News 9/10/10

From A. Nonnie Mouse: “Re: Kadlec Regional Medical Center (WA). Turfing McKesson inpatient and GE Centricity and moving to – surprise! – Epic. The number of Epic customers in Washington and Oregon make Epic CareEveryWhere something of a de facto HIE.” Unverified, but the hospital is running Epic recruitment ads, so your information may well be correct.

From FortWorthFan: “Re: JPS Health in Fort Worth, TX. I noticed they are hiring Epic Revenue Cycle analysts, but I don’t recall ever reading that they selected Epic as their replacement clinical system.” I’ll guess they’re going Epic since this position listing seeks Epic clinical analysts. From this job opening, it appears they are seeking a CIO as well.

From Tina LaBoeuf: “Re: HISsies. I miss your hilarious write-ups of the awards announcements that went away when you started the awards party :(” Tina’s comment sent me to the search function to find and relive those moments. I did find them amusing, especially since I mixed in actual winner quotes with my phony recap. You can read it here if you enjoy these snips from 2007, featuring as host my alter-ego, former HIT sales jock Billy “Biff” Jutjaw:

Imagination at Work? Must be talking about their Carecast guys porn-surfing at their desks! Zow! Rimshot! BA-DUM-PAH. GE guys … hey Jeff … we need one of your lightbulbs over here … yeah, a replacement for that faulty one that went off over your head when you bought IDX! Owwww! But I kid. What a great evening! What a constellation of industry stars! What a rack on that broad at Table 3! … Say, Chuck, let’s see who’s here. Hey, are we in the Ying or the Yang side of the house? Judy must have been having a Woodstock flashback when she laid this place out. Where did she get compost-powered PCs, anyway? That Kool-Aid they drink here must have been from Ken Kesey’s original recipe! … Yeah, it’s like a CHIME meeting – you can’t swing a golf club without hitting two CIOs and four sales VPs clinging to their underbellies like remoras on a shark. … Come on up here, Howard Messing. Nice suit! Must be nice to keep getting awards for doing nothing! But I kid, old friend. MEDITECH was an established company when some CEOs were still backdating options in Monopoly! Booyah! Boston community swimming pools always hate it when MEDITECH starts hiring because they take all their lifeguards! Kapow! You know the first thing a MEDITECH employee says after getting home from work? "Mom, is dinner ready?" BAD-DUM-PAH. I’m like butter, baby, I’m on a roll!

Listening: new from singer-songwriter Sara Bareilles, thoughtful pop-tinged heartbreak music if you’re in the mood for that sort of thing. Watching on Netflix streaming: Studio 60 on the Sunset Strip, a stupendous 2006 dramedy series about a Saturday Night Live-type program (think 30 Rock played mostly straight with an amazing cast).

An expert tells South Shore Hospital (MA) that 800,000 patient records that were on lost backup tapes of their Meditech system can’t be easily accessed, so they decide against sending out breach notices to individual patients. They’re just going to run newspaper ads, which given the state of American intellect and newspaper circulation these days, means about a hundred people will see them, especially if they ads don’t appear in the sports or entertainment sections. This is the incident where the hospital paid Iron Mountain to destroy the tapes, only to find out afterward that the company subbed the work out to another company and lost the tapes in shipping.

In England, the dismantling of NPfIT appears to be underway, as the government cuts its total cost by $2 billion to $17.5 billion and decentralizing the project. Said the co-director of the Royal College of Physicians Health Informatics Unit, “One of the dirty secrets of the NHS is the regrettable state of medical record keeping. Earlier reports have shown that this compromises patient safety and clinical care. If IT in the health service is going to regain the confidence of the medical profession, then more emphasis has to be placed by the Department of Health on making sure that the new systems accurately capture the dialogue between doctor and patient. Everything else flows from getting that right.”

Speaking of NPfIT, an NHS Foundation Trust invites bids for a new patient care and e-prescribing system, opting out of NPfIT’s iSoft Lorenzo option because of concerns it’s not ready for prime time.

The latest ISMP Medication Safety Alert (from Institute for Safe Medication Practices) has a fascinating article about why the CMS rule requiring hospitals to administer drugs within 30 minutes of their scheduled times endangers patients. ISMP only posts excerpts online, but it was truly revealing as real-life nurses (thousands of them, in fact) describe why it’s unreasonable to meet that goal. The IT-related gist: we’ve put in eMAR and bar-coding systems and written cool “overdue” functions for clinical documentation systems, but hospitals have done nothing to address the challenges of nurses trying to meet a staggering variety of patient needs without turning into medication-pushing robots. This is one of those areas where non-clinical IT people would struggle with the idea that it’s not just calculating a “med overdue” time and dinging the nurse on a report. Everybody in involved in any capacity with clinical systems should read the full text of this article – it is a tremendous eye-opener for folks who’ve never trodden the uncarpeted areas of the hospital where the real work gets done.

Athenahealth CEO Jonathan Bush tends to be a “love him or hate him” kind of guy, but he’s still eminently quotable either way. He was definitely wound up for The New York Times. On why the company was in the birthing center business in the early days: “You know, Bush family noblesse oblige. I wanted to take advantage of all this education and support I’ve had and do well by doing good, and health care seemed like a place that no one else in my family had been much. A new approach to health care seemed to me to be the oil fields of 1997.” On the company’s competitors: “We are the only cloud-based service in an industry segment full of sclerotic, enormous, personality-free corporations that have been in business making 90 percent margins doing nothing for decades and decades.” On the cost of healthcare reform: “Oh, it’s going to go through the roof! It’s widely accepted that this is not a cost-reform bill — it’s an access bill … Eventually, consumers will need to eat a big part of their health care cost, because health care will fundamentally consume the entire G.D.P. in the not-too-distant future.”

It’s interesting that WellStar Health (GA) apparently fired its CEO after it was fined for excessive Medicaid billing, but it named the CFO as the interim president. Wouldn’t the CFO be the person most accountable for billing mistakes? Mostly unnoticed: they fired their general counsel as well. And from an IT standpoint, the CEO blamed their billing system (McKesson Star, I think). Does it get the axe, too?

We like Encore Health Resources a lot since they threw one heck of an HIStalk bash in Atlanta this year (as many of you told Inga and me afterward and we saw first-hand ourselves – that’s Ross Martin in the pic). Dana and Ivo are fun at work too, apparently — the company is named as one of Modern Healthcare’s Best Places to work in Healthcare 2010. That’s pretty cool for a new, small consulting firm.

Jobs on the sponsor job page: Project Manager – Healthcare Implementation, Eclipsys Activation Consultants, Technology Account Executive. On Healthcare IT Jobs: Metadata Administrator, McKesson Horizon Consultants, IT Applications – VP. That reminds me to mention that I made a Google Gadget that you’ll see to your right that has tabs for the Events Calendar, Healthcare IT Jobs, news headlines, and posts from HIStalk Mobile. I did that for two reasons: first because the WordPress events widget wasn’t displaying the calendar entries correctly, and second because I was looking for an excuse to build something.

I always like to highlight badly written press releases, so it’s imperative that I recognize this gem from a home monitoring technology company, which leads off with: “Cytta Corp’s CEO Stephen Spalding is pleased to announce that, after a series of well received presentations and demonstrations, Cytta has been invited to provide its first major proposal to a major healthcare payor/provider to develop an individualized monitoring system.” It’s a penny stock, but the price would need to go up fivefold to actually reach a penny, closing today at $0.0018 for a market cap of $1.83 million, doubling in price since April.

The North Carolina sheriff’s association proposes that the state give its members access to its doctor shopper database of known drug seekers, saying they “can better go after those who are abusing the system.” Privacy advocates are less enthused by the idea.

iMedicor launches its National Healthcare Communications Network, which offers practices secure messaging, peer collaboration, referrals, and CME. The company changed its name from Vemics last year, which seems like a good idea since that sounds like worm medicine. According to the site, it costs $24.95 per provider per month. It looks pretty cool to me. I can think of several business models that would work if they get enough subscribers.

Jim Bradley, former CEO of RXHub and Abaton.com, is named chairman of the board of e-health connectivity vendor VisionShare.

Let’s hope they aren’t big cloud computing or ASP users. Local hospitals (along with everybody else in four Tennessee counties) lose their Internet, cable TV, and telephone access for two days when some goober takes a shot at a bird sitting on the only cable line connecting that area to the rest of the world.

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HERtalk by Inga

Streamline Health Solutions releases its Q2 numbers: revenue of $4.7 million (15% better than last year) and a net loss of $76,000 (versus an $18,000 loss last year). The company attributes the higher loss to increased investments in marketing and hosting operations and the reinstatement of bonuses. Streamline also announced the promotion of Gary Winzenread from SVP of product development to COO.

CIO C. Martin Harris, MD of the Cleveland Clinic and former FTC commissioner Deborah Taylor Tate join HealthStream’s board of directors.

Hard to believe, but registration for HIMSS11 is now open. If you are a HIMSS member and pay before December 7th, registration is only $695. Mr. H and I are already strategizing about all the fun HIStalk-related things we’ll be doing. If you have ideas, let us know.

HHS unveils CuidadodeSalud.gov, a Spanish-language website to provide consumers with public and private health coverage options.

Mediware doubles its fiscal year profits to $3.24 million. Revenue for the year grew 17% to $47.6 million.

KLAS adds five new members to its advisory board, including HIStalk’s own Edward Marx, CIO at Texas Health Resources. Other new members include Alastair MacGregor, MD from Methodist Le Bonheur Healthcare, Kara Marx of Methodist Hospital of Southern California, Dan Morgan from Bay Medical Center, and HCA’s Noel Williams.

Forbes magazine profiles North Shore-Long Island Jewish Health System and its $400 million effort to help 9,000 employed and affiliated physicians move to Allscripts EHR. Though North Shore is taking advantage of relaxed Stark laws to subsidize up to 85% of system costs, so far only 175 of the system’s 7,500 community physicians have signed up. The health system’s chief executive admits there’s been resistance around “cultural stuff,” including concerns about North Shore’s hosting of the EMR data and discomfort with having to make work flow changes.

Wayne State University Physician Group (MI) chooses Orion Health Rhapsody Integration Engine to help create patient data exchange between their offices and other providers and facilities.

McLeod Health (SC) contracts with Merge Healthcare to integrate Merge’s cardiology workflow solutions with McLeod’s existing radiology product.

