”

HIStalk Announcements and Requests

  Several dozen companies have asked to be featured in the innovation showcase I’m starting up. As usual, my reach exceeded my grasp given that my time is almost non-existent between my hospital job and HIStalk job. Despite my being the rate-limiting step, it’s underway, albeit in a more controlled manner than I’d like. Stay tuned. I hadn’t heard of several of the companies that are interested, which I think is great since I’ll learn about them along with everyone else.

Welcome to new HIStalk Platinum Sponsor HMS of Nashville, TN. HMS provides Meaningful Use-ready enterprise solutions for 680 hospitals, focusing on the often-forgotten community and specialty hospitals that deliver much of the care out there in the real world. They’ve been around since 1984 and offer a broad line of products: EDIS, LIS, PACS, pharmacy, radiology, surgery, AP/GL/MM, payroll/T&A, HIM, quality management, transcription, CPOE, eMAR, device integration, clin doc, patient accounting, claims, document management, and a bunch more I left off since the list is obviously comprehensive. The company’s inpatient EHR, EDIS, and ambulatory EHR all earned ONC-ATCB certification in 2011 and HMS clients are already receiving inventive payments for using them, which can be run locally or hosted by the company. Thanks to HMS for its support of HIStalk.

Jobs on the job board, where sponsors post free: RVP Sales. On Healthcare IT Jobs: IS Clinical Systems Analyst II Nursing, SAN Administrator / Engineer, Epic Ambulatory Specialist.

Acquisitions, Funding, Business, and Stock

The State of Wisconsin awards Merge Healthcare $500,000 in JOBS Tax Credits and a $500,000 loan from the department of commerce to consolidate operations at its Hartland, WI facility. The project is expected to create 100 jobs and represents a $2 million investment.

Quest Diagnostics reports a 13.3% drop in net income compared to last year, falling from $162.4 million to $140.8 million ($0.86/share). Analysts expected $0.99 to $1.05. Revenue was up 1%.

Here’s the Cerner video presented by the ADP and the Small Business Administration, featuring co-founder Cliff Illig. It’s good.

Israel-based EarlySense, which sells a continuous patient monitoring system whose sensor resides under a bed mattress with no direct patient contact, announces that it will locate its US headquarters in Massachusetts. MetroWest Medical Center was also announced as the company’s first Massachusetts hospital customer.

Canadian vendor PatientOrderSets.com, which I mentioned last time, gets $750K in funding from a government-funded accelerator.

Sales

Emerus Hospital Partners (TX) selects InsightCS patient access, patient accounting, and revenue cycle information solutions from Stockell Healthcare Systems.

Allina Health System chooses Micromedex from Thomson Reuters as its drug information vendor after a month-long bake-off.

In Canada, Ottawa Hospital orders 1,800 iPad 2s for its physicians, saying they will pay for themselves through increased productivity and reduced errors.

NextGen gets a $6.7 million contract extension to provide an EMR to Maryland’s prison system.

People

Sad news: Craig Maszer died on April 11, 2011 at Brigham and Women’s Hospital after a long battle with multiple myeloma. He was a resident of Andover, MA and a principal at Champions in Healthcare, where he worked alongside his mother, industry long-timer Stephanie Massengill. Others may remember him from his time with Sentillion and Eclipsys. Craig Maszer was 46 years old. Condolences.

Omnicare names Randy Carpenter to SVP/CIO. He was previously CIO of HealthSouth and had hospital CIO experience before that.

University of Arkansas for Medical Sciences (UAMS) names David Miller as vice chancellor and CIO. He was formerly with University of Chicago Medical Center. I think I probably mentioned that awhile back — he and I swap e-mails occasionally and he let me know as soon as it was official.

OB-GYN PM/EHR vendor digiChart names Phil Suiter as president and CEO. The former president and CEO, founder and Vanderbilt professor G. William Bates MD, will remain with the company as board chair.

Former HealthPoint Medical Group CIO Steve Fisher joins MD Solutions as SVP of advisory services.

Announcements and Implementations

 

McKesson Horizon Enterprise Visibility earns top marks in KLAS’s new report on patient flow solution. TeleTracking and Allscripts Sunrise Patient Flow earned the next highest ratings. Only 20% of hospitals are using a patient flow system, but 85% of those say they provide benefits, especially in terms of resource collaboration and communication.

Denver Health (CO) implements Microsoft’s Chronic Condition Management platform to facilitate communication between providers and diabetic patients and promote better self-management of chronic conditions.

Wayne Memorial Hospital (NC) goes live on EXTENSION’s HealthAlert for Nurses for nurse call messaging.

The Methodist Hospital System (TX) will use the Rothman Index for scoring patient condition from EMR information into a dashboard.

Two Siemens Soarian customers successfully attest for Meaningful Use Stage 1: MedCentral (OH) and Riverside (VA).

Government and Politics

Indian Health Service becomes the first federal agency to have its EHR (the IHS Resource and Patient Management System, or RPMS, based on the VA’s VistA) certified as a complete EHR.

Other

A Sage Health survey finds that patients believe EHR use increases care quality and results in a more accurate health record. Eighty percent of patients have a positive perception of EHRs, compared to only 62% of physicians; privacy and security is a concern for 81% of patients but only 62% of  doctors. Both groups agree that the biggest benefits of EHRS are real-time access to records and  the ability to share information among providers.

A Texas hospital tries to convince county voters to create a hospital tax district after it experiences financial losses, layoffs, and wage freezes. The new tax dollars will pay for a  new EMR, which will cost $1.2 million plus $18,000 per month maintenance.

Strange: the family of a patient who died after heart surgery is suing the surgeon and hospital after an anonymous caller told them that the surgeon’s 7-year-old daughter was showing a video of the surgery to her friends. The family claims the surgeon was so interested in making the movie for his daughter that he left the OR before the revascularization procedure was complete, allowing a non-physician to close and monitor the patient. The family also claims they found out only after the surgery that the surgeon has the worst outcomes of any surgeon in the state for the procedures he performed.

Sponsor Updates

• Healthcare Growth Partners releases its Q1 2011 market and M&A report, which summarizes the capital market, M&A, and capital raising activity for the HIT and services sector.
• Salar’s TeamNotes and Charge Capture software products earn ONC-ACTB EHR modular certification from Drummond Group. 
• Central Illinois HIE picks ICA as its vendor of choice to provide the HIE’s technology and infrastructure.
• ZirMed and e-MDs partner to offer eMD clients ZirMed’s RCM services.
• MEDSEEK obtains CCHIT ONC-ACTB EHR module certification for its eHealth ecoSystem, Version 3.4.
• The Huntzinger Management Group posts a video of its HIMSS presentation Discussing the Future Viability of Hospitals.
• Hartford Hospital (CT) reports it has increased its early discharge rate nearly threefold by offering its clinicians access to Carefx’s business intelligence dashboard.
• Harrison Medical Center (WA) is live on GE Healthcare’s eHealth Information Exchange.
• EMRConsultant.com adds more than 100 EMR products to its database, a free service used by over 12,000 practices.
• Mission Hospital (CA) has implemented Meditech C/S 5.64 CPOE at both its Mission Viejo and Laguna Beach campuses, assisted by H/P Technologies, which has been involved with Meditech and Epic go-lives at Cedars-Sinai, Mission Hospital, and University of Chicago.

EPtalk by Dr. Jayne

Earlier this week, the College of Healthcare Information Management Executives (CHIME) addressed a letter to new National Coordinator for Health Information Technology, Dr. Farzad Mostashari. It summarizes CHIME’s comments on ONC’s Federal Health IT Strategic Plan.

After the introductory pleasantries, CHIME delves into key areas close to many of us:

• Consent issues for health information exchange, not only clarifying how consent will be stored / transmitted, but how it will integrate with personal health records; unifying the patchwork of laws across various states; and national standards to pull it all together and fix the problem created when HIPAA allowed states to preempt federal regulations.
• Making movement to Stage 2 Meaningful Use requirements contingent on having a certain percentage of providers and hospitals compliant with Stage 1.
• Clarifying disagreement between HIPAA and HHS (Department of Health and Human Services) regulations on timely release of information and making sure that granting patients instant access to health information will not be harmful.
• Greater focus on the usability of technology.

As a practicing physician, the last one has the greatest impact in my day-to-day practice. There have been some unfortunate downsides to the speed of the Meaningful Use timelines. The relatively short time between the publication of the final rule and implementation has stressed vendors intent on incorporating items that may or may not be clinically helpful, yet cannot be ignored if they are seeking certification.

Let’s just look at a simple measure, documentation of tobacco use. Prior to the Meaningful Use hubbub, many EHRs did a perfectly fine job of collecting the information physicians needed to do appropriate health interventions. Physicians saw patients, counseled them, documented their findings, etc. However, MU required the documentation to meet certain standards of compliance. Was there any randomized, controlled study that showed that documenting tobacco use in a certain way changes patient outcomes? Or was it just nebulously decided that it should be “this way” going forward?

I’m certainly not privy to how it was all worked out, but vendors did a fair amount of retooling to make sure all the MU items were documented in the prescribed fashion. Don’t get me wrong, I support uniformity, the ability to report data across disparate systems, etc. But I also can’t help but think that the amount of development, testing, and implementation resources that were focused on making software changes that don’t materially benefit physicians (or patients) could have been better spent on making systems more usable.

This doesn’t even take into account the amount of time and resources spent by EHR customers to upgrade perfectly functional/serviceable systems to “certified” versions, regardless of pre-existing organizational priorities. A CMIO friend of mine laments the sheer number of projects (many of which would really have provided benefit to his physicians and their patients) that have been placed on hold so that all resources can focus on achieving Meaningful Use. The pursuit of MU has put his organization back a year or more on its five-year strategic plan.

I hope that ONC gives some thought to these comments as well as the thoughts of many others in the trenches who have submitted their thoughts. Do you have an interesting comment submitted to ONC? E-mail me.

Contacts

Mr. H, Inga, Dr. Jayne, Dr. Gregg.

News 4/20/11

Top News

CMS’s EHR Incentive Program attestation process is live.

Sad news: industry longtimer Marc Holland died suddenly on Saturday, April 16, 2011. He joined HIMSS as VP of market research four months ago following positions with System Research Services, several market research firms, and Montefiore Medical Center. He wrote a nostalgic reflection of his 30+ years as a HIMSS member in January, including his optimism that healthcare IT’s future is bright. Marc Holland was 62.

Reader Comments

From Petra: “Re: first-day Meaningful Use attesters. Why aren’t more vendors promoting customers who have successfully registered? They’ve hyped this for a year, so I would expect a flood of news. Where’s the beef?” I haven’t seen anything mentioned. It may not be all that newsworthy, but you know at least some of the rags would run the story anyway and vendors don’t usually turn down free PR.

From HIS Fan: “Re: UW Health (University of Wisconsin health). Announced yesterday that CMS has accepted its Meaningful Use data for Stage 1 as submitted. They are an Epic shop and achieved Stage 7 last year.”

 From Dr. Victor EHRlich: “Re: Epic’s mammography module. Two customers are planning to de-install in favor of niche vendors.” Unverified.

From WildcatWell: “Re: Dell’s aggressive EMR marketing efforts. I called and the phone kept ringing and ringing, redirecting a caller to sales and then ringing … well, I stopped after five minutes. How do you think support calls will be handled?” I tried the number and it was not necessarily a pleasant PBX experience, but someone did pick up after six rings or so. I’m not listing the number since someone will surely shriek that I’m pandering to a sponsor (via Dell’s acquisition of InSite One), but it’s easy to find. I would try again since maybe you just caught them at a bad time.

From Kerplunk: “Re: Zite for the iPad. It’s a content discovery app that I’m in love with and it’s free.” It’s a personalized magazine that gets smarter as you use it, the developer says (and the 4+ rating seems to indicate that users agree). One of my first and favorite iPad apps was Flip, so I’ll try Zite to see if it’s similar.

From Susan: “Re: Concerro. They released a video at AONE that is racist, a takeoff of the Apple vs. IBM commercial in which a disheveled black woman represents paper scheduling and a well put together represents electronic scheduling. As a black nurse, I find this reprehensible.” I watched the video and didn’t have that reaction since companies can never seem to please everyone with their well-intended attempts at representing diversity or by just treating everyone (like actors) equally. However, since I’m seeing it through white male eyes, I invited Concerro to respond.

Thank you for taking the time to express your concern about our new video. The Concerro marketing team went to great lengths to find the best actors for each of the roles in all of our videos. Our “paper” actor was selected because she played an excellent frazzled nurse and a younger person was needed to play the role of a “less experienced” nurse. It’s unfortunate that this has been taken out of context and we sincerely apologize for offending anyone. Concerro stands by these videos and we are proud of our actors.

 From NonCredentialedTechie: “Re: from Slashdot. The head of a clinical division at an academic hospital sets up his own server at work, asks IT to allow people to access it through the hospital network, and is ‘taken aback’ when they say they’ll need an account on his server. The best part are the comments.” I love this, even though it may be a troll and not a real clinician writing it. The author claims he’s miffed that IT isn’t thrilled about his server and says he’s considering “taking this up the chain” and asks readers if they think he should give IT an account. Here’s the best response from the many hundreds posted:

What you’ve done would cause any professional IT group to get out the hot tar, feathers, and rail. Or at least come into your office and ask you politely to remove the damn server from their facility. And never do this again. You must have missed all the security briefings, the issues with HIPAA, and whatnot when you were looking at systems. What you’ve done is to create a ‘rogue system’. Imagine one of your kids sets up a server in your house. You don’t understand it, you don’t know if it’s happily sniffing network traffic to steal passwords so pizza can be ordered using your credit cards, serving up pr0n, or just running minecraft. Would you willy nilly allow the kids to open a port on your firewall without the ability to audit what they’re doing ? Of course not. Personally I’m amazed that they only asked for an account on your little server. I would have gone over and watched while you removed it from the facility and put in in your car.

HIStalk Announcements and Requests

  Listening: new Foo Fighters. I never paid them much attention, but I should have … Wasting Light sounds great first time through. It was recorded directly to analog tape in Dave Grohl’s garage, yielding a sound that I nostalgically remember as “music” before lesser talents hijacked the term sometime in the late 90s to define computer-created dance tracks. This is amazingly good and gets a rare highest recommendation from me.

Acquisitions, Funding, Business, and Stock

Cerner is one of six companies profiled in a new video series by the Small Business Administration. Cerner vice chairman and co-founder Cliff Illig shares details of how he and fellow entrepreneurs Neal Patterson and Paul Gorup created the company in 1979 and how Cerner has evolved over the last 32 years.

Healthcare disclosure management provider MRO Corp. acquires the assets of Keystone Management Solutions, a provider of release of information services.

Community Health Systems files a motion to dismiss the lawsuit filed against it by Tenet Healthcare, which claims CHS admits ED patients for purely financial reasons. CHS, whose December bid to buy Tenet for $5 per share in cash and $1 in stock was rejected as insufficient, changed its offer to a $3.3 billion all-cash offer, saying that move eliminates the basic for Tenet’s lawsuit against CHS, which alleged securities fraud. This pair is like hot-blooded lovers who can’t decide whether to kill each other or to make passionate love (or maybe both simultaneously). I think I’d be cautious about waving $3.3 billion in cash around right as the public tries to figure out where to cut healthcare costs.

Sales

HealthInsight selects Axolotl’s Elysium Exchange infrastructure for the Nevada HIE.

Physician management services organization TeamPraxis (HI) chooses Microsoft Amalga to facilitate the sharing of patient information.

Presbyterian Intercommunity Hospital and Bright Health Physicians (CA) will implement the Shareable Ink documentation system as part of its rollout of Allscripts Enterprise PM/EHR.

Five hospitals in Canada will implement order set management tools from PatientOrderSets.com, increasing the Canadian vendor’s client list to 140 hospitals. The company changed its name from Open Source Order Sets in January, explaining that its collaborative network is cloud-based, but not open source in the software development context.

Lutheran Medical Center (NY) contracts for Service Desk healthcare-specific IT help desk services from CareTech Solutions. The company started up 24×7 services within three weeks to support Lutheran’s EMR rollout.

People 

University HealthSystem Consortium (IL) hires Mike Hebrank as VP and CIO. His previous employers include Helix Health and Greater Baltimore Medical Center.

Announcements and Implementations

  Seventy Hawaii physicians on the island of Oahu form Health Information Helping Others (HIHO) as a pilot project for the Hawaii HIE. HIHO will use Wellogic’s Direct Project technology for data exchange and secure messaging. Got to love the happy acronym, which is far less cynical than some of the ones that recently concocted by Mr. H (HCRAP comes to mind).