Perioperative employees at Southwestern Vermont Medical Center explain to the local press how their Picis system works, noting it “soothes some of that anxiety” felt by family members while loved ones are in the operating room.

Stamford Health System (NY) says its MedAssets Charge Capture Audit tool helped recapture $1.9 million in lost charges last year. It will also use group purchasing contracts, consulting services, and BI tools from MedAssets.

St. John’s Hospital (IL) selects Amelior Tracker from Patient Care Technology Systems for automated medical equipment tracking.

HHS awards a $980,000 grant to the University of Kansas Medical Center, University of Missouri, and University of Oklahoma to create the Heartland Telehealth Resource Center. The center will help physicians treat rural patients using telehealth technology. Almost 90% of the counties in those three states are considered rural with limited access to healthcare.

Sponsor Update:

• The Massachusetts eHealth Institute (MeHI) REC releases a list of certified EHR vendors and Implementation and Optimization Organizations. EHR vendors include Allscripts, eClinicalWorks, eMDs, Greenway, MedPlus, NextGen, and Sage. Implementation organizations include Culbert Healthcare Solutions, eClinicalWorks, eMDs, and MedPlus.
• San Juan Regional Medical Center (NM) will use the Universal Document Portal from Access to share information between its MetaVision ICU system and Meditech CIS. San Juan also uses the Access Portal to interface perinatal documents from its GE Centricity system into Meditech’s scanning and archiving product.
• Bridgehead Software and Dell introduce an enterprise medical archiving solution that combines Dell hardware with Bridgehead’s healthcare data management software.
• Nuance Communications introduces Dragon Medical Enterprise Network Edition for  large practices and hospitals. The new release includes a centralized management console and enhanced support for Citrix-based EHRs.

Medical office employees in Colorado smell a strong odor and discover the source is a dead animal stuffed into a filing cabinet. The clinic owner believes the incident was the result of a break-in, likely by a former employee. He does not indicate whether or not he suspects the prank was some sort of statement about the clinic’s need to move to an electronic filing system.

E-mail Inga.

News 9/8/10

From HIT and Hockey Fan: “Re: Bobby Orr will enjoy this. Use meaningful useful EHRs (Epic in the office) to win a night at the UPMC Health Plan’s luxury box at the new Pittsburgh Penguins Arena. If successful in enticing the doctors to provide care as defined in the letter, UPMC Health Plan and UPMC will be paid a bonus from your tax dollars by CMS, which will more than cover the cost of the luxury box for the entire season.” I think I’ve mentioned before that I was UPMC’s box suite guest once at a Steelers opener at Heinz Field, which was somewhat wasted on me since I don’t get the point of watching someone else play sports (especially millionaires), but the atmosphere was interesting. There was lots of food, drinks, and nattily attired male UPMC executives talking shop and watching the game on the TV monitor while their carefully coiffed wives chatted harmlessly in the living room area. Just outside our hermetically sealed and climate controlled luxury digs were people (their patients, most likely) cheering, waving Terrible Towels, and actually paying attention to what was happening on the field. It was pretty enjoyable once I got over the irony of a non-profit hospital system spending money to support a billionaire’s sports team. 

From Ricardo: “Re: Napochi. I’m curious about your impressions. Someone sent me a link and they are new to me.” Never heard of them. They sell PM/EMR, but they don’t call them that exactly. The company has offices in Alabama and China (there’s an odd pairing). Their Web site isn’t ready for prime time if the number of placeholder pages is any indication. They claim 300 hospital and practice customers, but I bet most of them are in China (just guessing).

It defeats the purpose of a survey asking about compassion and spiritual beliefs when an atheist blog urges its readers to barge in and vote predictably, so take the above results with a truckload of salt. Before the ballot box stuffing commenced and real HIStalk readers were voting, it was running about 50-50. New poll to your right: is the typical practice-based EMR capable of collecting and presenting the information needed for practices to assume and manage population-based risk?

University of Mississippi Medical Center chooses Epic for a $36 million project. They expect Uncle Sam to pay $20 million of that in HITECH money.

A University of Rochester Medical Center doctor loses a flash drive containing the PHI of several hundred patients. In typical horse-left-barn fashion, the medical center vows to start using encryption. Maybe losing a drive is the best thing that ever happened when it comes to information security — embarrassing publicity apparently launches more encryption projects than any kind of thoughtful planning and it only takes one episode per hospital.

Healthcare Innovative Solutions (HIS) is supporting HIStalk as a Platinum Sponsor, I’m happy to announce. The Seville, OH company provides clinical systems implementation, process optimization, CPOE and EHR consulting, medication safety, order set, and clinical decision support services. They also do HIPAA security, strategic planning, selections, and HIE work. Here’s a white paper (warning: PDF) describing their CPOE work at Mercy Health Partners (OH). I ran across this profile and video about founder Daniela Mahoney, RN whose story is quite interesting and worth watching. Inga and I thank Healthcare Innovative Solutions for supporting HIStalk.

AMIA is offering prospective corporate members free attendance at its Industry Day, held during its annual conference in Washington, DC on November 15. They have a few spots left.

Misys shareholders won’t get their $1.2 billion in Allscripts stock proceeds immediately, as the IRS evaluates whether Misys is on the hook to pay $170 million for what may be interpreted as a material reorganization of its corporate structure.

Scotland-based charge master vendor Craneware, flush with cash after a good year, is on the hunt for acquisitions valued at up to $30 million. Nearly all of its business is in the US and the company is looking for a bigger piece of the healthcare reform pie.

mdHub launches the mobile version of The Little Blue Book, the physician directory formerly distributed on paper by WebMD. It also includes pharmacies, hospitals, and health plans. I don’t exactly understand the pricing model, which is based on regions, but I’m sure you can figure it out if you’re interested.

Everybody’s getting into the physician recommendation business, apparently. A reader says Angie’s List (of which she’s not a member) has sent several solicitations about doctor ratings, some of which seemed curiously timed to her Google search activity. I can’t imagine paying for reviews, but apparently some do (and some complain about the result, Google tells me).

In Canada, Northeastern Ontario Network (NEON) adds six new hospitals to its Meditech hosting service, bringing the total to 19.

WellStar Health System (GA) fires its CEO following settled charges of Medicaid overbilling, which he had blamed on its billing systems.

New CMS head Don Berwick plans to start using his agency’s $10 billion innovation money to fund 100 to 300 sites testing new models of patient care, which I assume means accountable care organizations.

Google is looking for volunteers to translate chosen healthcare articles into Hindi, Arabic, and Swahili on local language versions of Wikipedia.

Big German healthcare software vendor CompuGROUP will purchase Visionary Healthcare Group, which includes Visionary Medical Systems, a Tampa, FL PM/EMR vendor. The company’s first US investment was majority ownership of Noteworthy Medical Systems 18 months ago. I think it’s safe to assume that more acquisitions will follow.

HP’s board fired CEO Mark Hurd even after finding that he violated no company policies, triggering a severance payout worth up to $40 million. Oracle hired him on Labor Day as co-president. Now HP is suing him, claiming he violated his confidentiality agreement by going to work for a competitor. HP doesn’t like Oracle now that it sells its own servers, courtesy of its acquisition of Sun last year.

A British study finds that pharmacists could reduce nursing home medication errors by over 90% if put in charge of the process. The study found that 70% of patients had at least one medication error on any given day.

New Zealand will pilot e-prescribing next year.

Thinix releases a touch-friendly, iPad-like user interface for Windows-based virtual desktops, providing as a press release example a nurse working both remotely and on the desktop.

The former president and CEO of Perceptive Software, acquired by Lexmark in May, explains why the $280 million, all-cash deal makes sense using a healthcare example. That’s not surprising since Perceptive always had a fairly strong healthcare presence with its ImageNow scanning and barcoding products. 

England-based Avia Health Informatics PLC announces executive changes to support its plan to enter the US market with its odd lot of products sold under the Plain Healthcare and Odyssey brands: ship telemedicine, patient symptom self-assessment, paramedic fall evaluation,  prison healthcare, and nurse triage.

Exciting, to me anyway: the sequel to Wall Street hits theaters September 24. No Bud Fox, but GG’s back 23 years after the original.

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HERtalk by Inga

Mount Kisco Medical Group executes an agreement to deploy NextGen’s EHR, PM, and Patient Portal for its 230-physician practice. Looks like they are replacing Misys Vision and EMR.

Nassau University Medical Center (NY) adds Streamline Health’s Enterprise Health Information Management suite to integrate with its existing Eclipsys Sunrise Clinical Manager. Nassau already utilizes Streamline’s accessANYware product.

ASC software vendor AmkaiSolutions completes a $3 million round of Class E equity financing. The company plans to pursue “a broader sales and marketing program.”

Central Texas Medical Center (CTMC) goes live on CPOE. CTMC is part of Adventist Health System, so I assume it’s a Cerner install.

Data point: more than half of the 354 million doctor visits each year for acute medical care are not with a patient’s primary physician and more than a quarter are in hospital ERs.

Emdeon announces plans to acquire Chamberlin Edmonds, a provider of government program eligibility and enrollment services. The $260 million purchase expands Emdeon’s offerings for hospitals.

Medical scribe is one of the hot, up-and-coming healthcare jobs that has become especially popular with young medical and nursing students. The pay isn’t exceptional — $8 to $10/hour — but the job gives scribes the opportunity for up-close exposure to physicians providing patient care, particularly in the ER. Several enterprising companies are establishing offices close to major universities in order to attract ambitious pre-med and nursing students. The scribes receive basic training on medical terminology and coding before hitting the front lines.

University of Utah Medical Group selects Practical Data Solutions to migrate its data warehouse and analytical reporting to Epic. The academic health system goes live on Epic November 1st.

Carestream Health acquires Quantum Medical Imaging, an x-ray imaging provider with a strong base of community hospitals and smaller clinics.

Catholic Health Initiatives (CO) hires Sheryl Rose for the newly created position of Chief Information Security Officer.

A George Washington University ER physician initiates a study to see how accurately ER docs and PAs diagnose wounds from patient-generated cell phone images. Five months into the study, the data indicates a 90% accuracy rate. And, accuracy increases with better quality images.

Sponsor Updates

• Carolinas HealthCare System selects Medicity to help build a multi-state HIE that encompasses the health system’s 32 facilities, plus community physicians and other caregivers.

• Mayo Regional Hospital (ME) chooses Sage Intergy EHR of its eight physician practices.
• Across the pond, King’s College Hospital goes live with iMDsoft’s MetaVision in its critical care unit.

E-mail Inga.

News 9/3/10

From Bobby Orr: “Re: the new Allscripts. They rang the Nasdaq bell. Hopefully it’s not too late to have a real challenger to the mighty Epic.” Glen has rung that bell a few times, I found by Googling. Since I couldn’t find a picture from this week and their Web site seems to be down, the one above is from one of the several previous “new Allscripts”, this one from 2008. I’d like to think it’s not too late to compete with Epic either, but I think it is, at least if the goal is to match up head to head. The Eclipsys clinical apps are better in some ways, but prospects are eating up Epic’s “one record” pitch and looking that the avalanche of new Epic business compared to long, slow decline of the Eclipsys Sunrise customer base. On the other hand, those Eclipsys apps have never been in better management hands than they are today now that the acquisition is finished, so maybe Glen can turn it around. When I asked him about that, he was pretty confident that Epic is vulnerable, but then again, former Eclipsys SVP (now Allscripts president) John Gomez said the same thing right before a stunning string of Eclipsys showcase accounts announced plans to displace Sunrise with Epic.

Speaking of Allscripts, here’s an insightful comment from quadwatch on the Yahoo stock board: “We are seeing what drove this merger — Eclipsys’ inability to compete with a weak ambulatory product and Allscripts’ lack of a hospital system. Given MU requirements for hospitals (in particular, CPOE adoption) the reality is you have only three products with proven adoption rates that don’t make a new purchase a crap shoot for the CIO: Epic, Cerner, and Eclipsys. It becomes a Epic-Cerner race if the facility has employed MDs or is looking to establish a community model. This one of the most logical mergers that I have seen in this segment.”

And while I’m quoting from stock boards, here’s another excellent one from my favorite industry analyst, sonomaca, on Glen’s bell-ringing: “Not surprised he decided to go and ring the bell. This is his triumphant return to control of MDRX. He’s proven himself to be a master of the game, starting with the secondary offering back in 2000 which ultimately saved the company. You’ve got to marvel at how he took a near-bankrupt MDRX in 2002/2003 to the top of the heap in 2010. Amazing. My guess is that, in the end, ECLP will be integrated without too much trouble. In the next couple of years, US market share will be pretty well divvied up between Epic, Cerner, Allscripts, and some of the lumbering giants like McKesson. No doubt, GT is already thinking ahead. And, what’s ahead are myriad tuck-in acquisitions and, most importantly, overseas.” Above is the ten-year share price, peaking at something like $80 in 2000 and bottoming out at less than $2 just three years later, now back to $17. Glen was CEO that whole time and before. He’s got $19 million worth.

From Price Checker: “Re: UPMC. I love this creative, airline-like a la carte approach to paying for the EHR at this paperless hospital.” UPMC, like other hospitals, is charging patients a “facility fee” for being seen in a physician practice it owns, even though patients may not even know that UPMC is involved. The patient profiled in the article noted that the reception area bears a plaque thanking the donor who paid for it, making her wonder why she has to pay again. She had no choice since UPMC threatened to turn her account over to a collection agency, but she vows to steer clear of that doctor and building for her future medical needs.

From The PACS Designer: “Re: Apple TV. Apple has announced their latest Apple TV configuration containing a faster custom built processor called the ARM A4. With a hookup to an HDTV, could medical image viewing find a place in the home viewing schedule? Only time will tell if it catches on with practitioners! This iTV device also has an Ethernet port and 802.11B/G/N Wi-Fi for streaming.” I’ll say that my Roku box was a game-changer for me. I haven’t watched a minute of DirecTV or even DVRed stuff since I got it – everything else seems so primitive compared to free, on-demand Netflix streaming. I’ve discovered great TV shows and movies I would never have found otherwise. I think I saw there’s some kind of medical channel on there.

From Mya: “Re: weird medical news stories. Did you hear about this one?” Sad: a female doctor, apparently drunk, tries to break into her former boyfriend’s house while he is there. He leaves out the back door to avoid a big fight, but in the meantime, she climbs on his roof and tries to slide down his chimney. Three days later, someone checking on the man’s fish notices a smell coming from the fireplace and finds her dead a couple of feet up the chimney, where she had died of asphyxia.

From Irving R. Levine: “Re: EHR vendor. We’re converting from [vendor name omitted]. They don’t understand why an IT shop needs access to clinical data in the SQL tables, so we can’t access our clinical data on our servers on our network without using their UI. They also don’t understand why we want to do our own backups instead of using their service.” This kind of issue is going to pick up steam as people starting switching out EMRs. Small practice vendors don’t usually understand clients with real IT people on board, so they distrust their intentions in a rather parochial manner. Like Bill O’Toole said in his HITlaw, if it’s important to you, get it into the contract.

The proposed Healthcare IT site on Area 51 (geeks know what that means) needs reader commitment to move ahead, being 15% of the way there so far. If you’d like to see an place to have HIT-related questions answered by experts (or to answer questions if you’re the expert), then sign up.

Marty Larson is named executive director of the Greater Dayton (OH) HIE.

GetWellNetwork will announce that it has developed the first digital care plan for reducing admissions for pediatric asthma, including multimedia patient and family education covering triggers, medications, and equipment.

Jobs on the sponsor job page: Technology Account Executive, Epic Certified Consultants, Account Manager, Eclipsys Orders/Results Analyst. On Healthcare IT Jobs: Cerner SurgiNet and Power Orders PMs, McKesson HEO I-forms Consultants, Development Manager, Epic Report Writer/Programmer Analyst.

Listening: reader-recommended The Sensational Alex Harvey Band, 70s glam rockers from Scotland. The namesake died 28 years ago, but even though he hasn’t been reincarnated, the band has. He was quite a showman.

HIStalk stats for August: 102,047 visits, 145,694 page views, and 6,114 verified subscribers. All are new highs. Thank you for reading.

Metropolitan Health Networks and Senior Bridge start a year-long pilot project to evaluate the use of telephone-based telemedicine and specially trained staff to manage 100 Medicare Advantage patients who require frequent hospitalization. Each individual is assigned a nurse and a social worker to work with the patient’s physician to develop a care plan and to conduct in-home assessments for safety and patient evaluation.

This is ingenious: Kerry from Network Management Solutions of Garner, NC e-mailed to tell me he’s figured out a cool way to use his iPad. He downloaded the free Remote Desktop Lite app (which also works with the iPhone) and remotes into his home PC, meaning he can run all of his Windows apps on an iPad from anywhere. That sounds like it might have some possibilities for small-scale hospital or practice apps, as long as each iPad user has a dedicated PC to remote into (it’s like a poor man’s Citrix farm, although the non-poor man might run Citrix Receiver to run apps directly from a Citrix server). I bet the wheels are spinning in the heads of some readers even as we speak.

Why haven’t EHR vendors done this? A chiropractic software vendor partners with the creator of the Facebook Fan Page Generator to get its customers into social networking and promotion, or as the press release says, to create “an automatic new patient referral generating machine.”

The Community College of Allegheny County (PA) will offer free, non-credit HIT classes to qualified applicants, courtesy of $16 million of federal taxpayer money.

The presentation was from an Australian HIT executive, but the message is familiar when it comes to IT challenges in hospitals: IT gets heat to finish projects even with insufficient resources, they patch old systems together instead of buying new ones, and the IT people don’t have the clinical knowledge to run the systems used by clinicians. But it was an audience member who got big applause for describing health department IT procurement practices: “[It’s like] taking a 17-year-old and letting them buy any car they want, with any sized engine. We get clinicians to dream up what they want, then they go and buy it without even thinking about whether it will or won’t work. We have people who don’t know what should and shouldn’t be used, who have the power to make the decisions on buying".”

Odd lawsuit: a surfer hospitalized in Hawaii after a shark bite claims the hospital posted his picture of his leg wound on the Internet. He’s filed a suit alleging HIPAA violations and several more potentially lucrative charges.

More iSoft struggles: the company’s major shareholder says it will decide in April 2011 whether to unload its shares.

I haven’t quite decided whether to do a Monday Morning Update. If I don’t, or if you won’t be around to read it even if I do, have a wonderful end-of-summer holiday (just my US readers, I keep having to remind myself since that’s not all of them). I will be laboring on Labor Day in any case since I am extremely behind, so as Inga suggests below, you can always send us a Facebook or e-mail message if you are feeling lonely, unappreciated, or unfulfilled. 

E-mail me.

HERtalk by Inga

From KP Duty: “Re: Sutter’s iTriage app. Looks like a great tool for consumers, except for one thing (disclosure: I’m with Kaiser Permanente). When I clicked on the Find Emergency Department link to see the EDs closest to my house, is it a coincidence that the largest Kaiser Medical Center in Northern California is absent? I would have to drive by this large and well-established facility with its gigantic emergency department to get to the one listed. To be fair, I put in the address of one of the other Kaiser hospitals and it came up in the right order.” Is it a conspiracy or a bug? I’ll go with bug since I did a spot check on a couple addresses and KP sites definitely popped up prominently.

In what may be the first of similar announcements, ChartLogic reports it has applied for EMR certification with Drummond Group. I reached out to ChartLogic and asked them why Drummond was selected over CCHIT. Here’s the reply from Eric Sorenson, ChartLogic’s VP of marketing:

Our choice for Drummond over CCHIT came down to timing. We believe we are ready to be certified today. CCHIT has indicated that they will launch their program on September 20, and begin receiving applications then. Additionally, they’ve previously indicated that they will give certification priority to their CCHIT 2011 and their “Preliminary ARRA” certified products. We believe this would push our testing date and certification to a date much later than desired. Conversely, Drummond has indicated that they are taking applications immediately, and can begin testing within a few weeks. They have no backlog. We believe this will give us the best opportunity to be certified immediately. CCHIT has a 5 year head start on marketing their products and services, so we weighed the value of a certification with CCHIT vs. Drummond and felt we could overcome any of possible difference in marketing value by being one of the first companies certified, if not THE FIRST. Additionally, Drummond has been certifying other software for a longer time than CCHIT, so we agree with ONC and don’t believe their lack of EHR certification experience is likely to cause us problems in the certification process.

Southwestern Vermont Medical Center says it spent $1 million on its Picis periop system.