Roche introduces a new EMR interface for the VA that transmits patient diabetes data into the VistA computerized patient record system. JResultNet allows providers to automatically transfer patient blood glucose test results from the ACCU-CHEK 360 Diabetes Management system to VistA.

Thomson Reuters announces Micromedex Drug Interactions for the iPhone. It’s free to Micromedex customers, $50 per year otherwise.

PenRad announces plans to develop the next generation of its PenVasc Vascular Data Management System for vascular labs.

General Dynamics becomes the first healthcare application service provider host to earn HITRUST certification, which documents that its hosting service meets HIPAA and HITECH security requirements.

Government and Politics

Lawmakers in Maine are considering legislation that would give patients the ability to control what portions of their medical record could be included in the state’s HIE.

Without any clear explanation, ONC extends the comment period for the Federal Health IT Strategic Plan: 2011 – 2015 from April 22 to May 6. Comments can be made or reviewed here.

The Kansas Board of Pharmacy will require pharmacies to use the NPLEx system, which alerts store personnel when customers try to buy products like Sudafed from multiple locations to skirt sales limits imposed to thwart methamphetamine production. The system is provided nationally by the National Association of Drug Diversion Investigators and paid for by the drug companies whose products are involved.

Innovation and Research

A BBC article says that governments like Britain’s spend billions on ambitious electronic medical records projects, but small upstarts are tackling much smaller problems with greater success. The CEO of a company that offers a smart phone-based communication system says that hospitals have spent a fortune on IT, but caregivers still can’t monitor patients with it. “Cans of tomatoes are being treated better than patients,” he says, referring to the more advanced technologies used by the average grocery store. Another company is piloting a cloud-based hospital management system in a 2,000 bed hospital in India, saying that it’s a poor part of a world, but patients there get “more efficient, more high-tech service than patients in the UK” because they didn’t have to work around legacy systems or government policies.

Do you run a small and innovative healthcare IT company? Does it offer a product (not a service) and have at least five employees and one referenceable site? If so, a team of volunteer HIStalk readers and I will consider giving you a national audience right here on HIStalk. This isn’t like a venture fair, where you have to fly somewhere, pitch to an indifferent audience of allegedly interested investors, and then go home with nothing to show for it. We’re offering you the chance to reach HIStalk’s readers directly and at no cost, just because I like to shake things up a little by giving the little guy a chance to earn customers and investors (and because readers keep asking me to showcase those little guys). If your company would like to be the guinea pig, e-mail me and we’ll work through some simple details. I’ll post your story, an interview with you and your referenceable site, and your video pitch.

Old news that I just ran across: MediAngels says it has launched the first 24×7 Global eHospital to serve patients anywhere in India and elsewhere over the Internet. It has 300 physicians, including those from 85 super-specialties, who will render consultations and second opinions. The maximum fee, which is charged only if an international panel of physicians is involved, is $100 US. It claims to meet HIPAA standards (which is says were “enacted by the USA FDA”) and can also arrange medical tourism.

Here’s a fun and interesting video featuring Halle Tecco, a new Harvard Business School grad who founded non-profit HIT accelerator RockHealth (mentioned here last week) with medical partners Mayo Clinic and Cincinnati Children’s Hospital. “I didn’t even go to Recruitment Week or apply for any of the big jobs because I knew it could be really tempting because they pay probably like five times as much as I’m going to make, but at the end of the day, I’m more concerned about doing something interesting and meaningful with my time on this earth, whether that’s right out of business school or ten years down the road.”

Other

Ten percent of ambulatory providers are switching PACS or RIS vendors due to market consolidation or poor vendor performance, according to a new KLAS report. KLAS also noted that providers will generally forego some functionality for solid PACS/RIS integration, though single-side vendors do well in their respective markets. Intelerad IntelePACS was the highest rated PACS and MedInformatix the top RIS.

The Rhode Island Board of Medical Licensure and Discipline reprimands a physician who posted details of her ER experiences on Facebook. The postings did not include any patient names, but the nature of the injuries described allowed at least one person to identify a patient. Alexandra Thran was found guilty of unprofessional conduct and ordered to pay a $500 administrative fee.

American Medical News runs an interesting question on its Ethics Forum: is it ethical for doctors to use their IT systems to “cherry pick” or “lemon drop,” meaning choosing only the healthiest patients to maximize pay-for-performance money while increasing costs overall? It gives interesting examples of Medicare HMOs, which have been caught recruiting only patients from affluent areas and discouraging sick patients from re-enrolling by charging high co-pays for dialysis and cancer treatments. It theorizes that the EMR could be a powerful profit-making machine since doctors could theoretically just drop patients whose performance targets would be difficult to meet. It’s an interesting article — if a system can be gamed, you can bet it will be, both legally and illegally (see: tax laws).

 Sponsor Updates by DigitalBeanCounter

• Vitalize Consulting Solutions held its all-company meeting at Hyatt Lost Pines Resort in Austin, TX earlier this month, including a build-a-bike team exercise that surprised 34 children of the local Boys and Girls Club with brand new bicycles, hlemets, and locks.
• Nathan Littauer Hospital (NY) selects ProVation Order Sets as its electronic order set solution.
• Cumberland Consulting Group promotes Amy Meiners to principal.
• Presbyterian Intercommunity Hospital and Bright Health Physicians (CA) sign an agreement to deploy Allscripts Enterprise EHR and PM solutions. The ambulatory systems will integrate with the hospital’s existing Sunrise inpatient EHR/RCM system.
• St. Joseph Health System (CA)  will implement MedPlus’s ChartMaxx electronic document management product.
• Cognify, Inc. selects Greenway’s PrimeSUITE to further integrate and advance its Web-based participant tracking system that monitors care plan continuums.
• The Rules-Based Charging solution of Surgical Information Systems earns the “Peer Reviewed by HFMA” standard for the fourth consecutive year.

Contacts

Mr. H, Inga, Dr. Jayne, Dr. Gregg.

Awarepoint Acquires PCTS

Real-time location system vendor Awarepoint announced this morning that it has acquired Patient Care Technology Systems (PCTS), a vendor of software that helps hospitals track people and physical assets. Terms were not disclosed.

Charlotte, NC-based PCTS has 60 hospital customers that include New York-Presbyterian, Advocate Health Care, Providence Health & Services, and Aurora Health Care. It will continue operating from its current office, with the PCTS executive team reporting to Awarepoint CEO Jay Deady at the company’s corporate headquarters in San Diego.

Deady was quoted as saying that the combined solutions will allow the company “to capitalize on an enormous untapped RTLS market” in which US market penetration is estimated at 10-12% and around 5% internationally. The company’s value proposition includes reducing medical equipment rental costs, reducing procedure time and nurse labor involved with in locating needed equipment, and ensuring that equipment is correctly reprocessed between patients.

We spoke to Jay Deady on Monday after running a rumor from RTLS Battle predicting that the acquisition would be announced this week. He said Awarepoint’s 93 hospital customers, having realized significant return on investment from the company’s asset management and tracking capabilities, were pressing the company to move quickly into patient workflow solutions that can support discharge planning and real-time monitoring.

“Integrating a workflow engine into our software and building out the workflow library was going to take 18-24 months,” he told us. “At our recent user meeting, our customers told me they are ready to go right now. Awarepoint and PCTS have three shared accounts — Christiana Care, Aurora, and Advocate Good Sam. I visited those clients and got rave reviews about PCTS’s workflow engine and content library. It just seemed logical to meet the needs of clients in accelerating to market and not taking two years to develop.”

Deady says that completing the transaction required “a very fast close” due to competing bids from private and publicly traded companies and a private equity firm.

PCTS’s relationships with other RTLS vendors will continue, Deady told us. “This is not a one-size-fits-all environment. We will continue to work with other technology partnerships. A lot of our clients were asking us about other RFID technologies, such as passive RFID for inventory tracking. PCTS has an RTLS integration engine and can integrate that in being able to play well in the sandbox with other active and passive players. That was a big decision point for us to merge with PCTS.”

Deady summarized the benefit to customers as being similar to the consolidation of hospital clinical systems starting in the late 1990s. “Customers don’t want to go to different companies for technology, inventory management, asset management, hand hygiene, and temperature monitoring. Up until a year ago, a hospital that wanted to deploy all these technologies would be doing business with seven or eight different companies. Our goal in merging with PCTS is to give them one place to go.”

Monday Morning Update 4/18/11

From RTLS Battle: “Re: Awarepoint. Word is the company outdueled Merge to buy PCTS, a workflow software vendor in Charlotte, NC, with former Allscripts VP Jay Deady (Awarepoint CEO) beating out another former Allscripts VP Jeff Surges (Merge CEO). Deal to be announced next week. Wonder if they’ll split deep dish pizza in Chicago any time soon?” Unverified. PCTS offers the Amelior product line that includes ED and OR asset and patient tracking, hand hygiene systems, and temperature monitoring. They are a business partner of Awarepoint.  

From The PACS Designer: “Re: net collaboration. InformationWeek has compiled a list of the 15 Top Collaboration Apps that promote working together using the Internet. With all that is going on with Meaningful Use, this compilation of collaboration tools is good for institutions who want to progress to the next level of efficiency, which is meaningful structure.” Most of the apps listed involve some flavor of project management in what would have been called a hosted Intranet a few years ago (I guess that’s not a commonly used word these days). I notice that Cerner is listed as a user of Jive Engage (a social media monitoring tool) for its “social network experience,” since the whole point of social media is to sell stuff, of course.

From Katrina: “Re: Healthcare Informatics Executive Summit. I work for a vendor and registered, but was told I needed to either come up with $7,000 of program sponsorship or bow out, which I did. I’m warning other potential attendees about the small print stipulation.” The keynote speakers that Healthcare Informatics won’t allow you see for your $1,095 registration fee are Farzad Mostashari of ONC and Carolyn Clancy of AHRQ, both paid with your tax dollars, so that’s a bit insulting. Maybe you could just register as yourself at XYZ Consulting, pay with your credit card, and put it on an expense report. That brings up another gripe: the registration form requires entry of your job title and employer. Why should someone paying their own registration fee have to provide that information? If my employer isn’t willing to pay for my attendance, why should they (and the conference organizer) enjoy the benefit of having their name on my badge?

From KS: “Re: Epic. Consultant advertisements are popping up at MSN airport. They, of course, also spell it EPIC. Wonder what they think EPIC stands for?” Maybe they’re just shouting the name because they’re so excited about the money they’ll rake in if they can just find some consultants.

From Tango Charlie: “Re: Epic. Duke will announce next week and Wake Forest is suppose to go Judy, too.” Unverified. Duke is going with at least Epic ambulatory, it seems (and as history has shown, hospitals don’t often stop there). Wake Forest (above) was on the list of hospitals attending Epic training for unnamed modules a couple of weeks ago that a reader sent my way.  

Nearly two-thirds of respondents like the idea of biometrically verifying the identity of those claiming Medicare and Medicaid healthcare benefits. New poll to your right: how is the federal government doing against Medicare / Medicaid fraud?

My Time Capsule editorial from 2006: RHIOS Are Taking Away Resources From Better Projects. A snip: “Do you like insurance companies enough to let them control patient information?”

Three free press release tips for you PR and vendor types: (1) always put out press releases in PDF format rather than .DOC, for about a thousand reasons that I hope I don’t have to explain to people who supposedly are experts at media; (b) never put a press release out on a national wire service but not simultaneously on the company’s own site – isn’t that kind of the point? and (c) if you’re going to mention a hospital, include the city and state it’s in. I could add dozens more, but these came up today.

Above is the latest history (is that an oxymoron?) from Vince Ciotti.

Shares in for-profit hospital operator Community Health Systems drop 14% in after-hours trading Friday after the company announces it has been subpoenaed by HHS in conjunction with an investigation of its Medicare and Medicaid billing. Rival Tenet Healthcare, which in December rejected an acquisition offer by CHS, accused CHS of billing fraud in a lawsuit it filed against CHS. HHS wants to review CHS’s ED practices and the algorithms in its Pro-MED ED physician documentation software, which may test that company’s claim that it “Meets and exceeds all CMS Physician Evaluation and Management Documentation Guidelines, ‘maximizing’ reimbursement” depending on how CHS set it up.

CMS is threatening to stop payments to University of Chicago Medical Center after finding that conditions there pose an immediate threat to patient safety. A prominent patient died after a medical error involving a dialysis catheter-caused embolism. Not to be cynical, but oversight organizations react a lot more forcefully when patient harm involves someone wealthy, famous, or the subject of splashy media stories. I’ve worked in hospitals involved in high-profile medical error cases and it was obvious that organizations such as Joint Commission, state hospital inspectors, and HHS don’t like having the hospitals they oversee embarrass them in the press, so their reaction is sometimes overly hostile and critical. I would question the effectiveness of any watchdog group that pronounces conditions dire only after they read about them in the newspaper.

A Rhode Island physician will be in line Monday morning when CMS opens the virtual doors for Phase 1 of the Medicare ARRA incentives. Douglas Foreman DO, a family practice physician who uses the Ingenix CareTracker EHR and its Meaningful Use dashboard, says he has met the 15 Core requirements and seven of the 10 Menu Set items (of which five are required to qualify for the incentives).

UCSF says it’s turning on Epic outpatient, with a price tag of $160 million vs. the originally estimated $60 million due to an expansion of the project’s scope (there’s more to the story I can’t see since I don’t subscribe to the San Francisco business paper).

My new favorite iPad app: the just-released Bing search (the irony of a Google-competing Microsoft app written exclusively for an Apple device duly noted). Not only is it stunning to look at, you touch the microphone icon and can immediately speak your search terms with good accuracy.

The Florid-based developer of the Electronic Medical Assistant software for dermatologists gets a $4 million investment from the British company that owns the Speedo swimsuit product line. Modernizing Medicine was founded by a dermatologist and the co-founder of the Blackboard online learning system used by colleges. The EMA software costs $6,000 upfront and $650 per month. One of its users says he can create 30 notes in 25 minutes.

The military’s TRICARE system team announces that its Blue Button functionality has been expanded to allow users to download include lab results, patient history, and visit history.

A post on Geek.com nominates this as one of the most inopportune times for a Windows update. It’s a picture of a woman’s hospital monitor during labor taken by the dad-to-be, a computer science professor. Perhaps the hospital’s biomed folks should take a look at the device since enabling automatic Windows updates on an FDA-regulated system doesn’t seem like a good idea.

Michael Kirsch, MD, is a pretty funny writer (he even looks a tiny bit like Jeff Foxworthy). His list of Apps I Want includes: “Medical Coding App. This turns your iPhone into a high voltage device, similar to the Invisible Fences that are used to restrain pets to a given area. Tap the App and then place the iPhone in your front pocket. After seeing a patient, if you code higher than you should on your EMR, you will get a light shock. The intensity will increase until you have expressed remorse, atoned and coded properly. I expect that Medicare will provide incentives for using this technology in the coming years.” 

A $5 million malpractice judgment against a Canadian hospital is thrown out when the hospital’s lawyers notice that 321 of the 368 paragraphs of the Supreme Court justice’s ruling were copied directly from the closing arguments of the plaintiff’s attorney. There appears to be some legal debate as to whether the judge crossed some unspecified line or whether that simply means the plaintiff’s legal team did the job they’re paid to do – create sound, well-referenced arguments that, if they win, must have had significant influence on the verdict.

Bizarre: the Texas patient who received the first US face transplant obtains a restraining order and files suit against a British tabloid that insists he sold them his story rights for $2. The man, who lost his eyes in the accident that necessitated the surgery, admits that he signed a document from the company, which told him they wanted to write a human interest story to be run in a women’s magazine. The tabloid has created TV programs that include “Is This China’s Fattest Kid” and “Legless Dancer TV Hit.” Maybe the biggest question is why a face transplant warrants tabloid coverage. How big of a page-turner could it be, especially when Charlie Sheen is out there spreading his Adonis DNA?

The OR of River Park Hospital (TN) goes live on Shareable Ink after a two-week project (kickoff meeting to go-live). They plan to expand its use.

Former iSoft CEO Gary Cohen files proceedings to delay the $188 million sale of the company to CSC, saying the company is required to give his family investment group four weeks’ notice before selling it. He previously said he was considering making his own offer to buy the company.

NPR runs a fun piece criticizing ACOs that includes four ACO jokes: (a) I don’t know how to define an ACO, but I know it when I see it; (b) We have tried ACOs already — they were called HMOs; (c) The three greatest mythical creatures are the abominable snowman, the Loch Ness monster, and ACOs; and (d) the true meaning of ACO is Awesome Consulting Opportunities.