Valley View Hospital (CO) goes live on Meditech 6.0.

Actor Michael J. Fox will provide a keynote at HIMSS11, sharing his experiences as a patient and telling healthcare IT experts how IT impacts healthcare. Sadly, he’s got the dreaded Thursday a.m. slot, which means only 200 people will be in the audience. What I want to know is whether Jonathan Bush will try to schedule a meet-and-greet with his look-alike.

Memorial Hermann (TX) selects FairWarning to monitor patient privacy.

Former Streamline Health and Misys VP Scott Boyden takes over as VP of new client sales at TSI Healthcare. Kermit Copley also joins the company as CFO.

Hoag Hospital (CA) opens its new $84 million, 154-bed facility in Irvine. That’s $545,000 a bed if you are the calculating type.

HHS names its final two Beacon Communities: Greater Cincinnati HealthBridge and Southeastern Michigan Health Association. HealthBridge will focus on pediatric asthma and adult diabetic care, while Southeastern Michigan will concentrate on diabetes care and prevention.

UnitedHealth Group is loaning $10 million and donating another $1 million to help rural hospitals improve their HIT and add EHRs. Between this program and the recent Ingenix acquisitions, it sounds like UnitedHealth is trying to unload some cash.

This week on HIStalk Practice: Dr. Gregg Alexander shares the EHR-laced lyrics of some of his soon-to-be-hit tunes; Jonathan Bush tames an octopus; and an Iowa REC shares the cost of their consulting services (between $300 and $2,000 for two years’ worth.)

Stanford Hospital and Clinics commits to a seven-year agreement with Accenture to take over some  of Stanford’s IT functions. Accenture will manage applications and infrastructure and provide data centers, network, help desk, and device support. We said this was happening a couple of weeks ago, courtesy of a reader rumor from Scatman Crothers.

Memorial Hospital at Gulfport (MS) lays off 47 workers, including 10 nurses. The staff reductions are part of cost-cutting measures to offset an $11 million budget shortfall.

The Massachusetts attorney general recommends that the board of Beth Israel Deaconess Medical Center do “some soul-searching” about CEO Paul Levy’s ability to lead the hospital.This follows her office’s conclusion that his long-time personal relationship with a female employee “clearly endangered the reputation of the institution and its management.” Board chair Stephen Kay responded by saying, “We are having a great year. We have more patients than we’ve ever had before. He’s made some wonderful alliances with some quality places. He has great credibility. He’s a national leader.” I’ll bite my tongue as it relates to this toxic topic.

Sponsor News

• Enterprise Software Deployment (ESD) ranks #561 on Inc.’s list of the 5,000 fastest-growing companies. ESD, by the way, just hired former maxIT director David Tucker as its national VP of sales.
• MetroSouth Medical Center (IL) goes live with iSirona’s medical device integration solution, transmitting data from over 100 GE Unity Network devices.

If you have a three-day weekend, I hope you are not in Earl’s way and are able to enjoy the fruits of your labor.  And if you are laboring, remember you can always sneak into Facebook and drop us a note.

E-mail Inga.

HITlaw 9/1/10

Software Contracting with Meaningful Use in Mind

The final rule has been published, the incentive structure is in place, and hospitals and physician groups are investing in EHR technology. Here are some straightforward thoughts on contracting for the successful implementation of your chosen EHR.

Care must be taken by the provider customers. Some will be investing capital based solely on the prospects for reimbursement. Protection of their interests is important. This is by no means a complete list.

Certification

The best situation would be for the vendor to warrant that its EHR technology has been certified by the appropriate authority and is installed and live at more than XX (vendor to fill in the number) sites. The fallback position today would be a warranty that the product will be certified in the appropriate timeframe for full reimbursement eligibility.

Further, they must warrant that certification will be maintained throughout the reimbursement periods (note that the timelines for provider reimbursement differ for Medicare and Medicaid participants). It is technically possible for a provider to lose a year or more of reimbursement if the vendor’s EHR product was initially certified, but then misses certification during the reimbursement period. The year of ineligibility still “counts” for the provider, but they will not receive associated funding.

Be wary of “best efforts” clauses. Some vendors will take care and be uncomfortable warranting that a product will be certified, and for that they should be applauded. Others will take the “we have no choice” approach and provide the warranty. Their gamble is weighing a potential breach of warranty against lost business today when the customer selects an EHR vendor that provides the warranty. The customer has little practical choice. The warranty is essential.

Delivery and Live Status

The delivery date for certified EHR product, together with the implementation timeframe for the product, must result in the EHR in use in live environment so as to enable customer to achieve Meaningful Use. Keep in mind, though, that for long projects with work to be done on both sides, a vendor should not be expected to warrant that something will be live when considerable work must be done by the customer. That work which is completely out of the vendor’s control.

This one factor is greatly reduced as a consideration when dealing with an EHR provided in the SaaS model since time from delivery to live is in some cases negligible.

What you should look for is guaranteed timelines that, if all is accomplished on time by both vendor and customer, will allow for live use by a certain date. This is very reasonable.

Payment Terms

Assuming a certified product is delivered on time, payment should flow accordingly over the implementation timeline. That is fair.

However, some implementations will be quick and some will not. Delaying payments until reimbursement occurs would be outstanding for the small providers, if you can find a vendor that will take those terms.

Undoubtedly the primary concern for some providers is laying out capital on a project and counting on reimbursement when the possibility exists that reimbursement may not occur. If the circumstances are solely the fault of the vendor (failing to maintain certification, for example) then the customer should be protected and monies should be refunded. The requirement to make payments on a product that ultimately does not qualify the provider for reimbursement is patently unfair to the provider customer.

Some accommodation must be made for the hopefully never-to-occur failure of the project. Keep in mind that some of these contracts will be executed with the full intent and purpose of obtaining reimbursement, otherwise the investment would not be made at this time. That one major factor cannot be ignored.

Finally, Meaningful Use

The items above are tailored toward protection of the customer provider, while hopefully acknowledging the fairness factor to the vendor. Meaningful Use is another situation entirely.

In my opinion vendors cannot guarantee or warrant that any customer will achieve Meaningful Use. Vendors only provide the tools needed for that process. The customers are responsible for the work on their side, using the certified EHR tool acquired from the vendor in their operations necessary to achieve Meaningful Use.

The best I could do if writing the warranty for the vendor would be to warrant that the certified product, delivered in the appropriate timeframe, will enable the provider customer, through its efforts and implementation, to achieve Meaningful Use, but that the vendor cannot ultimately warrant that the customer shall achieve that goal. Achieving that goal is the responsibility of the customer providers that will receive the reimbursement if all goes well.

William O’Toole is the founder of O’Toole Law Group of Duxbury, MA.

News 9/1/10

From Redzenskyca: “Re: Allscripts/Eclipsys merger. New company name: Allscripts. New color: green.” The announcement is coming tomorrow, reliable sources tell us (nobody official, but people who should know). Green is my favorite color, though. Here I was criticizing the sea of orange at ACE and now it’s going to be a collector’s item or something (or sold on eBay just in time for hunting season). UPDATE: the Allscripts site has been updated with the logo above and a welcome to the merged companies.

UPDATE 2: The company’s leadership team is listed as Glen Tullman as CEO (Allscripts), Lee Shapiro as president (Allscripts), Bill Davis as CFO (Allscripts), Eileen McPartland as COO (Allscripts), John Gomez as president of product strategy and development (Eclipsys), Jeff Surges as president of sales (Allscripts), Diane Adams as EVP of culture and talent (Allscripts), Laurie McGraw as chief client officer (Allscripts), Dan Michelson as EVP and chief marketing officer (Allscripts), Kent Alexander as EVP and general counsel (Allscripts), and Joe Cary as chief of staff (Allscripts).

From Curious in Texas: “Re: MD Anderson in Houston. I’ve heard they will be installing Soarian Financials. This surprises me because I thought the UT hospitals were all converting to Epic. Can you verify this rumor?” Verified. MD Anderson hasn’t signed the contract yet, but they are planning to migrate from Invision to Soarian patient accounting, ADT, and scheduling. Their primary motivation is its service-oriented architecture.

From Boomer Later: “Re: Maine Medical Center. I heard its board will meet Wednesday on a proposal to migrate from Eclipsys to Epic on a 20-month timetable. Approval is expected. It’s a blow for Eclipsys since MMC is one of their most progressive and active customers and was customer #6 on the old TDS product.” Verified. They were already using Epic on the MaineHealth ambulatory side, so this will be the next step toward their “One Patient, One Record” philosophy. Epic Enterprise will be implemented in their six member facilities in addition to Maine Med.

From Lizard King: “Re: HITECH. AAOS average member salary: $$$$. GP in private practice: $. Meaningful use is the gateway to federal $$$ to pay for HIT that providers might not otherwise be able to justify as an ordinary practice investment. Generalizing, specialists have more profitable operations and seem to have much better ROIs on HIT than GPs, so it is no surprise that MU is headed this direction. Which seems about right to this taxpayer and consultant.”

If you’ve been following the current poll and comments on Ed Marx’s Blessing of the Hands post, you may wonder why the comments suddenly turned ugly. An atheist blogger linked to it and his followers dropped by to vote and opine. Since the point was to find out what industry people think, here’s the stat that counts: the poll was running 50-50 when it was just real readers voting.

Inga interviewed Chet Speed of AMGA about Accountable Care Organizations on HIStalk Practice. It’s a hot topic, so we’ll have more soon from the hospital point of view. Hats off to her for drawing readers to HIStalk Practice, with visits up 50% or so compared to a year ago.

A Member of Parliament in England wants to know if BT was paid hundreds of millions of pounds to persuade it to stick around with NPfIT instead of bailing out like other companies did.

In the News of the Obvious, a small study finds that Facebook is a big draw for narcissists prone to encouraging shallow relationships by carefully controlling their image, bragging on themselves in their Info section, and in the case of females, posting revealing and/or doctored photos (not that there’s anything wrong with that). The conclusion is somewhat profound: “As we abandon the fake avatars and cryptic usernames of years past and begin associating our online identities with our real-world lives, our online activities begin to have more relevance to our true personality traits.”

Mike Cannavo, the one and only PACSman, cranks up a blog: The PACSman Pontificates. He was darned funny, irreverent, abrasive, and always informative when he wrote for a rag-sponsored blog, but says he got tired of being forced to change his posts every time an advertiser complained. I can only imagine what he’ll say unmuzzled. Also in the PACS and radiology world, Mike’s occasional partner in crime Doctor Dalai celebrates 200,000 blog visits. I like those guys.