Rochester RHIO says it’s the first HIE to allow patients to upload their advance directives and healthcare proxies so they can be viewed in an emergency.

Everybody’s fighting to protect their healthcare profits, it seems. Case in point: for-profit ambulance companies are fighting with the powerful firefighter’s union over who gets to provide those ultra-expensive (and often Medicare-paid) ambulance rides when people call 911 for whatever conditions they personally deem worth spending someone else’s money on. It would be interesting to study the outcomes of ambulance-transported patients to determine how often their medical needs justified it.

In the UK, designated early adopter Pennine Care Foundation Trust pulls out of NPfIT after years of delays in adding mental health capabilities to iSoft’s Lorenzo.

E-mail Mr. H.

News 4/15/11

Top News

Healthcare IT is one big reason that private practice docs are taking down their shingles and going to work for hospitals, according to experts interviewed by The New York Times. Unlike the Hillarycare era, there’s no turning back this time since reimbursement is encouraging that kind of vertical integration. The predicted result: less competition, leading to higher prices (although Kaiser is a mentioned as a disrupter in offering cited higher quality at lower cost). The experts seem pretty sure that quality will improve (like in Mayo or Kaiser, with salaried physicians), but not so sure costs won’t go even higher.

Reader Comments

From Hypocrisy: “Re: Judy Faulkner. She was quoted as saying at an ONCHIT Policy Committee meeting, ‘What is showing up in blogs — I have seen and sometimes been told about this — is that we have to be careful of an apparent conflict of interest. That is if, in fact, the primary spokesperson for PCAST does have products that would benefit tremendously by this, do we get into — and I know we’re not supposed to judge — the uncomfortable position of an appearance of conflict of interests.’ She’s apparently talking about Microsoft’s Craig Mundie, discussed a lot on HIStalk as a PCAST committee member. Presumably she does not see a conflict of interest herself in serving on the committee.” I didn’t see the quote, but it’s interesting if accurate. Just to clarify for those who don’t follow the confusing cast of government players, Judy wasn’t actually on the PCAST committee that made recommendations to the President that pretty much had HealthVault or Google Health written all over them – the only for-profit company employees on it were Craig Mundie from Microsoft and Eric Schmidt from Google. Judy is on the HIT Policy Committee, which has for-profit members from Kindred Healthcare, WellPoint, Gastroenterology Associates (a private doctor), and Epic (Judy). I wouldn’t think she carries the level of influence over that group that some have said Craig Mundie had over the PCAST report.

From Ludacris: “Re: rogue Meaningful Use. A vendor is e-mailing consultants offering a ‘private label’ EHR they can sell under their own name for a split of the revenue.” The company’s address appears to be a mail drop and the principals aren’t listed, although I found the CEO’s name elsewhere. The vendor’s Version 1.0 product is certified as a Complete EHR Ambulatory and the offer claims companies that want to private label it get their own name on the list of certified products. I suppose ONC didn’t address that issue – where the same product could be sold by multiple vendors under multiple names, each rightfully claiming to be offering a certified product. Certification was intended to reduce buyer risk, not buyer confusion, and some would argue that it has accomplished neither.

From Dingin: “Re: Epic. You mentioned Oakwood and Singing River. Both were at a recent class in Verona, along with others you probably already knew about: Nebraska Medical Center, Providence Anchorage, Contra Costa, Norton, MUSC, Wake Forest Baptist, University of Cincinnati, and Driscoll Children’s.” I confirmed with MUSC that they’re going only with the ambulatory products, dropping McKesson Practice Partner since it doesn’t work well with MUSC’s TELUS Oacis Health Data Warehouse, but keeping Horizon Clinicals on the inpatient side.

From Lorenzo: “Re: ICA. What’s going with them? Rumors of problems.” Not so, according to our Informatics Corporation of America contact. “We have just won Wyoming Medicaid HIE through our partnership with ACS, just selected as VOC with Central IL HIE, and we are hiring as fast as we can to keep up with recent wins of Middle TN eHealth Connect and KHIN. We’ve grown by 100% since the beginning of the year and we expect to grow by another 50% by year’s end in employees. Our funding is solid through our primary owners and we are working as hard as ever to meet customer demands. Go-lives of major clients are scheduled over many of our clients in the near future. Nothing could be further from the truth.”

From HISwalk: “Re: magazine. Does anyone else think this slide show paints a ridiculously rosy picture of several vendors given their current situations?” I’m not a fan of online slideshows when a simple list would have been much easier to read, but this one’s OK (the information it contains was provided by Vince Ciotti’s firm, so I’d trust it more than if the usual sideline reporters undertook their own analysis). I would say the list contains some opinion, some analysis that’s not quite current, and focuses on revenue (which was the point) and not necessarily profit or market trends. I don’t link to other HIT sites or rags since I don’t use them as sources, but you can probably Google your way to it if you’re determined to check it out.

From FACA: “Re: ONC Policy Committee. There’s a Webcast meeting on EHR usability and accessibility on April 21 at 9 a.m. It’s a public hearing, so questions are welcome.” The agenda is here. The presenter list is interesting. For some reason, the government, like others, capitalizes Epic (Epic does not spell it EPIC).

HIStalk Announcements and Requests

This week exclusively on HIStalk Practice: PracticeWise, a new  column by practice consultant Julie McGovern (who stirs up some discussion in her first post). Reefdiver weighs in on the value of certification in the EHR selection process (readers are opinionated on that topic, too.) KLAS  extends a free offer for HIStalk Practice provider readers. AMA tells CMS what physicians find most burdensome. Dermatologists ask patients for fashion advice. Americans want their physicians to use EMRs. So far, only six states have issued MU incentive checks. In honor of Leonardo da Vinci’s 558th birthday and because it makes me happy, please sign up for the e-mail updates while you are catching up on the latest HIT ambulatory news.

On the sponsor-only job board: Clinical Project Specialist, Software/Implementation Engineer, Healthcare Implementation Project Manager. On Healthcare IT Jobs: EHR/ePM Implementation Project Administrator, Coordinator Clinical Trials.gov, Project Manager – NextGen, Software Product Development Manager.

Acquisitions, Funding, Business, and Stock

Allscripts CEO Glen Tullman earned nearly $8.5 million between June 1, 2009 and December 31, 2010. That breaks down to $4.1 million for the 12 months ending May 31 and $4.5 million for last seven months of the year.

Streamline Health Solutions reports Q4 earnings: a net loss of $1.8 million compared to a profit of $1.6 million a year ago. Revenue fell from $6.3 million to $4.9 million.

In India, Michael Dell chats with local reporters on a number of topics, including healthcare IT:

We are #1 in healthcare IT globally. We acquired a company called InSite One, the leader in cloud-based archiving of medical images. We have taken that expertise all the way back to our product groups and created new offerings. IT in the healthcare industry is siloed. The CIO can’t make them work together. We have created vendor-neutral archives by speaking to medical equipment makers. We capture all the data and store locally or in our cloud archive.

Add Medicomp Systems to the long list of EMR vendors that have been sued by Prompt Medical Systems over the years. PMS has no Web presence, so I assume its primary output is legal rather than technical. It appears to be the brainchild of Bernard Milstein MD, an ophthalmologist, UTMB professor, and founder of The Eye Clinic of Texas who patented the use of CPT codes in computer systems in 1994 (even though AMA holds the copyright to the CPT codes themselves). He appears to be backed financially in his litigation lottery by an investment banker and securities company founder. None of the previous cases made it to court from what I can tell, so I’m sure PMS is banking (no pun intended) on the EMR vendors paying them to go away rather than risk being tied up endlessly in an expensive legal action.

Sales

The US Military Health System selects Mediware’s blood transfusion management system for 68 military health sites worldwide. MHS will also deploy Mediware’s LifeTrak and InSight to track donor records and product inventories in 28 blood donor facilities.

Palomar Pomerado Health (CA) chooses GSI Health’s HIE solutions to connect PPH hospitals and affiliated physicians.

Cooper University Hospital (NJ) awards a contract to MedQuist for computer-assisted coding technology and outsourced coding services.

Girard Medical Center (KS) signs with Cerner.

Regional Medical Imaging (MI) chooses Merge Healthcare’s radiology information system, expecting to receive $600,000 from Meaningful Use incentives for its 13 radiologists. Merge says 90% of radiologists are eligible for MU money and it will pursue certification for its RIS to help them earn it.

Announcements and Implementations

Kaleida Health (NY) says it is actively adding EMR capabilities across it hospitals and clinics. Its $20 million Cerner implementation should be complete by the end of 2012.

Tift Regional Medical Center (GA) goes live with RTLS temperature monitoring and asset tracking from AeroScout.

athenahealth creates a “burn unit” to handle physician practices that have been burned by old EMR systems and are looking for new solutions. CEO Jonathan Bush says about 35% of his company’s new EMR clients are replacing old EMRs.

ODIN announces EasySpecimen, an RFID-based pathology specimen management system, licensing the technology from Mayo Clinic.

England’s Department if Health announces completion a project to move all prisons to a single electronic medical records system, allowing them to transfer records when inmates are moved. The article takes jabs at NPfIT, saying the prison system has more detailed information than NPfIT’s Summary Care Record.

Government and Politics

CMS’s healthcare fraud enforcer (a pediatrician and lawyer) says he’s going to crack down on criminals, many of them working out of South Florida, who are scamming Medicare and Medicaid for up a quarter trillion dollars per year. Much of his arsenal involves smarter payment software that can detect fraud more quickly, needed since the fraudsters are using electronic billing systems to commit their crimes. Says one expert, “The crooks know now that these computerized payment systems are their best friend. They will study carefully the art of billing correctly, they will produce electronic transactions that are perfect on their face, but it’s just a pack of lies.” An irony: Florida Governor Rick Scott was CEO of the company (Columbia HCA) that admitted to extensive Medicare fraud, costing the company $2 billion to settle.

ONC’s got some job openings for a program manager and three policy analysts.

Innovation and Research

CalPERS claims its integrated healthcare pilot saved $15.5 million between January and October 2010. Pilot participants include Blue Shield of California HMO, Catholic Healthcare West, and Hill Physicians Medical Group. The organizations’ combined efforts led to a 17% reduction in patient readmissions, a half-day reduction in the average LOS, and a 50% drop in stays of 20 days and longer.

West Wireless Health Institute awards its $10,000 developers’ challenge prize to a skin cancer detection app. The physician developer, who is a veteran and a melanoma survivor, created the iPhone app for his own self-examination.

Other

CIOs say their organizations will qualify for Meaningful Use incentives, but not as early as they predicted a few months ago. In an August 2010 CHIME survey, 28% of responding CIOs predicted qualifying for funds by April 1 compared to 7.5% of CIOs participating in a survey last month. About 32% of the CIOs expect to qualify by September 30, 2011 and an additional 58% anticipate Stage 1 qualification by the end of the 2013 fiscal year. Only 26% of community hospital CIOs believe they will qualify for stimulus funds by September 30, 2011.

Strange: a “stunning blonde” in her 20s, bidding over the Internet, buys more than $50,000 worth of items ranging from a stuffed owl to furniture at an auction in England. The auctioneer called her to arrangement payment, only to have the telephone answered by a doctor, not surprising since she’s a hospital inpatient committed under the Mental Health Act. Her credit checked out, but the hospital won’t let her pay, so the auctioneer says he’ll sue the hospital.

Umass Memorial Healthcare pulls 10 employee kiosks out of service when they discover that anyone walking up to the kiosk could view pay stub information from the previous user. The IT people changed the software and removed bank account information, then put the kiosks back out.

Associated Press gets punked: a couple of anti-corporate troublemakers float a phony press release with GE’s name on it, saying the corporation will donate its $3.2 billion tax refund to the US Treasury since the American public is upset at learning that GE paid no taxes on $14 billion in profit. AP ran the story without doing anything more than clicking on the link to the convincing-looking but phony Web site, only to pull their news item down less than an hour later.

A reader sent this in for Inga and her shoe-loving followers.

Sponsor Updates

• Advanced Endoscopy & Surgical Center (NJ) contracts with Wolters Kluwer Health for its ProVation MD procedure documentation and coding software.
• Design Clinicals and the AHA are hosting a Web demo April 21 entitled Electronic Medication Reconciliation: Achieving Stage 1 Meaningful Use and Full Compliance Joint Commission Standards with MedsTracker. 
• Concerro creates a cute video that compares workforce management tools to paper-based systems, à la the Mac versus PC commercials.
• eClinicalWorks announces that 2,000 practices have successfully upgraded to Version 9, eCW’s ONC-ATCB  certified MU version.
• Access announces a new version of its e-Signature solution to help providers create paperless registration and bedsid consent processes.

EPtalk by Dr. Jayne

This week marks the 150th anniversary of the start of the American Civil War. What does that have to do with healthcare IT, you ask? Maybe more than you think.

I was listening to NPR when Adam Goodheart, author of 1861: The Civil War Awakening, was interviewed. Charleston, South Carolina (which I’d love to visit if the right invitation presents itself) was the scene. Miscalculations on both sides about who would flinch first ultimately pushed events past the point of no return.

Towards the end of the interview, Terry Gross asks, “Some states today want the right to basically be able to nullify federal legislation in their state and not obey it. For example, not to follow the new health care policy that Congress passed. Do you see that as like a contemporary expression of similar divisions dating back to the Civil War?”

This was just a tiny part of the interview, but it really struck me about how divisive things are in health care politics right now. I certainly don’t think we’re on the brink of Civil War, but we are a house divided.

Acceptance of recent federal legislation is love/hate. There’s confusion on whether Meaningful Use will be repealed, revamped, or replaced. For the first time, I recently heard physicians (who had previously stalled on implementing an ambulatory EHR because they weren’t sure the Meaningful Use final rule was ever going to be final) state that they were holding off on going paperless because they feel healthcare reform (and the accompanying MU legislation) will be repealed.

I think many people agree that this train has somewhat left the station. There’s no guarantee that it might not stop somewhere along the tracks, but it already has pretty good momentum. (Anyone seen the movie Unstoppable with Denzel Washington? Watched it recently — a good diversion from reading yet another stack of documents about forming an Accountable Care Organization.)

It will be interesting to see how quickly challenges (to not only federal, but various state legislation) make it to the United States Supreme Court. Given the current makeup of the Court, I wouldn’t lay odds on any outcomes just yet.

Most large healthcare organizations that depend on Medicare payments aren’t willing to take chances or play the game of wait and see. They need to implement certified systems now and demonstrate Meaningful Use so that they can not only receive incentive payments, but prevent the stick that will ultimately follow the carrot. Whether incentive legislation will be repealed or only partially implemented, we don’t know, but I’m pretty sure the Centers for Medicare and Medicaid Services won’t forget the idea of cutting reimbursements by using lack of technology as an excuse (at least not any time soon).

A lot of people are excited about the billions of dollars flowing into the health IT industry. I envision industry lobbying that will rival Big Pharma in intensity and scope if the effort to repeal recent legislation gains any serious traction. There are plenty of consultants waiting to deal with the things that happen when physicians and hospitals select and implement hastily, not to mention vendors that will be poised to sell replacement systems as the industry consolidates.

There you have it. If you’re ever confronted with an SAT-style question asking for a modern-day analogy to the Civil War, please feel to plagiarize, no citation needed. And if you can recommend a conference that will give me an excuse to visit South Carolina, let me know.

Contacts

Mr. H, Inga, Dr. Jayne, Dr. Gregg.

News 4/13/11

Top News

  UnitedHealth Group unites its health services businesses under the Optum brand and renames Ingenix to OptumInsight. In addition, Prescription Solutions becomes OptumRx. UnitedHealth says the brand unification makes it easier for the market to understand the company’s full capabilities and helps align market engagements. I say the name change makes it easier for me to be confused and I’ll need awhile to align the name in my head. Mike Mikan will serve as CEO of the Optum group, while the CEOs of each company will remain the same.

HHS launches a $1 billion patient safety initiative aimed at making hospital care safer, more reliable, and less costly. The Partnership for Patients is a public-private collaborative and will work to decrease hospital-acquired infections 40% and reduce hospital readmissions 20% by the end of 2013. If successful, HHS predicts $50 billion in Medicare savings over the next ten years.

Reader Comments

  From P. Cockroft-Gault: “Re: open source biology. Love this guy’s drive and motivation.” Stephen Friend, MD, PhD, a former Merck SVP of cancer research, quits his job to start a non-profit to turn genomic analysis into a “wisdom of the crowds” type project, putting more intellectual horsepower behind unlocking genetic secrets and making the results non-commercial. “Our hallowed academic institutions have become factories for people who are trying to keep their own employment, their tenure … the whole reward structure keeps people from sharing the data that makes that connection …We’ll make it or not depending on whether our community of interest goes viral,” he says. In the TEDx talk above, he says the era of defining a disease by its symptoms is over since much more information is available at the molecular level.