Newly named EHR certifying body Drummond Group releases testing guidelines and cost (warning: PDF): $19,500 for inpatient or ambulatory remote testing, $23,500 plus travel for on-site testing.

In Australia, iSoft CEO Gary Cohen will resign after the company posts a $383 million fiscal year loss and a 20% drop in revenue. Shares are down 83% year to date to around 12 cents. I interviewed Gary in April.

WellStar Health (GA) will pay $2.7 million to settle Medicaid fraud claims, admitting no wrongdoing and blaming its claims processing software.

Ambulatory EMR vendor iSALUS names (warning: PDF) Richard Noe as president and CEO. I don’t see any mention of previous healthcare-related employment. He says he’ll double headcount there.

Retired Army General Hugh Shelton, the former chair of the Joint Chiefs of Staff and a Special Forces veteran of the Vietnam War, is named chairman of the board of Red Hat.

Detroit Medical Center says its EMR saved it $5 million last year, $4.5 million of it coming from reduced length of stay related to pressure ulcers. That’s not a great ROI for a $50 million system, but it’s a good start.

I don’t look at LinkedIn often except to verify where someone works since it’s kind of junky looking and always trying to upsell additional features. Still, I was happy to hear from Dann that the HIStalk Fan Club he started there has 1,088 members, some of them spamming my hard-won audience with their own pitches, I notice, which seems kind of tacky but common for LinkedIn. Anyway, since I seldom mention LinkedIn, feel free to add Inga or me to your network (just search for HIStalk). I even added a spiffy new photo since they removed my old one. We’re more Facebookers these days (there’s that narcissism thing), so ditto: just search for HIStalk and you’ll see individual profiles for Inga and me plus our HIStalk page. I’m feeling loserly since I have only 89 friends (although I appreciate every one) vs. Inga’s 112.

The CEO of Naples Community Hospital (FL) writes an editorial bragging on the hospital’s use of its Cerner EMR. Actually he mostly seems to be bragging on the possibility of getting taxpayer money for using it, saying the hospital will be an “early applicant” for money and hopes to get nearly $12 million continuing to do what it was already doing. He says Cerner told him Naples is the second most MU-ready Cerner site.

Markle Foundation assembles (warning: PDF) 45 organizations who advocate that HIT vendors offer the “simple, but rarely offered” ability for people to download their own health records, the so-called Blue Button.

The SVP/CFO of Danbury Health Systems (CT) is charged with defrauding his employer of more than $140,000 by directing health systems payments to a software company he ran out of his house.

IBM and Dell chase the Chinese equivalent of HITECH money. Interesting: one hospital has more than 10,000 patient visits per day.

Bizarre: an auto accident patient says he awoke in Prince George’s Hospital (MD) and asked for food, only to be told by a nurse that he was NPO for cancer surgery, which was news to him. As he was being prepped, he noticed that another patient’s wristband had been placed on him. His wife helped him pack up with intentions of getting out fast AMA, but he claims two hospital security guards beat him and advised him that “Hell, no, he don’t come up in here and be telling us what the f*** to do.” He says a hospital manager acknowledged the incorrect wristband and invited him to have “any type of drug he wanted, just to name the painkiller.” He was diagnosed with broken ribs, a sprained shoulder, a ruptured spleen, and a concussion. He’s suing for $12 million.

E-mail me.

HERtalk by Inga

From Roger Sterling: “Re: DocSite. News has it that Covisint is buying DocSite. Covisint wants to add it to the AMA portal project being rolled out in Michigan.” Unverified. I have a message out to the Covisint folks.

HealthInfoNet, the HIE for Maine, partners with Health Language to provide clinical content integration.

EDIMS licenses First DataBank’s National Drug File Plus database to integrate into its emergency department EHR.

Quincy Valley Medical Center (WA) commits $200,000 for computer hardware in advance of selecting a an EMR application. Software finalists include Meditech 6.0 and CPSI.

Sisters of Mercy Health System launches a $60 million data center in Washington, Mo. The 42,500 square-foot center will host EHR and other applications for all of Mercy’s sites. The regional business journal also points out that the medical information is secure, as it relates to “HIPPA.”

The 16-hospital system IASIS Healthcare selects QuadraMed’s coding, compliance, and reporting tools in preparation for the transition to ICD-10 code sets.

St. Mary’s Medical Center (WV) contracts with Wolters Kluwer Health for its ProVation Order Sets.

Matt Grill, Sunquest’s former manager of technical training and publications, takes over as VP of Global Client Support for MRI Software, a developer of real estate management software.

Patient education material from Thomson Reuters and its Micromedex CareNotes system is available in 15 languages, including Arabic, Chinese, Russian, and Turkish.

On HIStalk Practice: an interview with 20-year-old Greg Waldstreicher, founder of DoseSpot. Everyone who was running a viable business at age 20 while going to school full time, please raise your hand.

Sutter Health (CA) activates iTriage, giving consumers the ability to check systems and find out detailed information about doctors, hospitals, clinics, and ERs via a free mobile application.

The average American hospital barely breaks even, but some have operating margins of 25% or more, according to a Forbes survey of the country’s most profitable hospitals. HCA owns 11 of the top 25 hospitals; two of Mayo’s main facilities make the list as well. Flowers Medical Center (AL) topped the list with its 53% operating margin. Fifteen of the 25 hospitals were for-profit.

Baptist Medical Center (MS) lays off 186 workers, including 14 in management. Laid off workers are being offered a chance to apply for the 136 current openings.

Sponsor updates

• Greenway Medical Technologies says four additional HIEs, IPAs, and regional medical centers have selected its PrimeSuite EHR/PM solution.
• Cumberland Consulting Group has been named one of the 2010 Best Small Firms to Work For by Consulting magazine, having made their list every year since it was started.
• For the second year in a row, the Central Penn Business Journal names MEDecision to its 100 Best Places to Work in Pennsylvania.
• Sierra View District Hospital (CA) hires MEDSEEK to develop and deploy its Web site and clinical portal.
• Access has a new Web site at accessefm.com.
• MaxIT Healthcare makes the Inc. 5000 list, as well as being named #56 on the HCI 2010 Top 100. The company has over 430 consultants.

A baby in Italy suffers heart problems and possible brain damage after two doctors involved in his birth get into a fist fight in the operating room over the appropriateness of doing a C-section. The mother had to have her uterus removed. The region has a 60% C-section rate.

E-mail Inga.

ONC-Authorized Testing and Certification Bodies Named

The Office of the National Coordinator for Health Information Technology has named two ONC-Authorized Testing and Certification Bodies (ATCBs). They are Certification Commission for Health Information Technology of Chicago, IL and Drummond Group, Inc. of Austin, TX.

Authorized by the National Coordinator, ONC-ATCBs are required to test and certify that certain types of EHR technology (Complete EHRs and EHR Modules) are compliant with the standards, implementation specifications, and certification criteria adopted by the HHS Secretary and meet the definition of “certified EHR technology.”

Monday Morning Update 8/30/10

From Packerbacker: “Re: Epic. Wins another one, selected VOC at Children’s Hospital of Wisconsin. The contract is not signed, but they have already started planning the implementation.” Unverified, but Epic doesn’t lose many deals in its home state.

From Winston Zeddemore: “Re: clinical data. I lost a lost of respect for Halamka with the whole ePatient Dave mess. As a doc, he should have known better than to inundate unsuspecting patients with a barrage of unchecked claims data in their PHR. Then, he has the audacity to state that the switch to ICD-10 would fix the problem, when ICD-10 has no code for metastasis of cancer to the skull, either. Recall, poor Dave was alarmed to see a diagnosis of mets to the brain, when he had really had mets to skull that had been successfully managed. Well, ICD-9-CM has no code for mets to the skull, so the coders used the closest thing, mets to the brain.”

From Telluride: “Re: HIStalk e-mail list. Since you started telling the numbers, it has grown each month. Do you allow unsubscribes?” Yes, and I get some of those. That’s why I look more at the ratio of new subscribers to unsubscribers. This month, for example, it has been 372:64. Some of those are e-mail address changes, of course. Like everybody else, I’d prefer readers who love me rather than hate me, but it’s indifference that I really hope to avoid.

From Eroica: “Re: Emdeon. I thought you’d like the highlighted reference below. You are now the source for Wall Street analysts!” A brokerage and investment firm’s update cites my Thursday posting about Emdeon and Blue Shield of California, although not by name (“a well read HCIT blog”). The announcement included the same confirmation I used from the reader’s rumor report (Blue Shield’s Web site) and listed the same three of 17 remaining clearinghouses that I did (which I did because those three are HIStalk sponsors and I figured it was nice to mention them, plus I hadn’t heard of most of the rest anyway). Emdeon responded to the firm’s inquiry by saying they may still negotiate a deal and their revenue from Blue Shield of California isn’t that important since “they can shift the cost per claim to providers or obtain rebates from other vendors.”

From Paul: “Re: tube system failure. Shameless plug by a robot vendor – I work for Aethon, a Pittsburgh-based company that makes TUGs, autonomous robots that deliver medications or supplies to any location. Think of it as a tubeless tube system with no fixed infrastructure that works 24/7. We also offer a Chain of Custody solution that uses biometrics and RFID to improve patient safety.” Since Paul made it clear it was a shameless plug, I’ll allow it. I’ve mentioned the company a few times, mostly when execs from other Pittsburgh-area HIT companies ended up there. Above is a video some guy made as he chased around one of the Aethon robots at El Camino Hospital. You’ll hear him say, “Puttin’ Americans out of work,” which may be true at El Camino since the hospital just announced a 140-employee layoff.