From Veronica: “Re: Epic. Judy’s making noise in Wisconsin.” An article says the Greater Wisconsin Committee PAC is funded by children of George Soros, labor unions, and “Madison liberals who don’t unionize their own companies” (that would be Judy).

From Harold: “Re: John Caswell. I thought it would be nice if you mentioned his passing. He was with Compucare/QuadraMed for more than 28 years and will be missed by many in the industry.” Sorry it took so long to get this up, but I was waiting on confirmation from QuadraMed since I found nothing online. John David Caswell, 53, died on April 1, 2011. Details, guest book, and memorial contribution information can be found on the funeral home’s site. They did a nice job on his tribute video, set to Steppenwolf’s Born to be Wild. Condolences.

From Ling Cod: “Re: Black Swan moment. That book suggests that humans are wired to explain complex, chaotic events with simple theories that make them sound plausible even though they don’t predict anything (like reasons that stock markets crash). I challenge your readers to think about the Black Swan moments that may affect the alleged rapid adoption of EHRs and the possibility that, within a couple of years, providers will find the compliance wasn’t worth the aggravation. Possibilities: (a) some or all of the stimulus could be revoked, or (b) CMS may make EHR adoption mandatory with no further incentives if you want Medicare / Medicaid money.” The gauntlet has been thrown down. Feel free to add your thoughtful comments or submit something to me directly. The Black Swan reference, by the way, is the title of a book taken from the fact that experts had all kinds of convincing reasons that swans are always white (chief one being that they’d never seen a black one), which sounded great until a black swan was found.

HIStalk Announcements and Requests 

Listening: Royal Hunt, a Danish progressive band. Hits the spot in a Dream Theater kind of way.

Bored? Feeling as though the whole world is a tux and you’re a pair of brown shoes? My suggestions: (a) put your e-mail address in the Subscribe to Updates box to your right and feel immediately spiritually connected to the 7,288 folks who get my spam-free e-mail updates the instant I write something new; (b) do all those friendy / likey / connecty things on Facebook and LinkedIn, which will let you ride the vast social network that Inga, Dr. Jayne, and I enjoy (not really since we’re anonymous, but we get some superficial satisfaction as long as we don’t think too much about it); (c) send me news and rumors suitable for mongering; (d) peruse the sponsor ads to your left or their links to your lower right and investigate their offerings while feigning deep interest; and (e) use your considerable interpersonal influence to send new readers my way by telling people how the information you regularly glean from HIStalk has made you wealthy, self-actualized, and simply irresistible. Thanks for reading.

Acquisitions, Funding, Business, and Stock

EMR/PM provider ClearPractice forms a strategic partnership with Prognosis Health Information Systems. The companies are collaborating to offer an integrated SaaS-based EMR solution for rural and community hospitals and their affiliated physicians.

A quote from the CEO of Aetna provides some insight into the company’s $500 million acquisition of Medicity:

We recently bought Medicity, a health information exchange (company). We’re using that as a platform to create a data exchange. We will shift risk (financial responsibility for medical costs) to the provider system. We’ll provide them cover with capital as re-insurers. We will be the Intel-inside, if you will. We have dozens of these conversations going on with major systems. We spend $400 million a year on new developments: We are as much a health information technology company as an insurer.

Sales

The VA selects Authentidate Holding Corp.’s Electronic House Call solution as part of its home telehealth program.

The 49-bed Seymour Hospital (TX) purchases ChartAccess EHR from Prognosis.

Oakwood Healthcare (MI) signs a $60 million Epic deal, at least from what I can tell from the half-sentence teaser that Crain’s Detroit Business allows non-subscribers to read.

Methodist Dallas Medical Center chooses RemedyMD for its joint registry.

People

The Indiana HIE hires James S. Hill as VP of sales, tasked with managing sales operations, including market competitiveness, pricing, and strategy. I have to admit I was surprised the HIE world has matured enough to warrant a VP of sales.

Resurrection Health Care (IL) names Bradley Howard, MD its first-ever CMIO to lead its Epic EMR implementation.

Kent McAllister joins fellow Sage Healthcare alum Lindy Benton at Medical Electronic Attachment / National Electronic Attachment (MEA/NEA). McAllister, a former VP of client solutions for Sage, is MEA/NEA’s new CIO. Benton is Sage’s former COO and now serves as MEA/NEA’s CEO.

Healthcare analytics vendor Sg2 names Steve Lefar as president. He previously founded compliance and risk management software vendor MediRegs (acquired by Wolters Kluwer in 2007) and was an Allscripts SVP before that.

Capella Healthcare (TN) names Alan Smith as VP/CIO. He was formerly with Vanguard Health Systems and Cerner.

Announcements and Implementations

El Centro Regional Medical Center (CA) implements eMix for the secure transmission of radiology images and patient reports.

Dell launches a mobile clinical computing solution for Meditech. The product leverages technology from VMware and Imprivata’s OneSign SSO technology.

Here’s what happens when you let HITECH drive your IT projects instead of common sense. Carthage Area Hospital (NY) replaces its Meditech system with CPSI, saying it had to “move quickly to ensure we would receive the $2.8 million in stimulus funding.” So quickly, in fact, that they didn’t have time to train staff or work out billing kinks, resulting in a flood of complaint calls from patients. They say they’ll get everything fixed within a few months.

Government and Politics

The Foundation for the National Institutes of Health brings in HIMSS to help it run the mHealth Summit conference, the third of which takes place in Washington, DC in December. I have mixed feelings about that. I went to the last one and while it wasn’t nearly as fun as the HIMSS conference, it was refreshingly wonky and geeky, with mostly academics and non-profit developers sharing ideas with barely a break between sessions and a small, low-key exhibit hall. I’m sure the HIMSS involvement will bring the glitz, vendors who will dominate the entire conference, and the booth babes. I may go since I haven’t been to anything this year other than HIMSS and I like to get out of the house on occasion.

A proposed but floundering bill in Florida would require insurance companies to cover telemedicine services.

Innovation and Research

HCA Johnston-Willis Hospital (VA) wins a patient care innovation award for its Cancer Survivorship Program, which includes specialized software developed with Varian Medical Systems to generate care plans, schedule visits, and create a comprehensive summary based on evidence-based care. Above is their quite nicely done Pink Glove Dance.

Technology

 

Nashville Medical News profiles Shareable Ink, which moved its headquarters from Massachusetts to Tennessee a few months ago. Shareable Ink President and CEO Stephen Hau provided this comment on the local tech talent pool:

We’ve built an impressive team in Nashville with top-notch, local talent. On the technology front, there are strong candidates in Nashville, but they are few and far between. While I’m not worried about finding the next five strong engineers, sourcing the next 50 will be a challenge.

Other

In honor of National Volunteer Week, 15,000 McKesson employees will build 28,000 care packages for deployed military in Iraq, Afghanistan, and other regions. The initiative is in affiliation with Operation Gratitude and is part of McKesson’s annual Community Days corporate volunteer program.

Singing River Health System (MS) seeks to borrow $37.5 million to upgrade its EMR. Jackson County supervisors are considering issuing a bond to finance the purchase.

Occasionally readers will forward me photos or links of interest. I enjoy most of the items, especially since I work out of my house and some days those e-mails are my only link with the “real” world. Quite often the submissions have little to do with HIT, but serve to assure me that I am not the only one who reads the stuff I write.  Thus, thank you to the thoughtful HIT traveler who enjoyed this bottle of wine and thought of me. Good to know I am not the only one who believes shoes and wine are two of man’s best creations.

Here’s the latest installment of Vince Ciotti’s HIStory.

Fortune’s list of “ridiculous job interview questions” includes one from Epic: “You have a bouquet of flowers. All but two are roses, all but two are daisies, and all but two are tulips. How many flowers do you have?” Pretty easy, and not as ridiculous as my favorite ones, from Intel (“Explain quantum electrodynamics in two minutes, starting now”) and Capital One (“Using a scale of 1 to 10, rate yourself on how weird you are.”)

Sponsor Updates by DigitalBeanCounter

• Consulting magazine names Aspen Advisors one of “Seven to Watch” in 2011 and beyond. Mr. H interviewed Aspen’s founder and managing principal Dan Herman earlier this year.
• Clairvia adds Care Value Analytics, a new tool that aligns data from individual patient experiences with an organization’s clinical and financial objectives.
• Capario partners with Data Media Associates to offer customers customized patient statements, statement mailing, and a  payment portal.
• Hawaii’s Public Safety Department selects eClinicalWorks for its EMR at its seven correctional facilities.
• Bridgehead Software will provide data backup and protection solutions for The London Clinic.
• MD-IT merges with MDnetwork.
• Brad Swenson, VP and national healthcare leader for Winthrop Resources Corporation, is participating in the American Bar Association’s Spring Meeting this week in Boston. He’ll serve on a health law roundtable.
• PatientKeeper releases a white paper entitled Toward Meaningful Usability: Five Keys to Creating Physician-Centric CPOE.

Contacts

Mr. H, Inga, Dr. Jayne, Dr. Gregg.

Monday Morning Update 4/11/11

From Man on the Street: “Re: Association for Clinical Documentation Improvement Specialists conference in Orlando. They expected 575 attendees for their fourth conference and actual attendance was 660. An overwhelming majority of attendees are either on Epic or say they’re moving to Epic.” MOTS included some photos, which I always like.

From Ogie: “Re: ISH. Acquired by PwC.” Unverified, but I’m really hating those company names. They aren’t universally recognized brands like GE or IBM, so hacking down a perfectly good and understandable name into gibberish doesn’t seem like much of an accomplishment, especially if your name (like that of ISH) results in a scattershot of unrelated Google search hits.

From EMRconsultant: “Re: acquisition. A Minnesota / Louisville-based HIS is being acquired soon.” Unverified.

From The PACS Designer: “Re: Nimbula Director. It’s a new class of cloud infrastructure and services system (IaaS) that provides a flexible and secure public cloud with advanced data center security tools.”

It’s the weekend (at the time I’m writing this, anyway) so that means less formality as I use the “old” format instead of the new one. It feels like Hawaiian Shirt Friday.

My Time Capsule editorial this week, once again from 2006: Do Technology Surveys Rate the Hammer or the House? These are fun reading for me since I wrote them so long ago it’s like reading someone else’s work.

Results of my Quick Poll on the departure of John Gomez from Allscripts: 39% of respondents said it will have little or no long-term company impact, 30% said it will have some, and 31% said it will have a lot. I’ll be running these polls when big news comes up. Poll results plus the usual reader comments will provide a quick and interesting industry reaction to events.

Congratulations to Boston, hereby officially named the Capital of Healthcare IT (as it should be, in my opinion). Perhaps I should start a drive to have it commemorated with a monument or something, maybe on the Meditech campus. New poll to your right: should Medicaid and Medicare require biometric identity verification of patients seeking healthcare services?

Kaiser CEO George Halvorson talks up the new Care Connectivity Consortium it formed with Mayo, Geisinger, Intermountain, and Group Health to share patient data. I’d say it’s more of a demonstration project than a true patient benefit since those organizations probably don’t have many patients in common. Here are some excerpts from George:

We are all using our EMRs to improve care and support the delivery of care. We are all learning how to use that wonderful new tool — and we are all interested in sharing what we are learning with the world … The problem with electronic is that when patients go to different doctors for their care, they still tend to have separate records — and that can create electronic silos instead of paper silos … So we are now committed to creating similar linkages with the new set of elite medical groups to create a process that works first for our patients and then — if we do it well — for the world … This is important work. If someone doesn’t figure out how to create links between electronic medical records, those records will not be linked. It will not be done until someone does it. Who better than us to do it? We are patient-focused and we know what can be done and we know what should be done with an EMR. Almost all other care sites are just getting their toes in the water. Some are getting their feet wet. We are swimming. So this is a good contribution for us to make. Instead of keeping our advances and our learning secret and special only to us, we are sharing what we know because we want care to be better for everyone.

By the way, I can’t find a Web site for Care Connectivity Consortium, which seems strange. I searched and careconnectivityconsortium.com is not registered, although the .org variant was grabbed by an anonymous registrant on the day of the announcement.

I ran across a copy the IRS form for HIMSS for 2008, the newest one on file so far. Steve Lieber’s total compensation: $731K (slightly out-earned by Dave Garets, who was running HIMSS Analytics at the time). I’ll have to remember to check back to see if they file a new form soon. The annual conference represented $19 million of its $41 million total revenue.

Those DoD people just can’t stop disagreeing with decisions made elsewhere, but at least they’re finally willing to make fat cat contractors rich in ways other than developing custom software. The VA announced plans to move forward with developing an open source system to be shared by both organizations, but DoD says they’ll look first at commercial software and will consider in-house development only as a last resort.

Six-campus, 305-bed Central Texas Hospital (TX) chooses inpatient EHR and revenue cycle systems from the US affiliate of Mexico-based eCareSoft, expecting to meet Meaningful Use requirements for 2011-2012. eCareSoft says small hospitals can go live on its products in 120 days.

Merge Healthcare appoints Cheryl Whitaker MD, MPH, FACP as its first chief medical officer. I assume that’s the same Cheryl Whitaker, MD who, along with her physician husband (there’s an interesting story and comments behind that link), is a close friend and advisor of the Obamas, not that there’s anything wrong with that. Merge is in Chicago, a city known mostly for dead people electing ethically challenged politicians, at least until the apotheosis of its junior Senator Obama.

The local paper in Middletown, OH runs down the status of electronic health records in local hospitals: West Chester Hospital, implementing Epic. The Fort Hamilton Hospital, implementing Epic. McCullough-Hyde Memorial Hospital, live on CPSI. Atrium Medical Center, live on Epic. Mercy Hospital Fairfield, live on Epic.

Shares in for-profit hospital operator Community Health Systems gained only 9% from 2008 to 2010, but CEO Wayne Smith’s total compensation nearly doubled in that period, rising to $21 million in 2010.

E-mail Mr. H.

Mostashari Named ONC Head

Farzad Mostashari, MD, ScM has been named National Coordinator for Health Information Technology effective immediately, according to an announcement on the ONC Web site and ONC’s Twitter feed. He was Deputy National Coordinator for Programs and Policies under David Blumenthal.

Mostashari was previously with the New York City Department of Health as an assistant commissioner. He holds a medical degree from Yale and master’s in population health from Harvard.

News 4/8/11

Top News

I’ve run reader-provided hints over several months that Allscripts EVP/CTO John Gomez was planning to leave the company. That became official on Wednesday, when Allscripts announced his resignation, effective May 31. He’ll be available to the company for 18 months afterward as a consultant. An internal e-mail from CEO Glen Tullman says that Gomez wants “to focus on a number of areas outside healthcare and perhaps running a company himself.” Allscripts shares dropped 6.8% on Thursday following that news and a downgrade by Auriga, which expressed concerns about his resignation, the level of attrition of Eclipsys employees after the acquisition, and recent KLAS rankings of the Allscripts Enterprise ambulatory product.

I’ve been planning to use quick polls to gauge industry reaction to major news, so here’s your first opportunity to weigh in. Feel free to vote and add your comments.

Reader Comments 

From Year of the Cat: “Re: John Gomez. This could really hurt Allscripts. It’s a very sad day for HIT as one of its most innovative minds exits.” He was arguably their least-expendable employee, at least to anyone interested in the former Eclipsys Sunrise and how it will integrate with other Allscripts products. I hope he’ll stick with the industry in some capacity. It wouldn’t surprise me if he doesn’t start his own company since he’s entirely capable, he has great vision, and his developers have always been able to run circles around just about everybody else’s.

HIStalk Announcements and Requests

I mentioned using polls to get a quick read on industry reaction to major news. I’d also like to get comments from a fixed group of readers like Dr. Jayne does with her Medicine Cabinet. When something big happens, I would e-mail that group and ask for their comments, which I would then run (anonymously) at the next opportunity. If you are a provider CIO, CMIO, or other provider C-level reader and would like to participate, let me know.
I see that CCHIT’s Sue Reber, writing for the organization’s EHR Decisions site, mentions my January 2006 editorial that I ran here recently called CCHIT Should Provide More Information to Purchasers. She even found humor in my making fun of their name almost before the ink was dry on the incorporation papers (“whose phonetic sounding-out always gets yuks from the watercooler crowd”) by adding her own observation that it is “an elegant name with initials not even a mother could love.”

On the Jobs Page: Inside Sales Executive/Telesales, Clinical Software Instructor, Healthcare Implementation Project Manager. On Healthcare IT Jobs: Client Relationship Manager, Healthcare Software Product Manager, Test Analyst.

Acquisitions, Funding, Business, and Stock

MyHealthDirect closes $4 million in a Series B investment round. Arboretum Ventures and Chrysalis Ventures provided the funds, which will be used to expand sales, client services, and technical resources. The company’s Web-based solution allows hospital EDs and other high-acuity providers to search open appointments in the community to generate a patient referral.

CVS Caremark signs a deal with Advocate Health Care and its physician group that will install Advocate physicians as medical directors in 23 MinuteClinic locations in the Chicago area and Bloomington, IN. The organizations will integrate their electronic medical records systems.

CareFusion acquires Vestara for $17 million. The Irvine, CA company offers a drug disposal system that reads drug NDC bar codes and provides advice on how to dispose of the products to conform with all laws and regulations. CareFusion will rebrand the offering as Pyxis EcoStation.

Sales

Henry Ford Health System (MI) selects Health Care Compliance Strategies’ COI-SMART system to manage its conflict of interest disclosure process.

Allscripts will outsource its Sunrise hosting to Xerox subsidiary ACS in a 10-year, $500 million deal. Allscripts expects the business to grow rapidly and needed outside expertise to manage it. My insiders tell me that Allscripts did a good job in being fair to their existing employees so that they’ll be offered their same jobs, pay, and benefits by ACS. While ACS will run the operation, an Allscripts governance team has control. The only casualties so far appear to be some members of the Allscripts remote hosting management team, with a couple of folks already gone. In an interesting twist, Allscripts remote hosting personnel in India are being told they will be let go if they don’t find another position within the company since ACS will not be using offshore resources. I mentioned on January 21 that ACS was being brought in for a role somewhere between oversight and total outsourcing.

Rush University Medical Center chooses Zix for secure e-mail.

Open source software vendor Mirth Corporation launches its InformaCare care management platform for Patient Centered Medical Homes and ACOs. It originally developed the cloud-based product for Pfizer more than ten years ago for Florida community projects and has licensed it back for a wider release.

People

Former Carestream Health GM Todd McNitt joins DICOM Grid as SVP of sales and marketing.

Nuance names Stefan Herm as VP and managing director for Europe, Middle East, and Asia. He comes from McKesson, which of course amused me endlessly since his last name is the same the acronym for Horizon Enterprise Revenue Management.

Insurance company Arcadian Health hires Prudence Kuai as CIO. She was previously with TriZetto.

Government and Politics

“The eHealth boondoggle continues,” according to one Canadian official voicing his objection to the the $673,000 paid to former health deputy minister Ron Sapsford in 2010.

UK Secretary of State for Health Andrew Lansley says fast broadband will improve NHS’s quality and efficiency by enabling greater use of telehealth, mobile computing, and access to information.

Proposed legislation in New York would require Medicaid recipients to have their palms scanned to receive services, saying the identification technology would cost $20 million to implement but would save $5 billion a year while being no more intrusive than electronic toll road payment systems. The state dropped a finger scan requirement in 2009.

Innovation and Research

A four-member Brigham Young University team makes the finals in Microsoft’s Imagine Cup 2011 student competition with their ultrasound application. It allows physicians to download images and them move them to the cloud for collaboration, lowering the cost of medical imaging so that third-world countries can afford to use ultrasound technology. They built their prototype for less than $8,000 using a Microsoft tablet and an ultrasound probe. You can vote for them (or one of the other healthcare-related entrants) here.

Technology

The iPhone is the mobile device of choice for healthcare providers, according  to analysis by the online medical journal Bulletin Healthcare. Almost 30% of healthcare providers access daily medication information with mobile devices and over 90%  of the devices are iPads or iPhones. ER docs and PAs are the biggest mobile device users.

Medicomp has created an online demo of its MEDCIN-powered, browser-based, iPad-ready Quippe EMR documentation system. Sign up and you can play around with it online, provide feedback, and keep yourself busy until the software development kit comes out next month.

Skype has many uses, including for telemedicine and allowing overseas military personnel to watch their babies being delivered stateside. Still, I found this fascinating: police officers are using it from their patrol cars to connect with judges to get warrants issued, especially in time-sensitive cases such as DUI where blood alcoohol levels need to be drawn quickly. One of these days I’m going to sit down and make a list of potential healthcare uses (like checking drugs remotely, walking someone through a procedure, etc.)

Verizon and MEDfx launch a Richmond, VA-area pilot program in which a medical practice scans the paper documentation of diabetic patients and sends it to a physician portal for widespread access. The practice, Dominion Medical Associates, is still paper-based, so the records can be printed and stored in their charts and later migrated to an EHR. The project uses both The Direct Project and NHIN Exchange technologies from ONC.

Other

From KLAS: one out of five community hospitals will switch EMR products within the next couple of years. McKesson and Meditech C/S clients have the highest level of confidence that their vendors will get them to Stage 1 MU by 2013. Healthland and Siemens MS4 clients are the least confident. McKesson was the highest rated vendor, followed by Meditech and Cerner.

Microsoft adds former HHS Secretary Michael Leavitt to the agenda for its Connected Health Conference.

Sponsor Updates by DigitalBeanCounter

• FormFast will host an April 19 Webinar on best practices in hospital process improvement, featuring hospital panelists.
• BridgeHead Software and Laitek Inc. form a strategic partnership that leverages Laitek’s PACS data migration services with BridgeHead’s data and storage management tools.
• Forbes profiles Medicomp Systems and its Quippe tool.
• The University of Kansas Hospital Authority will implement McKesson’s PROmanager-Rx automated medication dispensing system.
• The Ohio State Medical Association (OSMA) will offer Greenway’s PrimeSuite 2011 EHR in its Preferred Partner Program.
• Arkansas Department of Health chooses AT&T’s TotalMobile solution to help gain efficiencies in the transmission of flu vaccination records across the state.
• Health Language signs an agreement with the Chicago-based BCBS Association (BCBSA) to facilitate ICD-10 transition.
• Navicure and the American Academy of Professional Coders (AAPC) form a strategic alliance to educate the industry transition to HIPAA 5010 and ICD-10.
• TeleTracking Technologies joins the American Hospital Association.
• Several 3M products, including ClinTrac and Health Data Management, earn ONC-ATCB certification as EHR Modules.

EPtalk by Dr. Jayne

Dear Dr. Jayne,

Do your patients know or care about IT?

Curious George

Dear George,

Some patients are openly curious about the system we use and how it integrates with the hospital and other offices. I’ve found, though, that many patients just assume that we’re fully integrated, and because we’re computerized, that I can see everything in every chart of every physician they’ve ever visited.

I remember when HIPAA first came to pass how concerned everyone was about the records release provisions.

(Don’t get me wrong, some consultants still play this game. Even though a release is not required for us to collaborate on the treatment of a patient, they demand one before sending consult letters. That’s usually the last time I’ll send a patient to one of those types, unless they are something really special in which case I’ll call them personally and re-educate them on HIPAA and what a pain their staff is causing).

What struck me funny at the time was that patients already thought we had all the information, whether from an active consultant or from an old chart 15 years ago. Many had no concept of what HIPAA was designed to do or how it would impact access to information. When asked to sign releases, they were surprised to learn that we didn’t actually have everything at our fingertips.

If I thought the desire for information sharing was high then, it’s even higher now. With the advent of Web-based patient portals, electronic refill requests, e-visits, and more, the expectation on many fronts is that we have 24×7 access to the patient’s chart.

When seeing colleagues’ patients in the hospital, physicians used to be able to plead ignorance because the paper charts were locked up at the office. Now patients expect cross-covering partners to have in-depth understanding of what’s been going on with their care. Although a bother to some of my peers, personally, I think this is a really, really good thing.

I remember being petrified taking weekend call, having to talk to my partners’ patients and knowing absolutely nothing about them. Now, I can keep my secure VPN connection and pop into the EHR when someone calls at 4:30 a.m. with questions about whether they really need to go to the Emergency Department or whether they can wait until the office opens in the morning. Those of us who use nurse triage services can allow them to have limited access to charts. Reducing the number of people in the Emergency Department who don’t actually need to be there is a significant cost savings, which all of my patients definitely care about.

Ten years ago, I was one of the first in my area to trade e-mails with patients. At that point there wasn’t a tremendous interest in it and we actually ended up stopping. (Despite the Mother of All Disclaimers, patients e-mailed inappropriately about urgent issues and the hospital felt the risk was too great).

These days, many health systems and private practices are marketing their services around technology and improved access to physicians and care teams. And if you’re still not convinced that patients care about IT, check out the video below.

Dr. Jayne

Contacts

Mr. H, Inga, Dr. Jayne, Dr. Gregg.

News 4/6/11

Top News

Practice Fusion closes $23 million in Series B financing, bringing the company’s total funding to $30 million. This round was led by Founders Fund, an initial investor in Facebook whose managing partner is PayPal founder Peter Thiel.

Five health systems (Geisinger, Group Health Cooperative, Kaiser, Intermountain, and Mayo) are holding a Wednesday morning news briefing to announce that they will share patient information among themselves under the umbrella of Care Connectivity Consortium. I see that Kaiser trademarked that name this past February.

Reader Comments

From Mariann from Brooklyn: “Re: Siemens and Epic. This sign makes me think I’ve discovered a secret partnership being formed in rural Ohio. I thought you might get a kick out of it.” Sometimes Epic Technologies press releases throw me off until I recall that Epic Systems doesn’t issue press releases, but there was a company in the Middle East once actually named Epic Systems that had Inga convinced she had uncovered something important.

From Thera-Pissed: “Re: MDs liking to fix stuff and move on. I have seen 40 years of over-trained, egomaniac, car mechanics hustling as MDs and whipping up their minions with their stethoscope. I say put ’em all on salary and disband the AMA. Let the Nurse Practitioners do all the caring, helping, relationship, boring ‘diabetes and high cholesterol’ stuff.” 

HIStalk Announcements and Requests

Welcome to Capario, sponsoring both HIStalk and HIStalk Practice at the Gold level. The Santa Ana, CA company’s revenue cycle portal provides a validation engine that gets claims paid on the first payer submission 90% of the time. It works with existing practice management and billing systems, allows quick location and resubmission provides workflow and analytics tools to improve cash flow, and offers a dashboard view of the entire revenue cycle. Capario just launched a Customer Resource center with best practices and tools for claims management and revenue cycle management. The company was the highest-rated indirect clearinghouse in KLAS’s 2010 ambulatory clearinghouse report, scored at 88.8 on a 100-point scale by its users. We ran an HIT Moment with CEO Jim Riley on HIStalk Practice a few weeks back, who offered practical information about RCM vendors, 5010, and ICD-10. Thanks to Capario for supporting HIStalk and HIStalk Practice.

Acquisitions, Funding, Business, and Stock

ED charting provider Forerun raises $2 million in Series C financing to bolster its technology development and fund commercial deployment of its FlexChart product.

Cerner Chair and CEO Neal Patterson earned $5.1 million in compensation in 2010, up from a mere $3.3 million the year before. That includes $1 million in salary, $1.3 million in cash-based incentives, and $121,777 in “other compensation.” It’s good to be Neal. And probably Mrs. Patterson.

Allscripts shares hit a 52-week high today, with MDRX closing at $22.71 and a market cap of $4.29 billion. CEO Glen Tullman holds $34 million worth.

Harris closes on its acquisition of Carefx.

iSOFT founder Gary Cohen says he may up the ante to acquire the struggling Australian healthcare software company, hinting that he’ll place his own bid against the $188 million offer of CSC. I interviewed him a year ago at iSOFT’s invitation (they must have liked how it turned out since they ran a copy directly on their site). I thought he was quite frank and cordial and I enjoyed talking to him, although he tried to minimize the effect of NHS on the company’s fortunes and that didn’t seem to be how it turned out.

3M acquires unspecified “intellectual property, trademarks and products” of Zargis Medical, which develops FDA-approved software to analyze heart sounds, one version of which works over the Internet (like a cross between an electronic stethoscope and telemedicine).

Sales

Hamlin Memorial Hospital (TX) selects Prognosis ChartAccess EHR.

Ochsner Health System (LA) announces plans to deploy Epic’s EMR across its eight hospitals and 38 health centers, having hired 60 FTEs for the implementation.

Trinity Mother Frances Hospitals and Clinics (TX) contracts with Epic. Implementation is targeted for mid-2012.

AtlantiCare (NJ) selects the Elsevier/MEDai Risk Navigator predictive analytics solutions for patient population management and clinical and financial tracking.

Central Texas Hospital picks eCareSoft’s inpatient EHR and RCM technology for its 305-bed, six-hospital health network.

Armstrong County Memorial Hospital (PA) chooses the Unity CVIS solution from DR Systems.

People

CareFusion announces the departure of COO Dwight Winstead on June 30. He has held that job CareFusion separated from Cardinal Health in September 2009.

Adventist Midwest Health names Joe Granneman to the newly created position of CIO.

athenahealth names Todd Rothenhaus, MD as its first CMIO. He was previously SVP/CIO of Steward Health Care (the former Caritas Christi).

Announcements and Implementations

Dartmouth-Hitchcock Medical Center (NH) goes live on its $80 million Epic system.

Sutter Health (CA) will invest over $50 million to help independent physicians implement Epic under its Sutter Community Connect program. Sutter will pay up to 85% of the software and implementation costs.

The Colorado RHIO HIE goes live following the first transmission of patient data by Boulder Community Hospital. Four additional organizations have also signed up to share data.

Harris County Hospital District (TX) goes live with the PatientSecure palm vein scanning system, putting out some fun facts from their 3.4 million patient database via Twitter and Facebook: (a) patients share  the same first and last names 249,213 times; (b) over 75,000 first name/last name pairs are shared by more than five patients; (c) two or more patients have the same first name, last name, and date of birth nearly 70,000 times; and (d) 231 patients named Maria Garcia have the same birth date.

Government and Politics

Doctors in Las Vegas are declining to treat chronic pain patients after a DEA task force arrests an internist for prescribing medications that led to a patient’s death in 2007. He’s been charged with murder under a Nevada law that says that covers death caused by “a controlled substance which was sold, given, traded or otherwise made available to a person.” Peers concede the internist made mistakes in prescribing too many drugs for the patient, but argue that it’s not a criminal issue, especially since the DEA based its murder charge on information provided my a lawyer who was suing the doctor for malpractice.

Innovation and Research

Apixio lends it financial support to the Center for Biomedical Informatics Research at Stanford University. Dr. Nigram Shah, an assistant professor of medicine, is investigating the impact of utilizing clinical data to enhance quality of care.

Kaiser Permanente opens the Center for Total Health in Washington, DC. They will use the center, located next door to one of their hospitals, to show off their innovations (including IT) to politicians and the public.

Non-profit healthcare IT incubator RockHealth opens for business in San Francisco with volunteer mentors that include the co-inventor of Guitar Hero and the co-founder of genomics firm 23andMe. Among its partners are Mayo Clinic, California HealthCare Foundation, Microsoft, and Qualcomm, with medical partners Mayo Clinic and Cincinnati Children’s Hospital. Selected startups get a $20K grant, access to capital, mentorship, and Silicon Valley office space. The organization was at SXSW last month.

Technology

CNN Nigeria covers the counterfeit drug trade there, showing local authorities using technology from Sproxil that puts ID numbers on scratch cards attached to the drug package that are texted by cell phone to verify the authenticity of the drug. The drug companies cover the cost of the service since they obviously have an incentive to prevent counterfeit versions of their products.

InVivoLink releases an iPad app that lets orthopedic surgeons analyze their practice patterns, view implant information, and view procedures over a secure network.

Israel-based eWaveMD will debut its new Virtual Medical Consultation platform in Europe this week. The company has previously developed EHR software, a free PQRI software product, and software used by three of four HMOs in Israel.

Other

Healthcare added 36,600 jobs in March, including 10,200 in hospitals. Total hospital employment: 4.7 million.

Texas County Memorial Hospital (TX) CEO Wes Murray complains about having to spend $88K for a GE Centricity upgrade, saying the version they bought in 2007 was not Meaningful Use ready because “GE was developing new versions of the software that they wanted everyone to purchase.” He says 3,200 hospitals are in the same position and that “GE is manipulating the system for their benefit.” The CFO piles on, expressing unhappiness that the new version requires a larger server than that of the hospital’s inpatient system. I don’t mean to be cynical, but surely GE wasn’t promising in 2007 that the then-current Centricity version would meet MU requirements that weren’t released in draft form until December 2009. Nobody likes an unplanned IT capital expense, but I would be surprised if someone at the hospital didn’t misunderstand.