From C’mon Man: “Re: tube system at UPMC Shadyside. The workaround to avoid the >90 minute delay after CPOE deployment is marvelous!” CM sent a UPMC internal document describing a quality improvement project at Shadyside. Before Cerner was implemented, the ED stocked 95% of the meds they used in their automated dispensing cabinet and the other 5% were requested by tubing the paper order to pharmacy, resulting in a pretty good turnaround time of 28 minutes. With CPOE, the ED had no good way to alert pharmacy about those 5% of meds, so turnaround time shot up to over two hours. An ED nurse came up with a solution: tubing a yellow “Stat ED Med” card to pharmacy along with an index card listing the patient and med needed, dropping TAT back to six minutes. I was initially appalled at this solution since hand-transcribing an electronic order onto a tubed index card seems fraught with potential error, but pharmacy reviews the electronic order before sending the med and I assume nurses still verify the med electronically in the ED, hopefully with bar code checking. What puzzles me is why the original electronic order doesn’t go directly to pharmacy anyway — surely the pharmacy module should “know” that an order was entered for a non-Pyxis order and should send it to the pharmacist’s work queue for verification and delivery with no manual notification required. That’s what integrated systems are supposed to do.

All this tube system talk stirred up some old memories of a hospital I worked in years ago, where the information superhighway was a dumbwaiter system (“the dummy”, staff called it). It was actually darned useful since the hospital was built around it, so it connected the nursing units with the major departments they interacted with (lab, materials management, pharmacy, etc.) I once dared a small female co-worker to ride it up several floors, where she proceeded to scare the bejesus out of the nurse who opened its tiny door to see what had been sent. All of these “hospitals of the future” with their LCD TVs and room service should have reintroduced the dumbwaiter, an express elevator for stuff.

Listening: I’m still obsessed with the new Iron Maiden, but I took a break to listen to some catchy and refreshingly different alt rock-pop from The Last Goodnight.

Your mission, should you choose to accept it: (a) put your e-mail in the Subscribe to Updates box, just to make sure you don’t miss any news or juicy rumors; (b) speaking of news or juicy rumors, send me some by clicking the ugliest, greenest graphic on the page, to your right; (c) show HIStalk’s sponsors some appreciation by clicking on their ads to find out what’s new with them; (d) fritter away a slow afternoon at work by performing endless searches using the Search function to your right; and (e) Friend or Like Inga and me on Facebook so we can maintain our delusions of popularity. Thanks to readers for reading, sponsors for sponsing, and everyone who takes the time to leave a comment, send an e-mail, or submit something I can use on HIStalk, HIStalk Practice, or HIStalk Mobile.

Epic wouldn’t be a good choice to replace the DoD’s AHLTA EMR system, two-thirds of HIStalk readers say. New poll to your right, since Ed Marx’s “Blessing of the Hands” piece stirred up some heated responses: should hospital IT people be expected to have a higher level of compassion and spiritual beliefs than their counterparts in banking or manufacturing?

A sad medication error at Cincinnati Children’s: a seven-month-old baby dies after heart surgery when a technician apparently infuses an alcohol solution instead of saline.

Welch Allyn announces its Connex vital signs documentation system, a single device that collects automatic instrument readings (heart rate, blood pressure, temperature, pulse oximetry) and manual entries (height, weight, pain level) and modifiers (body position, O2 settings). It also allows alarm management and on-screen documentation right from the device. It’s wireless to the bedside. The company says that an average 200-bed hospital wastes 8,000 hours per year documenting vitals and makes 10,000 mistakes in doing so. St. Joseph’s Hospital Health Center in Syracuse, NY, the beta site, reports a 50% drop in documentation time and 75% fewer errors.

Yale-New Haven Hospital’s new CIO will be Daniel Barchi, who will also serve as CIO for the Yale School of Medicine. I interviewed him a few weeks ago while he was SVP/CIO of Carilion Clinic of Roanoke, VA. YNHH will be cranking up its $250 million Epic project, so I’m sure his experience in implementing Epic at Carilion will be valuable. He’s a good guy, as was his now-retired YNHH CIO predecessor Mark Andersen. Both are fans of HIStalk and have been cordially forthright in responding when I’ve pestered them to verify reader rumors.

Also on Inc.’s list of 5000 fastest growing private companies: Vitalize Consulting Solutions, among the fewer than 10% of companies on the lists that have four-peated since the magazine started the list four years ago. I’d consider Vitalize CEO Bruce Cerullo to be a great friend of HIStalk, having known him for years and interviewed him in 2007 when he was running VCS’s predecessor company Lucida, but even I didn’t know the company had grown this much: 264 employees, $48 million in annual revenue, and three-year growth of 179%.

HIStalk reader and clinical informaticist Lincoln Farnum sent over his exclusive article, Common Knowledge: Clinical Decision Support in the Era of Meaningful Use, a CDS Toolkit. I’ve posted it on Drop.io, hopefully free of the sneaky and unwelcome Facebook tie-ins that keep biting me in the rear when I post files for download. It’s a good overview of CDS, the ethics involved in deploying it, the problems with trying to measure its impact on patient outcomes, usability issues, and best practices in CDS deployment. Give it a look.

I was annoyed by a press release from Brainware that announced a new healthcare customer without naming them (is a sales announcement really news when it omits the customer’s name?), but the company’s Distiller product still sounds kind of interesting. It’s an intelligent data capture platform that “learns” the data fields from scanned documents such as invoices and orders.

New from Japan, which seems obsessed with high-tech toilets: a network-enabled health monitor version that checks blood sugar, BP, BMI, and urinalysis, all stored for a year for a family of four. Plans for the next version of the $5,000 marvel include communicating the measurements directly to physicians. Maybe it can do its own health check and page a network engineer to bring a plunger.

Interesting: McKesson’s only obvious operation in Ireland produces software documentation (check the title page of your Horizon manuals), but McKesson books (no pun intended) $10 billion a year through its Irish subsidiaries. The reason: it routes drug sales revenues from Canada, Israel, and Mexico through Ireland to avoid the higher corporate income tax of other countries, like the one its $35-million-a-year CEO lives in. Blame the politicians, not the company — wasn’t that one of the many populist windmills that President Obama was going to joust at?

Two radiology department employees of St. Luke’s Hospital (FL) are arrested for stealing hospital computers and selling them on Craigslist. Funny that nobody at the hospital missed them until a tipster told them.

A review of computer records leads to a $5.3 million settlement between doctors and Central DuPage Hospital (IL) over a case of untreated clotting problems that may have caused a patient’s death. The radiologist said he never saw the patient’s MRI results, but the computer showed otherwise.

E-mail me.

News 8/27/10

From Sweet Thang: “Re: Blue Shield of California. Pulling out of Emdeon on November 1. It’s been mentioned nowhere, including on Emdeon’s site, but it’s on the Blue Shield site.” Seventeen claims vendors remain, among them Allscripts Payerpath, Navicure, and RelayHealth.

From The PACS Designer: “Re: Office 2010 Web Apps. If you haven’t purchased Microsoft Office 2010 yet, you can download a free trial copy of Office 2010 Web Apps to get an idea of what’s new in Microsoft’s business software offering to all of us HIStalkers.” 

From e-R Nurse: “Re: Pittsburgh. Congrats to fellow Pittsburgher Rich Goldberg, a tireless worker. And last week, 90-minute waits for meds at the UPMC Shadyside Hospital ED when the vacuum tube system got plugged for hours. It is used to facilitate efficiency between ED and Pharmacy with the CPOE system.” Not uncommon. Tube systems are in many hospitals and serve as the lifeline from far-flung patient areas to pharmacy and lab, not just for paper orders, but for meds (at least the non-hazardous and non-fragile ones that can be tubed). I can say from experience in multiple hospitals that a CPOE or pharmacy system downtime is nothing compared to a tube system outage, which requires finding people to act as couriers to run stuff back and forth constantly. If anyone ever makes the Star Trek transporter a reality, hospitals will be an instant market. And like CPOE systems, sometimes you find a lot of missing items that got waylaid in transit from Point A to Point B (the tube system is the ultimate interface).

From Katrina: “Re: kudos. Keep up the great work. I owe a lot of other people’s perceptions of my brilliance to HIStalk. ;-).” That’s a nice comment — thanks! Inga and I don’t get to look brilliant ourselves since we’re anonymous (and might well look a lot less brilliant if we weren’t), so we’re happy when readers say they benefit from reading. Our favorite stat is from our annual reader survey earlier this year, in which 82% of readers said reading HIStalk helps them do their jobs better. We console ourselves with that when someone insults us.

From Lisolette: “Re: VA’s VistA. A good blog article.” It a book review of sorts, covering the well known Best Care Anywhere. It makes some good points (VistA doesn’t get used enough because it doesn’t generate profits like proprietary EMRs) and some questionable ones (VistA is being adopted in other countries because the VA model works so well, not mentioning that many of them grab it because it’s free). Minor quibbles aside, it’s a pretty good read, especially the nice, simple overview of how MUMPS and Cache’ work. It’s also true that the VA care model is one that would be perfect other than providers are paid for procedures instead of improving health: lifetime patient care, a data-driven approach, and having incentives to improve health and not just healthcare.

Changes to the Health Information Act in Alberta, Canada bring up a question for debate: should chiropractors, dentists, and optometrists be allowed to access the full electronic health records of patients?

I’m awaiting the official announcement before naming names, but the Yale-New Haven CIO job has been filled. Readers who sent me the rumor were correct. I’d ordinarily just blast out the name since it’s confirmed, but I’m bending my own muckraker rules since it’s a friend of HIStalk and the announcement is immediately forthcoming anyway. It’s a great job for the new person and a great hire for the hospital. More to come.

A Florida medical news site profiles Sushoo (bless you!), which claims to be the first independent HIE. It was started by a Florida entrepreneur and his physician wife as a small side project, but now has 40 employees.

Hilary Worthen, MD is promoted to CMIO of Cambridge Health Alliance (MA).

I didn’t scour the entire list of Inc. Magazine’s Top 5000 Fastest-Growing Companies, so here’s another HIStalk sponsors that made it: Culbert Healthcare Solutions, coming in at #988 in its first year of eligibility. Also: GetWellNetwork.

Keith Boone, “Standards Geek” for GE Healthcare, did some good sleuthing in noticing that the public health notification standards in Meaningful Use are incorrect. It uses standards intended for state reporting to the CDC, not for providers reporting to states. It’s also an obsolete version and describes only the message standards, not the content. Apparently his observation made its way to ONC, with John Halamka stating that ONC will issue a correction. Let’s hear it for the geeks (including both Keith and JH), the unsung heroes of HIT often deprecated among the Alpha Male sales jocks and cutthroat MBAs who climb their backs to reach the organizational pinnacle.

Inga and I pride ourselves on making all viewpoints available on HIStalk, not just ours. How that works: you are welcome to post article comments, send in a Readers Write piece, or suggest items we should cover or people we should interview. We’re always especially interested in hearing from provider-siders, who tend to be underrepresented simply because they don’t hire PR firms or have products to pitch.