The latest installment of Vince Ciotti’s HIStory.

Laurens County Hospital (SC) warns patients to follow the road signs and not their GPS if they need to get there in a hurry. Reason: city planners disagreed on the demarcation point separating Highway 76 into East and West addresses, so GPS map-makers were equally confused. The hospital says it sometimes gets calls from lost delivery drivers.

Johns Hopkins Hospital will dedicate the most expensive building in Baltimore history next week, its $1 billion clinical structure. It has two towers, one named after the deceased president of the United Arab Emirates and the other after the mother of New York Mayor Michael Bloomberg.

Sponsor Updates

• PatientKeeper names three new regional VPs to its professional services organization, including former Halifax Health (FL) CIO Lori DeLone, former Bassett Health (NY) CIO Joe Diver, and Bill Dwyer, a former manager at SMS/Siemens and Eclipsys/Allscripts.
• Navicure and the American Academy of Professional Coders form a partnership to develop educational resources to help practices practices transition to the HIPAA 5010 standard and ICD-10 code set.
• iMDsoft and its clients report improvements in care and efficiency through the use of iMDsoft’s clinical information systems and the MetaVision Event Manager. Examples: Massachusetts General Hospital saved $700,000 over 16 months through the use of drug optimization prompts during long surgeries. Lehigh Valley Hospital (PA) increased compliance with perioperative temperature management from 60% to 92%. Henry Ford Hospital (MI) increased its organ donation rate from 64% to 86%.
• Baptist Healthcare System (KY) selects T SystemEV for its five hospitals EDs.
• Hayes Management Consulting is hosting an MDaudit software user group meeting April 13 in Orlando.
• Williamson Medical Center (TN) chooses ProVation Order Sets as its electronic order set solution.
• Saint Barnabas (NJ) will replace several legacy medical imaging solutions with McKesson’s Horizon Medical Imaging PACS.
• 3M Health Information Systems releases its Healthcare Data Dictionary and Enterprise MPI as Web-based applications. The products include APIs to integrate with other applications.
• GE Healthcare and AirStrip Technologies team up to put GE’s MUSE Cardiology system onto iPhones and iPads via the Airstrip Cardiology mobile device.
• MED3OOO is ranked 41st on Pittsburgh Business Times Top 100 Privately Held Companies in Pittsburgh, based on 2010 revenue.

Contacts

Mr. H, Inga, Dr. Jayne, Dr. Gregg.

Monday Morning Update 4/4/11

From Outside Looking In: “Re: Ann Lazerus. The president of the Siemens MS4 division is retiring. MS4 had 500 clients at its height, but Siemens is trying to woo them to the less proven and less stable Soarian. An executive was quoted as saying Siemens will bid Soarian down to 100 beds. MS4 support has been cut back, MS4 executives aren’t even bothering to contact their assigned clients because they’re competing with their Soarian counterparts. ,Once MS4 clients see the price, 90% of them don’t even bring Soarian back as a finalist. If Siemens wants Soarian opportunities from MS4 and Invision clients, they should keep current promises and not make new ones.” Unverified.

From Palomar: “Re: sponsors. Surely you have run across some that were problems. Need to know!” Only one has ever really ticked me off and that was mTuitive in 2006. They begged to have their small Gold sponsorship fee broken down into quarterly payments, then stiffed me after paying one of the four payments due. They were high maintenance to boot, making excuses about not paying, pestering me to sit through a never-ending demo, and even expressing astonishment after they broke our gentlemen’s agreement that I wasn’t giving them enough exposure on HIStalk. I’m nearly always unbiased, but in this case, I’m always happy to ignore their good news and highlight that of their competitors (like Mark Twain said, never pick a fight with a man who buys his ink by the barrel). Other than mTuitive, every company has been great to work with.

From The PACS Designer: “Re: Chrome 10. If you’re a Chrome user, Information Week has published the screen views of the mostly minor changes that improve Chrome 10’s performance. Philips and Siemens are members of the Healthcare IT Workgroup for Chrome 10, Microsoft IE9, and other browsers, along with Cisco and many other IT vendors.” I have to say I like Firefox 4.0 better than Chrome at the moment, but not by much.

From Sick of Snow: “Re: Bayonne Medical Center (NJ). The CIO has been replaced by a hired gun from Network Infrastructure Technology out of New York.” Unverified. Dimitri Cruz was the CIO and still lists the CIO job on his LinkedIn profile.

From MaxPayneUK: “Re: CSC’s purchase of iSoft. What, exactly, will they get? Perhaps a chance to purge the UK management cupboard, a ready-made client base for Lorenzo, and a chance to jettison some of the acquisitions made — and still pocket some change. Nah, can’t be that easy.”

From Seekhau: “Re: [company name omitted]. I heard they’ve signed the agreement to acquire [company name omitted]. Closing will be in the next two weeks.” I already knew about that one and mentioned it (in redacted fashion) previously (since one of the players is publicly traded). I’ll characterize it as somewhat interesting, particularly with regards to the previously signaled strategy of the acquirer.

Two-thirds of respondents said Epic wouldn’t be a good choice for DoD when I ran that poll a few months ago. This time around, 58% said VA/DoD should choose a commercial system instead of building their own open source system. New poll to your right, sure to stir up some civic competition: which city has the strongest claim to call itself the capital of healthcare IT?

Listening: The Kooks, cheery British pop. The heavy Brighton accents (like dialed-back Cockney) annoyed me a little until I realized I should commend them for not adopting fake American ones just for singing, the kind that disappear when talking (Jagger, Robert Plant, and just about everybody else from there trying to cash in with US hits). It balances out, though, as frothy US celebrities like the Michigan-raised Madonna trot out pretentious, comically phony generic Brit accents (at least she lived in London for a while).

Welcome to new HIStalk Gold Sponsor Winthrop Resources of Minnetonka, MN. The company helps organizations make technology financing decisions (operating leases, sale-leaseback, etc.) allowing them to remain independent of technology providers, to refresh technology when needed, and to preserve cash. Winthrop believes that spending cash or expensive bank financing to buy technology assets doesn’t make sense since those assets lose value quickly, require increasing expense to keep running, and need to be upgraded and changed to support organizational goals. The company just earned its HFMA Peer Review Designation and makes its healthcare experts available to help understand the forces in the healthcare and technology markets that affect healthcare strategies. Thanks to Winthrop Resources for supporting HIStalk.

I’ve always wondered why readers send me “hey, did you see this?” news items that I’ve already mentioned prominently. Now I know: they’re speed-reading and missing stuff. I thought I had put in plenty of obvious clues and humor in my “I’m quitting” April Fool’s post to accentuate the joke, but some folks skimmed right over that and e-mailed me to express their sorrow that I’m hanging up my keyboard (or e-mailed Inga to tell her she could do better than to run away with me and my made-up millions — gee, thanks). My summation: (a) I’m not leaving – despite brutal hours and occasional annoyances, I’m having the time of my life; and (b) while Inga is indeed quite the package, when it comes to Mrs. H, to quote the old commercial, I think I’ll keep her. I’m disappointed that nobody seemed to notice that the name of the band Inga and I are starting is an an anagram for “April Fools” (the former chocolate magazine reporter turned healthcare IT expert is true, however). I’ll think positively in assuming that the well-wishing readers were just going along with the gag. Fight the urge to skim HIStalk – it’s not like a newspaper that makes more important articles huge, so you’re guaranteed to miss something important if you just scan down the screen.

Next up in my “time capsule” series of editorials you’ve never seen since they ran in a newsletter you didn’t get: my January 2006 take on the then-new CCHIT. I couldn’t wait to make fun of their name, which I now note happened in the first sentence.

The VA issues an RFP to launch the project to develop an open source replacement for VistA. It seeks a Custodial Agent to create and oversee a structure that will certify the open source code base, certify proprietary software that can work with it (that could be huge), and allow individual users to get their enhancements certified and distributed. The criteria weighting for the award are, in order, technical, price, past performance, and veteran’s involvement. Sounds great in theory, but you can pretty much bet the same dozen or so fat contractors will be elbowing each other at the trough. It looks like the Wisconsin politicians came to the party too late to push Epic as an alternative to custom development.

Saturday’s New York Times has a great article called The Rise of Desktop Medicine, which says it makes sense for doctors to spend time in front of computers as well as patients. It observes that “bedside medicine” identifies and classifies diseases by symptoms and clinical findings, while “desktop medicine” identifies conditions that can be addressed to improve a patient’s health without necessarily calling them diseases. Example: treating high cholesterol even though the patient has no complaints or symptoms. The role of the computer is to look for opportunities for improvement and tap into outcomes information to determine which treatments will work. It cautions, however, that drug companies and others have a vested interest in convincing doctors to treat numbers that really aren’t diseases themselves, so the doctor’s job is to figure out what’s best for the patient. A great quote: “If doctors change simply into some kind of hybrid of a financial analyst risk broker, we will have lost an essential part of what doctors should be doing.”

Epic’s April Fool home page wasn’t quite as good as the classic “our first press release” one from last year, but it was still pretty funny (click to enlarge).

GE gets some not-so-good press for managing to pay zero federal taxes on its $14.2 billion in profit. The New York Times says the company has steadily trimmed its tax percentage to a far lower rate than most companies, using a combination of lobbying, “innovative accounting,” and moving profits offshore to avoid US taxation. “GE’s giant tax department, led by a bow-tied former Treasury official named John Samuels, is often referred to as the world’s best tax law firm. Indeed, the company’s slogan ‘Imagination at Work’ fits this department well. The team includes former officials not just from the Treasury, but also from the IRS and virtually all the tax-writing committees in Congress.”

Elmhurst Memorial Healthcare (IL) chooses Merge Cardio and Merge Hemo from Merge Healthcare for its new hospital.

AirStrip Technologies gets a spot in the first iPad 2 commercial.

It’s getting ugly between WellStar and its fired CEO, as the Georgia health system reacts to its former CEO’s claim that he was unjustly terminated, producing what it says is evidence that he was fooling around with the health system’s EVP and general counsel and refused to stop even after being warned. Some of the evidence involved supposedly coded messages he sent to the EVP, such as “GNSD” (good night, sweet dreams) and referring to her as his “neutron girl” (that doesn’t sound much like a smoking gun to me, but I’m not a judge). The CEO finally had to fire the woman, who then claimed he sexually harassed her and that WellStar sexually discriminated against her. If you sell luxury cars or gated community houses in Atlanta, you might want to stick your flyer under the wiper blades of cars parked outside the law firms involved.

Speaking of Atlanta, Grady Hospital CEO Michael Young leaves to become CEO of PinnacleHealth in Pennsylvania. That impinged on my consciousness only because he e-mailed me a few weeks ago to clarify statements he made about cutting back contractors on Grady’s Epic project, which I had quoted.

Big financial news from Pink Sheets traded PHR vendor MedeFile: the company’s annual revenue was up over 800% (to $134K) and operating expenses were slashed, leaving the company with a loss of only $2.5 million for the year (I was being sarcastic, in case that isn’t clear). It actually looks pretty cool, but nobody’s all that interested in PHRs, even free ones like theirs isn’t.

I seem to be citing The New York Times endlessly today, but here’s another good article on what new doctors want. The answer: predicable hours working salaried jobs for big corporations, specialties like ED that cater to their short attention spans (anything but primary care, quoting one doc in saying, “I like to fix stuff and move on”), and letting hospitalists handle their inpatients instead of being called out.

Don Berwick’s NEJM article about the proposed Accountable Care Organization rules says IT has a central role “in enabling the organization to manage population health and receive feedback at the point of care.”

Mediware will acquires the assets of Atlanta-based alternate care software vendor CareCentric, which include applications for home medical equipment, infusion, and home health. I love this article about CareCentric CEO Darrell Young, who had a long history working for HBO & Company (including a stint as president and CEO) up until McKesson bought it. When he went to CareCentric many years ago, it was such a “train wreck” (his words) that he used the company’s exhibit space at two major trade shows to simply hang an “Under Construction” sign and put out tables and chairs for attendees to eat their lunches. When asked if he thought that would make the company look bad, he answered, “How, exactly, could we look any worse?” When asked about how he would improve the company’s legendary poor customer support, he said, “Well, it has gotten much easier now that we have 700 customers to support instead of 2,500.” I bet he would be a fun interview.

Culbert Healthcare Solutions is profiled in the Boston Business Journal. I don’t have a subscription and therefore can’t read it all, but the part I can see says 2010 revenues were up 77% and headcount by the end of this year will have tripled in two years.

Nuance shares rise after an analyst says the company will be Apple’s voice recognition partner for the next-generation iPhone.

E-mail Mr. H.

CSC to acquire iSOFT for $188 Million

Computer Sciences Corp. announced this morning that it will acquire Australia-based iSOFT Group Ltd. for $188 million, a 24% premium to its last traded share price on the Australian Stock Exchange. 

Michael Laphen, chairman, president, and CEO of CSC, was quoted as saying the acquisition is a critical step in the expansion of CSC’s global healthcare IT business. “The combination of these companies will further establish CSC as an innovative leader in global healthcare IT,” he was quoted as saying in the announcement.

The 3,300 employee iSOFT, reeling after a series of delays in its Lorenzo platform in the UK’s NPfIT project and the resulting decimation of its share price, is CSC’s subcontractor in NPfIT. The purchase of iSOFT by its largest customer was widely anticipated.

The announcement says that iSOFT’s products are used by 8,000 hospitals and clinics in 40 countries.

The sale is subject to approval by shareholders and regulators in Australia and the UK.

GE Healthcare Names De Witte CEO of Healthcare IT

GE Healthcare announced this morning that Jan De Witte will lead the company’s healthcare IT business as its president and CEO. He replaces Vishal Wanchoo, who has been reassigned to GE India as vice president of growth initiatives.

De Witte was named president and CEO of GE Healthcare’s Performance Solutions division when it was created this past June. He will continue in that role as the company combines its healthcare IT advisory and technology services under a single reporting structure.

John Dineen, president and CEO of GE Healthcare said, “Having a single leader like Jan De Witte lead both businesses sends a visible signal to our customers that GE Healthcare is dedicated to growing its IT and solutions offerings, providing them with a unique partner that can deliver the strategic advice they need with outstanding technology. Jan’s extensive experience with technology across global markets makes him the right fit to lead and develop the growth of these two businesses.”

The Performance Solutions business is GE Healthcare’s 150-employee services arm, which offers process improvement and technology optimization consulting based on Lean and Six Sigma methodologies.

The 46-year-old De Witte was named an officer of GE in 2007. He has a masters degree in management and engineering and a Harvard MBA in marketing and operations management.

News 4/1/11

Top News

HHS posted proposed ACO regulations today. We’re working on an interview that will address the IT implications, but in the mean time, you can review the proposed rule and the HHS fact sheet.

Reader Comments

From Court Jester: “Re: Nebraska Medical Center. I hear they signed with Epic about a month ago and are unplugging GE. The primary reason Epic was selected over Cerner was its interface capabilities. They’ll be kicking things off in May.” UNMC published an announcement on its Web site in November confirming Epic as the vendor of choice.

From Steel Curtain: “Re: MED3OOO. Rich Goldberg is leaving his business development job at TeleTracking to take over as president of MED3OOO division CPU Medical Management Systems.” Unverified, although he’s no longer listed on TeleTracking’s site. The move would not be a huge surprise since MED3OOO has filled its executive team with a number of former Misys VPs over the last couple of years.

From MrSoul: “Re: IE6. This is a great tool as we watch IE6 sloooooowly fade into HIStory.”

From Pescetarian: “Re: Seattle Children’s. Dumping Microsoft Amalga for Tableau Software. The press releases three years apart are eerily similar. The hospital was a lighthouse reference for Microsoft in their own back yard, but implementation was terrible, maintenance was almost impossible, and clinicians hated it.” CIO Drex DeFord didn’t confirm that, but was diplomatic in telling me that they’re still working on Amalga and its small base of users, but are always looking for business intelligence opportunities that will put information into the hands of end users.

From Cray Zee: “Re: Trinity Health CMIO. Mike Kramer, MD has left the building.” Unverified, but the provided memo looks authentic. They wish him well, but immediately pledge undying love to their Cerner-powered Genesis project (seems strange that they would need to defend it). It’s a really ambitious project, not quite Kaiser-sized, but in the neighborhood.

From Art Glasgow: “Re: Duke. Mr. H, I thought I’d confirm your note regarding me joining Duke Medicine. I’m scheduled to start around May 1st and am excited and humbled at the prospect of joining such an esteemed institution.” Art is leaving his Ingenix CTO job to become CIO of Duke Medicine, which we ran as a reader rumor earlier this week. He replaces Asif Ahmad, who left Duke last June to take an EVP job with US Oncology. Thanks for the confirmation.

HIStalk Announcements and Requests

This week on HIStalk Practice: Micky Tripathi, president and CEO of the Massachusetts eHealth Collaborative, debuts Pretzel Logic, his new column on technology decision-making in medical practices. Epocrates introduces a mobile and Web-based EHR. HIMSS and MGMA offer a privacy and security toolkit for small provider organizations. A mainstream journalist attempts to explain the EMR industry — and does a pathetically poor job. The success of the ACO-like Atrius Health. Come visit and stay for awhile.

Listening: new from Whitesnake (yes, you read that right). I had mental pictures of hair-transplanted, shirtless-and-Spandex guys in their 60s leaning into a single microphone for yet another round of their coy, unskilled Reagan-era poser ballads, but it actually rocks out quite nicely with excellent production. David Coverdale sounds better now than then (just do yourself a favor and don’t Google his ex-wife and car-gyrating video star Tawny Kitaen for a current picture). Makes me want to load up the Jag with beer and tramp-stamped bleach blondes and head off to Rocklahoma.

Welcome to new HIStalk Gold Sponsor UltraLinq Healthcare Solutions of New York, NY. The company offers a FDA-approved, Web-based ultrasound and image management system that lets physicians review exams from anywhere, including on its iPhone app. The physician does their interpretation using auto-populating review worksheets, the reports are distributed through a variety of ways, everything is stored and universally accessed from a secure Web site, and they handle all the infrastructure. The system is low cost, secure, flexible, and portable. Thanks to UltraLinq for supporting HIStalk.

On the HIStalk Job Board: Social Media Manager, Clinical Business Analyst, Regional Director Centergy Sales. On Healthcare IT Jobs: McKesson PM – CPOE, Application Programmer, Cerner Clinical Analyst, Senior Clinical Analyst IT Implementation. I know the job market is good because my work phone rings off the hook from recruiters.

Make me happy: (a) drop your e-mail in the Subcribe to Updates box to your right so I can tickle your e-mail ivories with HIT love; (b) send me your rumors, news, incriminating photos, and secret documents by clicking the garishly green Rumor Report button; (c) acknowledge the great society that lets you read HIStalk free because of the largesse of sponsors listed to your left, who are more likely to continue that support if you click around a little and maybe buy some stuff from them; (d) find Inga, Dr. Jayne, and me on LinkedIn and Facebook and click the correct buttons to boost our fragile egos; and (e) give yourself one of those pistol-pointing gestures in the mirror for reading and contributing here in whatever way makes you (and me) happy.

Acquisitions, Funding, Business, and Stock

VisualMed Clinical Solutions issues a press release saying it will launch a “new initiative” in the marketing of its EHR product in the US, following a two-year interruption. The company says that the 2008 financial crisis left many institutions without resources to implement systems and “all decision making was entirely suspended.” Its chairman believes that the time is now right for a re-launch, given that the recovery is underway and government incentives are in place. I found the message curious, to say the least, so I did a bit of digging and found a June 2010 press release that bragged of $2.6 million in new orders. At that time, the company credited ARRA for the the boost in sales and market interest. The chairman was quoted as saying, “thanks to the new reforms, our time has come.” Finally, I went back and found a July 2008 press release saying the company had completed restructuring and planned to focus on the “more promising” markets of oncology, Internet, and private clinics. Nothing like having a consistent vision and marketing message.

Sales

Winthrop-University Hospital (NY) signs a seven-year order for cloud-based RIS/PACS and archiving services from Carestream Health.

People

Don Claunch, CIO of Wyoming Medical Center (WY), will take over as interim CFO.

Announcements and Implementations

Marfraq Hospital in Abu Dhabi launches its Cerner EMR following 12,000 hours of training over the last month.

North Kansas City Hospital migrates to Corepoint’s Integration Engine.

Strong Memorial Hospital (NY) at the University of Rochester Medical Center launches Epic EHR. URMC’s Highland Hospital will go live in June. Outpatient services are scheduled for the summer of 2012.

The two big Orlando hospital systems, Florida Hospital and Orlando Health, start a one-year data sharing project via the Central Florida RHIO.

Virginia Commonwealth University Medical Center goes live on the Central Logic ForeFront patient flow system.

Government and Politics

Victoria’s troubled HealthSMART project will need $200 million to finish the job, well over the original $360 million estimate.

Technology

If the rumors prove true, Google will be opting out of the health business. However, Cerner is looking forward to working with Google on its “fiber community” pilot. Google selected Kansas City this week as its pilot for a one-gigabyte-per-second broadband network. Other enthusiastic KC folks include representatives from the University of Kansas Hospital and KU Medical Center, who believe the faster network will help with telemedicine and transmission of medical records.

An editorial by Murray Feingold, MD mentions the mixed reviews of “the menage a trois in the examining room” – doctor, patient, and computer, but says it’s doctors using them incorrectly that make patients feel ignored. He closes with wise advice: “The use of a computer will be successful only if the doctor remembers that the patient is the most important person in the examining room, and not an inanimate computer.”

Other

ICSA Labs awards ONC-ATCB certification to its first three products.

Passport Health Communications becomes the first RCMS solutions company to achieves full accreditation with the HIEAP EHNAC.

A California health clinic that caters to the porn industry announces the possibility of a criminal breach into its medical record database. Personal information on as many as 12,000 current and former adult film performers may have been exposed. The uncovered details include HIV status, STD test results, and the actors’ “real” names. Mr. H, Dr. Jayne, and I are particularly empathetic about the last item.

Mark Rogers MD, a member of the Public Health Trust that oversees the rapidly flat-lining Jackson Health System of Miami, resigns with a warning that the Trust is incapable of saving it from failure. His final recommendations include bringing in an outside CIO.

It’s April Fool’s Day Friday, so I’m wringing my hands in anticipation to see if Epic will come up with another world class spoof on their home page. But to amuse you in the mean time, here’s a phony press release from Concerro. Call me peurile, but I love that stuff when it’s done well.

Sponsor Updates

• Allscripts ED, McKesson’s Horizon Lab, and Design Clinicals’ MedsTracker all earn ONC-ATCB certification. Allscripts ED product qualifies for complete EHR certification, while Horizon Lab and MedsTracker achieve modular certification.
• Congrats to ESD, which celebrates its 21st anniversary on April 1.
• Thomas J. Niehaus joins Encore Health Resources as EVP for client services. He’s the former president of CTG Healthcare Solutions and spent nine years with IBAX. We reported this a month before the announcement.
• Medical Center of Plano (TX) selects ProVation MD Software for gastroenterology procedure documentation and coding.
• Sayre Memorial Hospital (OK) will convert its ED from the T-System’s T-Sheets paper documentation system to T-System’s EHR.
• Blue Cross and Blue Shield Association names Health Language its preferred vendor to help BCBS companies transition from ICD-9 to ICD-10.
• Stephen Newman MD, COO of Tenet, leads a MED3OOO one-hour webinar on physician affiliation.
• Bridgehead Software is conducting its annual Data Management Survey, which looks at data and storage management trends year over year. Random respondents will be chosen to win an iPad, GPS, or Amazon gift cards.
• The Network Health health plan chooses MedVentive as its technology partner for Web-based performance analytics that will enhance its care management, outcomes, and finances.

EPtalk by Dr. Jayne

The American Medical Association announces the 2011 AMA APP Challenge, calling for medical students, residents, and physicians to submit their ideas for “innovative medical apps” to impact clinicians’ daily lives. Ideas will be scored on usefulness; appropriate fit with the AMA and its mission; innovation; suitability for app format; and being representative of the submitter’s expertise. Sorry to all the great coders out there, but you have to be a physician, resident, or student to submit (so go ahead, convince your CMIO or CMO to let you be his/her ghost writer!)

Personally, I’d like to see a knock-off of Urbanspoon , the app where you shake your iPhone to receive restaurant suggestions. You could input symptoms and shake it to view different possible diagnoses. Much more fun that the clinical decision support apps that are out there.

What’s your favorite medical app? Send me suggestions and I’ll check them out and report on the coolest.

Abbott Laboratories receives FDA approval for a blood testing system that transmits results wirelessly, allowing caregivers to remain at the bedside. The device does basic blood chemistry testing and blood counts as well as blood gases. I’m disappointed that future generations of medical students will be denied the opportunity to take the blood gas sample from the patient, place the syringe in a Styrofoam coffee cup filled with crushed ice, and run through the halls of the hospital in the middle of the night to the lab and back.

Wednesday was National Doctor’s Day. I’m sad to say I didn’t get invited to any celebratory lunches in the doctor’s lounge this year (cutbacks, I’m sure). Thanks to Inga for recognizing it on HIStalk Practice! Doctor’s Day has been celebrated on March 30th since 1933, when Eudora Brown Almond, wife of Dr. Cha Almond, commemorated the anniversary of the first use of anesthesia in 1842. She and the ladies of the Southern Medical Association would place flowers on physician graves. The day was officially recognized in 1958 by the US House of Representatives and by President George H.W. Bush in the 1990s. Even though you’ll be a day late, show some love to the docs you love (and be thankful for that anesthesia!)

Reading one of my specialty journals, I was surprised to notice that there were more ads for EHRs and technology products than for drugs. I don’t recall the balance being tipped before. There were also two paid advertisements from CMS – one for Meaningful Use, another for the HIPAA 5010 EDI standards. I wonder how many physicians are familiar with 5010 compared to Meaningful Use? The 5010 is mandatory January 1, 2012. If your billing system doesn’t support it, if you don’t have a plan to test it, or you don’t know what it is, time’s a-wasting.

I’m embedded in a practice this week, which is always interesting. It’s extremely challenging to try to train physicians, let alone having them retain the information. I wish there was a better way to help my colleagues understand the following:

• You actually need to show up for training.
• Checking e-mail or playing on your iPhone does not constitute “participation.”
• Your trainers are professionals who put a lot of blood, sweat, and tears into their efforts. Show them some respect.
• You don’t need an MD behind your name to be able to train EHR. Playing the “no one can understand how complex my specialty is” card just makes you sound whiny.
• If you don’t understand, or need more practice, speak up. Ignorance is NOT bliss where patient care is concerned.
• The EHR is not going away and complaining about it is not constructive. Your trainers didn’t select it, but they do have a vested interest at helping you use it the most efficient way possible.
• Yes, we did bring all this food, primarily to get you to show up. Apparently many physicians still operate under Residency Rules: see a donut, eat a donut. You know who you are.

A Special HIStalk Update from Mr. H – 4/1/11

It’s harder than it looks to continually create HIStalk. I’ve worked on it several hours each day, seven days a week since 2003. It has been my hobby, my passion, and my unintended business for all these years. It defines me more than anything I’ve done, maybe because the time and energy it requires precludes me from doing anything else. For that reason, I always thought I’d just keep doing it forever.

I was wrong. It’s time for me to move on.

I’m weary of the grind. I write from the time I get home until bedtime, rush home to conduct interviews after work, and spend the whole weekend doing everything from browser debugging to invoicing. I’m tired of the never-ending criticism about the site layout, the number of sponsors I have, and my perceived bias for or against certain vendors. Unlike every other blogger in history, I’m not allowed to help an out-of-work friend or make a music recommendation because someone is sure to launch off on me for daring use a couple of dozen words about something that doesn’t fit their personal interest profile.

I started HIStalk as a place I could muse and amuse a little. It’s become so serious that I’m not having fun any more.

Timing is everything. I can’t legally divulge details, but a certain member organization that runs a big conference reached out, wondering if I’d be interested in being acquired. I always say no, but they caught me in a weak moment. Their offer was, to say the least, significant (I can’t divulge the number, but it has six zeroes and the first number is bigger than a one). I think you would do the same if presented the opportunity to be set for life and to be free to do whatever the heck you want instead of what someone else demands.

You’ll see the changes coming here soon. I’m here for the transition until that "wish him well in future endeavors" announcement is made. In the mean time, I’m planning the next chapter in my life and I can’t wait.

Inga really is a woman, as I’ve had to defend to skeptics more than once. In fact, she’s a wonderful woman. Our relationship has grown from terse, pure-business e-mail exchanges to a lot more, resulting in full-on passion at HIMSS. We never meant for it to happen, but we were destined for each other, it seems. I can think of nothing but having her as my soul mate. Mrs. H and I will be parting ways so that Inga and I can head off to the beaches of Mexico to start a new life together, where we’ll be forming the band we’ve always dreamed about, the Frail Loops (think Pink Martini meets Insane Clown Posse). We’re still trying to loosen up Dr. Jayne to get her to join us down there.

We’ll keep reading HIStalk, of course. My replacement is an esteemed industry reporter who won an award for hard-hitting industry analysis at her last job at a chocolate magazine. The site will finally receive that big makeover everybody wants, fancying it up and loading it down with industry-sponsored podcasts and white papers so it looks more credible. There will be no more objectionable material for readers to complain about, like pithy dismissive asides, scandalous reader comments, or contrarian conclusions. The new HIStalk will offend no one.

We may do a little bit of consulting if the acquisition money runs low. Inga is working on a design deal with Jimmy Choo and considering starting a tequila brand like Sammy Hagar did, calling hers Ingatini. We may run a for-profit HIStalkapalooza in our trademarked counterculture way — you’ll have to bring us cash, liquor, food, and iPads to be allowed in. We’ve kept quiet about a planned member organization we may start with the working name of Have Electronic Records, but Sacrificed Solvency (HERSS).

But it won’t be anything like the work we’ve been doing all these years. Like Hollywood types, we need a break from being wealthy, adored celebrities (of the anonymous kind, in our case). Inga’s going to be a great mom to those babies from Cambodia we’re adopting next week. We’re naming them Neal and Judy.

It’s been a great eight years. The record shows I took the blows and did it my way. Thanks for the memories.

Contacts

Mr. H, Inga, Dr. Jayne, Dr. Gregg.

News 3/30/11

Top News

From Quilmes Boy: “Re: Google Health. Just heard a rumor that they are not pursuing development or sales.” Unverified, but strongly suggested by the Wall Street Journal as CEO Eric Schmidt steps aside as CEO to make way for co-founder Larry Page. If they back out of Google Health, that ought to have a major effect on … well, nobody. PHRs are the consumer versions of EHRs — potentially useful technologies that, rightly or wrongly, aren’t all that attractive to their target audience in their current form.

MedQuist (MEDQ) announces that it will voluntarily delist its stock from Nasdaq in April, saying MedQuist Holdings (MEDH, the former Cbay) has bought up 97% of the shares anyway. I suppose it’s just a way to cut the administrative cost involved with keeping two publicly traded entities going.

Reader Comments

From John’s Boy: “Re: Partners HealthCare. Announced today that acting CIO Jim Noga, formerly CIO for Mass General and its physician organization, will be promoted to CIO.”  Unverified, but John’s Boy helpfully included what looks like an internal e-mail announcement to that effect.

From Duke_ACC_Champs: “Re: another champion coming to Duke. Warrior Art Glasgow takes the health system CIO position.” Unverified. He is CTO for Ingenix.

From Siouxsie: “Re: Costco. You can buy everything there, even an EHR." Next time at Costco, I can pick up a set of tires, a five-pound bag of shredded mozzarella, a hot dog, and a copy of Allscripts MyWay (via Etransmedia). In fact, since they already have a pharmacy and a contracted optometrist, I’m surprised they haven’t stuck a doctor back there by the cigarettes and beer.

From GearShifter: “Re: browser. In our IT shop, we’d love to run IE9, we’d settle for IE8, but a couple of HIT application vendors require that we run the older versions of IE for their app to be supported or in some instances run correctly. Don’t always assume it’s IT keeping you down — sometimes it’s that shiny app someone selected.” Good point. I remember fighting those battles over Windows versions – one vendor requires the latest and greatest, while another refuses to certify its application on anything developed in the last five years. Even though the major browsers assume you will always want the newest version, you would think there would be a way to have multiple versions co-exist for situations like these (or to use Citrix or some kind of virtual desktop instead). I can understand requiring IE for official work use since it’s free and ubiquitous. As long as the desktops aren’t locked down, users can always grab their own copy of Firefox or Chrome to steer clear of interfering with the standard browser. And I’ll timidly suggest this: Apple doesn’t have that problem since it controls its entire proprietary hardware and software package. If you want that kind of Apple-like hospital system where there’s only one call to make and one neck to wring, your only choice is Meditech.