Ingenix Consulting announces its Strategic Technology Solutions practice, which offers services related to IT strategy development, technology procurement, and implementation. 

Weird News Andy muses, “Does the C in C-section stand for ‘clean’?” A maternity ward in Sweden, short on help, tells a newly delivered mom being discharged to bag up her laundry and tidy up her room before leaving. Two midwives in the hospital confirm her story: “You can’t leave a mother while she’s giving birth. It’s true that we sometimes need to make use of the parents and that doesn’t feel good at all.”

BridgeHead Software releases a healthcare disaster recovery white paper.

Clay County, West Virginia pilots HealtheMountaineer, a PHR system modeled after the VA’s MyHealtheVet project and tying into the state’s open source systems (Medsphere’s OpenVista and the Resource and Patient Management System from the Indian Health Service). This is pretty impressive, especially if you’ve ever been to Clay County.

Sponsor jobs: Epic Certified Consultants, Account Manager. Jobs from Healthcare IT Jobs: Executive Director Epic Systems, Lab Systems Project Manager, Medical Information Officer Acute.

Businessweek sees competition between the deep pockets of UnitedHealth and McKesson to sell updated insurance company systems (enrollment, care management, and claims processing) and those moving to ICD-10. Here’s an interesting quote from a VC guy: “Every healthcare payer in the world needs an upgrade. You or I are talking about getting an iPad. They are still getting off mainframes.” Potential acquisitions mentioned are Click4Care and ZeOmega.

OakBend Medical Center (TX) chooses the Corepoint Integration Engine for its Paragon implementation.

I got a pop-up message in my Gmail account offering free calls for the rest of the year, which must mean that the very Skype-like Google Voice is live.

An two-year NHIN pilot project will test (warning: PDF) sharing of clinical information between the Indianapolis VA and the Indiana HIE.

Senator Max Baucus, a key player in writing the healthcare reform bill, admits that he hasn’t read all of it. He hasn’t said whether he knew about the unrelated tax change attached to it that will require businesses to send out 1099 forms to any supplier selling them more than $600 worth of goods or services.

Odd lawsuit: Marin General Hospital announces a lawsuit against Sutter Health, claiming Sutter siphoned off $120 million before turning control back over to the county this past June. Equally odd: a couple sues SeaWorld of Orlando for traumatizing their ten-year-old son by trying to resuscitate a trainer who was killed by a whale during a performance they attended.

E-mail me.

HERtalk by Inga

University HealthSystem Consortium (UHC) collaborates with Carefx to provide business intelligence dashboards and analytic tools for UHC’s Clinical Data Base (their spelling). UHC members include about 90% of the nation’s non-profit academic medical centers.

Passport Health Communications launches Payment Navigator to provide upfront financial triage when patients are admitted to hospitals.

The CNO of Covenant Hospital (TX), which is implementing Meditech, says it will advance Covenant’s “Design for Perfect Care” strategic initiative, with goals of “perfect care, sacred encounters, and healthiest communities.”

Epic takes top honors in yet another KLAS report. KLAS’s latest project looked at the EMR buying experience of 146 healthcare organizations and examined such elements as the true cost of ownership, scope, how well vendor kept promises, and getting one’s money’s worth. Epic was the only vendor with high ratings for money’s worth, contracting, and costs. Epic’s projects also had the largest scope of any vendor. Meditech fared OK, with clients saying they got what they expected in terms of contract, delivery, and post-live selling events. However, Meditech’s clients were disappointed in the company’s lack of proactive help in getting their money’s worth. GE earned lackluster ratings, with customers saying that GE has been on a downward trend since it bought IDX in terms of keeping commitments.

A new study finds that hospital EHR adoption in hospitals grew slightly from 2008 to 2009 (8.7% to 11.9%) and that only 2% of hospitals meet Meaningful Use criteria. In addition, small, public, and rural hospitals are less likely to have adopted EHRs compared to larger, private, and urban hospitals. Thirty-one hundred hospitals participated in the survey, which is more than half the country’s hospitals, and researchers claim their reporting methods were conservative. Even if these results significantly understate reality, it’s probably still safe to say that HIT adoption has a long way to go.

Cayuga Medical Center (NY) contracts with Summit Healthcare for its Summit Apex integrated product suite, which will facilitate patient data exchange between Cayuga’s Meditech system and physician office EMRs.

Quality IT Partners says it’s leading the Meaningful Use analysis efforts for one of the largest multi-facility health systems in the country.

New this week on HIStalk Practice: a pretty darn funny video that pokes fun of a clueless CEO trying to set up an ACO; highlights of an MGMA letter to CMS, including e-rx recommendations; and, news on a couple of New York practices that each earned $100,000 leveraging data from their NextGen systems. Make sure you are signed up for e-mail updates so you don’t miss the upcoming interview with ACO expert Chet Speed of AMGA. It’s a good read, especially if you are an ACO newbie.

Premier healthcare alliance says 150 hospitals and healthcare systems saved over $120 million in labor and supply costs participating in Premier’s LaborConnect program. It tracks labor productivity, performance, and costs.

The AHA spent $4.2 million lobbying the federal government during the second quarter, up 20% from the same period last year. Most of the activity centered around Medicare fraud and health care reform.

Allscripts, eClinicalWorks, e-MDs, GE, NextGen, and Sage all donate EHR systems to the University of Texas at Austin’s HIT program. I noticed that a few students in UT’s program had a chance to spend two weeks this summer working at the Gulf Coast REC. One project involved spending a day in a non-profit clinic that relied completely on paper records. By the end of the day, students had created a new database system for tracking the health of diabetic patients.

E-mail Inga.

News 8/25/10

From Teaberry: “Re: Verizon vs. Comcast. To provide the secure backbone for HIEs.” I keep hearing that Comcast will make some big healthcare moves soon, so we’ll see if that’s one of them.

From Eclipsys Observer: “Re: Allscripts and Eclipsys leaders. Under fire and intense scrutiny as the merger unfolds. The Newco has not identified a single product management leader, with John Gomez and Jon Zimmerman vying for power. Rumor is that Gomez is in the lead.” Unverified.

From DigiGuy: “Re: Roche/Ventana purchases BioImagene. You probably knew about it before it happened.” The Swiss drug maker will pay $100 million in cash to acquire the privately held California-based BioImagene, which sells a digital pathology system (slide scanner, biomarker analysis software, workflow, etc.) for tissue-based cancer diagnostics. The drug makers are struggling for some reason (prescription prices make that hard to believe) and are all over personalized medicine.

From WhatDoYa Know: “Re: Yale CIO job. [name omitted] is in line for it.” I left out the name while I wait to hear back from that person. Lack of response usually means confirmation. I’m waiting on that rumored Siemens surgery system vendor acquisition since John Glaser didn’t reply when I e-mailed.

From Toomer: “Re: Ingenix. I bet their next acquisition will be iSoft.” That wouldn’t surprise me, although I don’t know how interested they’d be in a company with minimal US presence.

From Wildcat Well: “Re: NJ’s HIE program. They held a conference call Friday for fielding questions from EMR vendors. The good Garden State showed themselves to be sometimes unyielding, under-informed, and at times down right combative with EMR vendor participants.” Unverified. I can’t decide if that’s necessarily a bad thing.

From Oregon Lab Guy: “Re: Portland weekly tabloid article about open source and HIT’s ‘gold rush.’ It suggests that we have ‘thousands’ of EHR experts roaming the streets of the Rose City – OHSU must have a big lecture hall!” The article says that Portland is the country’s open source capital even though the big companies took ideas and people from there and moved elsewhere. It bemoans the lack of follow-through with good ideas born there, mentioning that Portland’s techies have a reputation for wanting to head out at 5:00 each day (kudos to them). It’s a pretty good article, using the cynical mandatory EMR analogy that I thought I made up — requiring restaurants to use electronic order-taking and processing to improve their efficiency and reduce mistakes. Above is a July OSCON lecture on open source in HIT from Deborah Bryant of the OSU Open Source Lab.

Cumberland Consulting Group is named to Inc. magazine’s Top 5000 Fastest-Growing Private Companies for the second straight year, a nod to its 34% growth and its increase from 53 to 91 consultants in the past year.

Former Allscripts COO Ben Bulkley is named president and CEO of Fluidnet, an Amesbury, MA maker of what looks like a pretty sweet IV pump.

PerfectServe announces its Clinician iPhone application, which works with its system to allow doctors to make calls using the internal directory and manage their on-call schedules and notification preferences.

Ingenix completes its acquisition of Picis. That didn’t take long.

Industry longtimer Rich Goldberg, formerly of Misys and Confluence Medical Systems, joins TeleTracking as SVP of strategy and business development.

HITECH and MyEMRChoice.com are written up in the Philadelphia paper.

McKesson CEO John Hammergren is chairing the search committee of HP’s board that will choose a successor for ousted CEO Mark Hurd.

Dana-Farber Cancer Institute implements Informatica for data integration.

NIST’s approved testing procedures for temporary certification of EHRs are here.

Clairvia announces GA of mobile open shift alerts and scheduling for its physician scheduling system. The Durham, NC-based company, which sells resource management and scheduling systems, has executives from Atwork and Per-Se. It changed its name from AtStaff this past spring.

Northern Virginia RHIO will use GE Healthcare’s Global eHIE system to bring patient medication histories into Inova Alexandria Hospital’s Picis EDIS.

A PHI-containing and apparently encryption-free laptop is stolen from the University of Kentucky Medical Center.

E-mail me.

HERtalk by Inga

From KISS: “Re: (Company X). Is it me or do these guys have the worst elevator pitch ever?” I left out the vendor’s name, but I agree that it’s a pretty bad pitch when you can’t figure out what the company sells. It’s a shame that so many companies get caught up with using all these non-descriptive but trendy buzz words in an attempt to pitch their products. As Mr. H says, “they get too highfalutin’”. Note to marketing types: Keep It Simple Stupid for those of us who don’t want to read/hear your pitch more than once just to understand what you’re offering.

Community Hospital of the Monterey Peninsula (CA) selects RelayHealth’s HIE solution to connect and exchange clinical data with physician practices. RelayHealth, by the way, just achieved full EHNAC accreditation for its e-prescribing services.