From Kid Rock: “Re: Allscripts. There are many things to look at when looking at the value of corporation (and earnings is just one of them – bear in mind that free cash flows and the determination of what should and shouldn’t be discounts are judgment decisions as well). Allscripts had a big investment year. Should the cost of goodwill and capital investment in buying Eclipsys be held against them? I’m not so ready to discount Allscripts.” I said pretty much the same thing. The best time to micro-analyze current financials to predict the future isn’t a few scant months after completing a big acquisition and a skillfully led untangling from a not very competent foreign parent company.

From Alhambra: “Re: your poll on who owns patient information. Unfortunately, that may be one of the major reasons we will have difficulty in attaining true record interoperability. The financial industry has made much more movement in the use of technology without any concern of data ownership.” I was thinking after the poll that people often don’t own all the information that pertains to them. Companies buy and sell e-mail addresses and detailed demographic information from those fake “registration cards” that everybody fills in after buying something that clearly doesn’t need to be registered, like a blender. Nobody complains about companies profiting from selling that information, which isn’t even de-identified. Ample precedent seems to exist that just because information pertains to you doesn’t mean you own it – school transcripts, driver’s license records, criminal history, credit history, etc. I’d be surprised if the lawsuit against Walgreens is successful for that reason. I think they have little to fear as long as there’s something in their Notice of Privacy Practices that covers that situation under the super-broad “treatment, payment and operations” blanket (which technically isn’t even necessary for de-identified data), which doesn’t even require them to give you an accounting of disclosures if you ask. Plus, how can a patient prove their de-identified information was sold?

From All Hat No Cattle: “Re: this paper. Interested whether you think the issues raised will generate much discussion.” Only the abstract is free, but from that, I’d say maybe a little. The “unanswered questions” about EMRs include clinician liability for reviewing a glut of electronic information and overrriding alerts, the lack of a way to report EMR software problems, and the lack of alignment of who pays for EMRs (in both money and time) vs. who benefits from their use. Neither the questions nor the lack of answers are new, but the further the practice of medicine moves up the food chain from small practices to bureaucratic government, insurance companies, and mega-corporations (both for-profit and not-for-profit), the less anybody’s going to worry about the individual clinician who’s on the wrong end of these issues. Unless you’ve gone off the grid with a cash-only practice, your soul has already been sold and resistance of many kinds (EMR among them) is futile. He who provides the tools makes the rules, and let’s face it – patient benefit aside, organizations love EMRs because they allow the executives to monitor and enforce compliance with corporate policies that may or may not be in the best interests of patients and providers. I’d like to be more positive, but medicine seems to be turning into one big 1990s-style HMO where nobody’s happy except big companies and their Wall Street investors romping happily through big profits fueled by delivering as little care as possible. What everybody doesn’t like about EMRs is no more than a symptom of the underlying problem.

From American_Idle: “Re: St. Raphael’s. Due to happen, surprised it took this long. Major Epic consolidation will result in many redundancies. St. Raphael’s HIS is very patchwork.” Yale New Haven Hospital considers buying its neighbor, Hospital of Saint Raphael.

HIStalk Announcements and Requests

My talented offshore programmer/DBA developed an elegant workaround to the bug that was causing some readers to have problems viewing this site using old versions of Internet Explorer, like IE6. Everything should be working correctly now.

Ed Marx has added an updated to his Leadership Equations post from last week.

Acquisitions, Funding, Business, and Stock

Physicians from Cleveland Clinic will provide updates and reviews of medical content for First Consult as part of a strategic relationship between Cleveland Clinic and Elsevier. Elsevier offers First Consult as an evidence-based resource tool for providers at the point of care.

Elsevier also just announced free access to both First Consultant and MD Consult from all IPs originating from Japan. Elsevier wants to make the resources easily accessible to clinicians caring for earthquake and tsunami victims.

Charge capture vendor Ingenious Med gets $3.25 million in funding from Council Ventures, which assigned the resulting board seat to HMS co-founder Tom Givens.

Sales

Amerinet selects 4medica as a healthcare IT supplier. Members of the purchasing organization are eligible for preferred pricing for 4Medica’s inpatient and ambulatory EHR products.

Emerson Hospital (MA) purchases the Pinpoint RX system from Centice, which chemically analyzes prescription drugs and automatically links to the relevant Medi-Span drug information.

University of Michigan Health System’s new C.S. Mott Children’s Hospital and Von Voigtlander Women’s Hospital, opening in November, will implement GetWell Town, the interactive patient care solution for pediatrics from GetWellNetwork. The system has been installed in over 20 pediatric hospitals. Also new from GetWellNetwork: Carroll Hospital Center (MD) chooses its interactive patient care solution, which will integrate with the hospital’s patient management, CPOE, pharmacy, nutritional, and other systems to handle patient education, service requests, and patient-clinician communication.

People

Lake Regional Health System (MO) promotes Scott Poest to CIO.

Announcements and Implementations

Rutland Regional Medical Center (VT) goes live on its $15 million EHR system March 1, which it hopes will qualify it for $5-$6 million in EHR stimulus incentives.

Government and Politics

The government of South Australia is cutting 100 healthcare IT jobs as it consolidates hospital IT functions into a centralized statewide structure.

Poor-performing VA hospitals are shaping up after the Department of Veterans Affairs starts publicly posting outcomes data.

Innovation and Research

Kaiser hoped its contest for ideas of how to build 100-bed hospitals of high quality (“innovative use of technology and facility design to improve access to care and foster collaboration and team care while remaining efficient and affordable.”) would generate 25 solid entries, but they’ve received nearly 400 so far from 21 countries.

Technology

Apple says it sold out its annual developers conference in under 12 hours. Tickets for the June 6-10 conference went for $1,599 each and are now selling as high as $4,599 on eBay and Craigslist. Crazy.

Other

Thomson Reuters names its 100 Top Hospital award winners, based on outcomes. The top four teaching hospitals are in Chicagoland: NorthShore University, Advocate Illinois Masonic, Advocate Lutheran General, and Northwestern Memorial.

Above is the next installment in Vince Ciotti’s look-back series called HIS-tory.

HIMSS Analytics says Meditech owns the largest chunk of the hospital EMR market, with its 25.5% share (1,212 installations) beating Cerner (13%), McKesson (12%), Epic (9%), and Siemens (8%).

Another benefit of EMR: speeding the pace and cost of clinical trials. Medical centers and pharma companies recognize that EMRs provide better tools to quickly and accurately find qualified patients to recruit. With EMR, recruiting the required number of patients for large trials can be reduced from years to weeks.

NextGen Healthcare and its parent company Quality Systems, Inc., recently challenged their employees and clients to raise $20,000 for The St. Baldrick’s Foundation to fund childhood cancer research. They exceeded their goal, raising $28,000. As a result, 15 NextGen/QSI leaders have shaved their heads, including  QSI President Pat Cline. Personally, I think bald is hot.

I got an e-mail blast from LinkedIn celebrating its 100 millionth member and noting that I (as real me, not as Mr. H) was among the first million people to join (in fact, I was around #100,000). I also noted while checking that out that the LinkedIn HIStalk Fan Club that Dann started is up to almost 1,500 very cool members.

Flush with being recognized by LinkedIn as an early adopter, I signed up for Amazon’s just-announced Cloud Drive. You get 5 gigabytes of free cloud storage for files (documents, MP3, video) and unlimited access from any computer, including a Cloud Player. Buy one Amazon MP3 album and they’ll raise your free capacity to 20 GB for the first year.

Sponsor Updates

• PatientKeeper appoints Chris Stakutis , previously with Computer Associates and IBM/Tivoli, as VP of engineering. 
• Wheaton Franciscan Healthcare (WI) picks CareTech Solutions to provide SEO services for its www.mywheaton.org website. CareTech also announces that it has added two new Web Content Management System. CareWorks Fundamentals and CareWorks Fundamentals Amped are lower-cost, standardized packages for hospitals with limited marketing budgets.
• Ozarks Medical Center (MO) picks ProVation Order Sets as its electronic order set solution.
• CynergisTek earns Gold partner status from FairWarning Inc., for its commitment to providing expertise and value to the healthcare community and for its consistent sales success.
• GE Healthcare introduces Centricity Research, a clinical research management solution.
• Wayne Memorial Hospital (NC) is implementing Ingenix’s LifeCode computer-assisted coding solutions, which apply NLP capabilities to identify diagnoses and suggest appropriate medical codes.
• Medical Society of Virginia will offer its members PM/EHR software and services from Sage Healthcare, which will include discounts, certification guarantees, and free upgrades.
• HT Systems signs two new customers for its PatientSecure palm vein scanning system: Altoona Regional Health System (PA) and El Centro Regional Medical Center (CA).

Contacts

Mr. H, Inga, Dr. Jayne, Dr. Gregg.

Monday Morning Update 3/28/11

From Kip Keino: “Re: Ultimate Software. I heard a rumor they are for sale. They are an HR Payroll Saas Provider with significant healthcare presence.” I haven’t mentioned them since way back in 2004. Rumor is they’ve hired an investment banker to get the sale underway, although the company officially denies it. With a market cap of $1.5 billion on a couple of hundred million in revenue (and a PE ratio of 740!), I’d say it’s strongly possible, especially with Oracle and SAP flush with cash and a lot of hatred for each other.

From Dabney: “Re: WellStar. Lots of speculation why CIO Ron Strachan departed. This article in the local paper says he was fired and speculates why four senior execs, including the CEO, have been fired over the last six months or so.” The attorney representing the former medical group president and former CIO says they came to him about unspecified work issues. They were marched off the property by security this week. The article suggests the firings may have been related to a possible whistleblower lawsuit. The five-hospital Marietta, Georgia system paid the state $2.7 million last fall to settle improper Medicaid billing charges, which was followed by the firing of CEO Gregory Simone.

From The PACS Designer: “Re: lino – Online Stickies. TPD has found an application called lino -Online Stickies that provides sticky notes for your iPhone or iPad. It seems to be an application that could help practitioners through the posting of reminders during clinical rounds.”

From GI Doc: “Re: NEJM article. What do you think of it? It’s certainly a laundry list of problems in healthcare IT, but all I can see are a lot of vague prescriptions based on wishful thinking about how to solve them. But it sure puts the author in a position to say ‘I told you so’ about just about anything that can and probably will go wrong in the future.” It’s hard to believe this compendium of trite EHR observations warranted NEJM real estate. How many times do we need to read that healthcare IT has potential, but more work is needed to make it perfect? I’m as cynical as anybody, but those who use lack of perfection as rationale for doing nothing annoy me. I can’t think of any other industry that has argued so hard against using computers, although I’d support more government standards and even internal, IRB-type oversight within a given institution since I’ve worked in enough well-intentioned IT shops to distrust their project objectivity vs. patient safety (and some hospitals stupidly let their IT department single-handedly run projects that directly affect patients, which makes as much sense as turning them over to the departments that oversee electrical and plumbing). I’ve concluded that almost no one is objective about healthcare IT: the same person is nearly always for it or against it and will argue their position endlessly. Someday they’ll figure out that IT is neither good nor bad, so it deserves neither universal accolades or criticism — it’s just a tool that can make outcomes and cost better or worse depending on who’s using it, what they’re using, and how they’re using it (no different than a paper chart, an antibiotic, or a scalpel). Technology alone rarely makes sucky providers better or excellent providers worse.

I’m running the first of my “time capsule” editorials I wrote for an industry newsletter over several years (odds are you haven’t seen them since it was a boutique-type publication with a limited, high-level audience and no free subscriptions). I didn’t want to send an e-mail blast because some high-strung reader was sure to complain about the two seconds required to delete it, but the first is Is Forcing Physicians to Use Computers a Flawed Paradigm? I wrote it in 2006, but I’ll be surprised if it doesn’t still trigger some impassioned comments.

Listening: The Golem, a rock opera new on CD from Black Francis (aka Frank Black of the Pixies).

Nobody in my most recent poll thinks EMR vendors own the patient information stored on their systems, but that hasn’t stopped companies like Cerner and Practice Fusion from selling it. Beyond that, a full 29% of readers think the provider owns the data, not the patient. New poll to your right: should the VA/DoD replace VistA with an internally developed open source system or go with a commercial package, such as Epic’s? I’ve asked a similar question before, but I’m curious to see what readers think now as the Wisconsin politicians try to steer the government toward Epic.

A few readers have reported sudden problems reading HIStalk using older versions of IE. I’ve got a programmer trying to code around an IE design limitation that plagues no other browser (Firefox, Chrome, Opera, etc.) Microsoft fixed it all recent IE versions, but “don’t make us work harder” IT shops often lock down IE to old versions, frequently IE7 (released over five years ago) but sometimes even IE6 (released 10 years ago). Internet Explorer 9 is the current version, as of a couple of weeks ago. I would explain the nature of the bug, but I doubt anyone really cares other than me. My guy’s pretty close to a fix, I think. If I wasn’t already an IE non-fan, this would do it.

T-Mobile, soon to be part of AT&T if regulators approve, makes two healthcare-related announcements. GeaCom’s Phrazer, a video-powered translation product (video above, which would have been a lot more effective edited down to two tight minutes since it meanders painfully), will run on its network, as will wireless sensor-based monitoring from BeClose.com.

ONC posts its five-year strategic plan and invites public comment. The bullet points: (a) continue pushing Meaningful Use to increase adoption and information exchange; (b) reduce costs by improving population health via technology; (c) update the government’s approach to privacy and security; (d) give individuals access to their health information;  and (e) use healthcare information to improve healthcare knowledge.

The Motley Fool uses Allscripts as an example of why investors should ignore a company’s earnings (which are subject to accounting decisions) and instead look at its free cash flow (operating cash flow minus capital expense) from high-quality sources, ignoring that produced by items such as not paying suppliers or increasing accounts receivable collection in a non-sustainable way. It says 29.2% of Allscripts’ operating cash flow comes from “questionable sources,” such as stock-based compensation and related tax benefits. I’m not sure I buy the argument, at least as long as a company generates consistent earnings, but I suppose you could consider free cash flow an early warning system for earnings that could be threatened down the road. Not to mention that Allscripts had a high capital expense that brought down its free cash flow number, which could be a great thing if it’s using that capital to expand to increase future earnings (and not to mention that who knows what any of this means with the Eclipsys acquisition still fresh).

AssureRX Health gets $11 million in Series B financing, with additional investment from previous shareholders that include Cincinnati Children’s Hospital and Mayo Clinic. The Mason, OH company’s GeneSightRX test helps doctors dose drugs based on a patient’s genetic makeup, initially covering psychiatric drugs.

A report by the Nashville Technology Council concludes that the city is “the Silicon Valley of healthcare IT” based on the number of open IT jobs there. I’d say the methodology was shaky at best: a company checked national and local job portals and counted the open tech positions in Middle Tennessee, finding 925 open positions. I don’t know that I’d consider open jobs as a strong indicator of a city’s influence or appeal, although Nashville certainly has some big companies (mostly for-profit, but not all) that influence healthcare in ways sometimes good, sometimes not. Having no state income tax certainly helps in recruiting people and companies.

And speaking of Chamber of Commerce-type bragging, Georgia says it’s the #1 state in terms of healthcare IT revenue at $4 billion. It helps to have McKesson Provider Technologies in your back yard since I’d bet at least 25% of that figure is theirs, not to mention that many companies have Atlanta regional offices but not their national headquarters (like San Francisco-based McKesson and the former Eclipsys, now part of the Chicago-based Allscripts). Still, companies boost local payrolls and the tax base with a local presence, even if all the big decision-makers live elsewhere. Above is a map of Atlanta company offices from TAG Health (click to enlarge).

Voalte’s nurse communication system gets coverage on the Tampa TV station. It’s a good piece, although the talking head TV doctor wearing a gratuitous white coat in the TV studio (with a Fox 13 logo on it to boot) is a bit much.

Boston’s mayor welcomes NaviNet to the city and its new headquarters. It wasn’t  big move for the company, which offers provider-insurer connectivity, eligibility, PM/EMR, and patient communications — they relocated from Cambridge (1.8 miles from their old address to their new, according to Google Maps). Note to Nashville and Atlanta: according to Hizzoner’s fightin’ words, “Boston is unquestionably the country’s premier location for healthcare and technology innovation.”

Hello, Becker’s ASC Review: e-prescribing is not the same as inpatient CPOE.

A report says that Dutch technology vendor i.Know has been acquired by Intersystems. The company’s healthcare offering turns text-based information, such as clinician documentation, into structured data to create a physician dashboard for the patient. You can play around with a demo on their site at least theoretically, although all I got was a black screen.

E-mail Mr. H.