Sage North America adds its healthcare division products to Sage’s Partner Advantage program, meaning its EHR/PM/EDI are now available through resellers.

McKesson names Eisenhower Medical Center (CA) and HealthFirst Care Systems (MN) the winners of its 2010 Distinguished Achievement Award competition for outstanding use of McKesson’s HIT products.

Intermountain Healthcare (UT) contracts with The Advisory Board Company for its OptiLink patient acuity solution.

BayCare Health System (FL) confirms news we reported over a month ago: Tim Thompson, most recently CIO at the Methodist Hospital System, is BaycCare’s new CIO.

Children’s National in Washington DC successfully implements the AuditACE compliance solution from Streamline Health Solutions.

CHRISTUS Health premiers a MEDSEEK-developed enterprise website that consolidates its 16 sites.

Mahaska County Hospital (IA) fires two employees for snooping in patient medical records for purely personal reasons. The violated patients included the ex-wife of a current boyfriend, an ex-husband, a husband, the mother of an adopted child, and a hospital volunteer. Ah…it is so tempting to ignore the law and common sense and just be nosy.

Epic moves into Heaven and the local papers have photos to prove it. The Madison and Verona papers provide updates on Epic System’s newest building (Heaven), which includes a curving, stainless steel slide that lets employees shoot from the first floor down to underground parking. With Campus 2 scheduled for completion next year, Epic is now contemplating a third campus. Judy — send me an invite because I really want to try out the slide.

Lenox Hill Radiology (NY) contracts with Professional Data Systems to manage Lenox Hill’s IT department.

The University of North Carolina Health Care System signs a contract to implement the Lawson Health Resource Management suite.

The North Texas REC selects WaveTwo, LLC as an official agent, tasked with helping physicians to implement EHRs and qualify for economic incentives.

I’m guessing that someone at Methodist Le Bonheur Healthcare (TN) has not signed the Oprah No Phone Zone pledge. The hospital says it will post updates on ER wait times every two minutes. The information can be accessed via Methodist’s Web site or by texting ERwait on a mobile phone. OK, I know they are not the only hospital offering this type service and I don’t mean to pick on them, but for some reason when I read their announcement, I envision a driver speeding down a highway while texting for wait times while looking in the rear view mirror to the back seat at a child holding his arm and screaming in agony. But really, I am sure it is a great service. So great that I see that MetroWest Medical Center (MA) is launching a similar program.

Canton-Potsdam Hospital (NY) names Jorge C. Grillo its new CIO. One of his priorities will be the implementation of a $2 million EHR system (Meditech, I believe.) He’s the former CIO of the Island of Bermuda’s Hospital System (sounds like a nice gig),

KLAS takes a look at RIS, awarding the top satisfaction rating to Epic Radiant in the 200+ bed hospital market. Avero interWorks and NovaRad tie for the number one spot in the community hospital market segment and FUJIFILM Synapse IS is the leader in the ambulatory market. The top four functionality items on providers’ wish lists include management reporting tools, flexible scheduling, rollout of mammography tools, and critical test results management functionality.

Modern Healthcare readers vote President Obama the most powerful person in healthcare. Lots of politicians and policy wonks fill out spots 2 through 100 on the magazine’s annual ranking of the 100 Most Powerful People in Healthcare. Rumor has it that Mr. H came in at #101.

E-mail Inga.

Healthcare IT from the Investor’s Chair 8/23/10

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First, let me offer my apologies to all, especially Mr. H. and Inga, for the heinous length of time between posts. It won’t happen again.

It’s been an interesting time with multiple industry-shifting M&A transactions (but not much in the way of public equity activity). The big question on everyone’s minds these days is not “Who is Salt?” but rather, “What is Ingenix?” (a) a drunken sailor? (b) a whale at the HCIT casino? (c) just too darned wealthy? (d) a genius assembling parts in a way that has yet to become clear? I would submit it’s actually (e), all of the above.

Let’s take each in turn. Ingenix, as all likely know by now, is the wholly-owned IT subsidiary of UnitedHealth Group, one of the largest publicly traded managed care companies. Mr. HIStalk himself recently posted a list of its recent buys.

The first thing that’s noteworthy to me is its dramatic movement from only managed care-focused companies — such as Symmetry, Claredi, or AIM — towards first the hospital business office (CareMedic, Executive Health Resources) and then towards the clinical side of the healthcare system (Picis and, most recently, Axolotl).

When Ingenix tried to buy managed care claims system vendor TriZetto a few years ago, it was going to make the questionable bet that its competitors would purchase their core systems from them. A stretch, but one with precedent. Now it’s betting that hospitals and physicians will not only pay real money to the Great Satan of Managed Care, but that they’ll entrust their clinical data to it as well.

(A provider-focused HIE vendor I know was recently licking their virtual chops over the prospect of selling against a managed care company. Even consumers will likely start to wonder if they want UnitedHealthcare to have the moment-by-moment deep clinical data inherent in some of the recent purchases).

Let’s talk valuation for a moment. As a buyer, Ingenix is, in many ways, ideal for a number of reasons. First, recall that by SEC regulation, public companies have to disclose any material information to their shareholders. The definition of material, however, is open to some debate.

When you’re owned by a company with a $35.5 billion market capitalization that expects to generate $5 billion of cash this year, materiality is a blessedly high bar (by way of comparison, Cerner’s total market cap is $5.7 billion). What this means is that outside shareholders can’t second guess the prices paid. It is, in effect, like a transaction between private companies.

Let’s imagine for a moment that Eclipsys was a private company. Because of their relative sizes, Allscripts still would have had to disclose the purchase price. It would also have been held, at some level, accountable to its shareholders for what it paid, imposing an additional layer of market discipline. Ingenix/United, in contrast, doesn’t view any of its acquisitions in the space as financially material, which no doubt helps loosen the purse strings.

An even better attribute in a buyer than ability to remain silent is ability to pay. At the time of its last earnings release (Q2), Ingenix’s parent United raised its guidance for cash from operations by $200-600 million (or almost as much as CPSI’s enterprise value). I’m sure Bill Gates’ kids would concur — when your parent generates that kind of money, you can pretty much buy what you want if they’ll let you! So when your business generates cash of almost $14 million per day, money is just not a problem.

Now I wonder is this a casino whale or a drunken sailor? One smart HCIT company president opined to me that this characterization was offensive to drunken sailors everywhere, but perhaps he’d just been outbid. Personally, I’m leaning towards whale. Unlike Misys in the 90s, United clearly understands healthcare and Ingenix clearly understands HCIT. Even some of the prices paid, if scuttlebutt is to be believed, aren’t totally irrational (though they are unquestionably aggressive).

Let’s consider Picis as an example. The company was widely rumored to have sold for about 3x 2009 revenue or about 12x 2010 EBITDA. By way of comparison, Eclipsys is selling to Allscripts for 2.1x trailing revenues and 10.5x forward EBITDA. Who’s getting the better deal? Eclipsys has a much broader product offering, but Picis’ products have great depth in the few areas of the hospital in which it plays. Both companies are coming off difficult years with fairly robust growth forecasts. Both have a great ARRA/Meaningful Use story to tell, which pushes their multiples upward.

Bottom line, to me, it appears to be a very aggressive, but not totally absurd price. Now, on the pricier side, Executive Health Resources was purchased for over $1 billion, and I’ve heard Axolotl went for as much as 9x trailing 12-month revenues, which seems a different story.

Finally, there’s the matter of motivation, which I expect is multi-fold. I have no doubt that there’s a grand strategy at play here that will be likely be revealed by the company once the pieces are assembled. But in addition to that, each year the operational dollars that are deployed towards these IT solutions are almost certainly to be counted towards patient care (as opposed to other business purposes). This will have the effect of making the optics of its medical loss ratio appear more attractive to government regulators. Further, I believe there will ultimately be some actual patient care improvements in many cases.

Ordinarily I’d say time will tell if the prices paid are fair, appropriate, or even reasonable; but in this case absent a total implosion, lack of materiality will likely make it difficult ever to learn. I’m aware of a few assets that Ingenix is on the hunt for. I’m sure, to their current shareholders, that the price paid will quite material indeed.

Ben Rooks is the founder of ST Advisors, LLC, a consultancy which works with HCIT companies and their sponsors typically on issues around strategy, financing and outcomes/exit planning . He earned an MBA in healthcare management from The Wharton School of the University of Pennsylvania, was a leading healthcare IT equity research analyst and then worked as an investment banker in over 25 successfully closed healthcare and medical technology transactions valued from $40 to $365 million.

Monday Morning Update 8/23/10

From The PACS Designer: “Re: Yale’s Epic cost. $250 million!” TPD, who tells me he works for Yale in some capacity, sent over a copy of the Certificate of Need response for Yale New Haven Hospital’s Epic implementation. No wonder it took them awhile to find the money.

From Anon: “Re: VA and DoD. I’m not sure Epic is the frontrunner, but I think you are close. InterSystems is the likely winner with their TrakCare product. Take a poke around and see the massive size of their new implementation workforce and the sizable country-based contracts. It’s worth noting the rumor that InterSystems is allowed to sell Trakcare in only two ways to avoid waking the sleeping Wisconsin cash cow: outside the US and to the US government.” Interesting … InterSystems is strong at integration and of course has endless expertise in Cache’ and MUMPS, not to mention that as a big and very profitable company can probably make believable promises to the military. I notice they’ve also been steadily increasing their annual lobbying expense, over $200K in 2009 and much of that going to VA database issues. InterSystems acquired the Australia-based TrakHealth in 2007, rolling the Web-based enterprise system into their integration and HIE offerings. You may be on to something. Even if not, I like your thought process.

From Soliloquist: “Re: Epic and the DoD. I just can’t see a scenario for this working. This would be the ultimate culture clash, as you state. I also am having trouble envisioning how the government could take the heat for forking over billions for such a system. It wouldn’t fly when the media got wind of the deal and Epic would be unwilling to cut a deal. They don’t need the business.” See new poll to follow.

From Book ‘em Danno: “Re: HIMSS and Forbes HIT magazine insert. A full-page ad costs $37,000. The lowest price option is a 1/6 page ad for $7,000.” Verified – BED forwarded pricing information.

From Traveler: “Re: Siemens. I heard they are buying [surgery software vendor’s name omitted]. Have you heard anything?” I e-mailed John Glaser now that he’s in charge at Siemens, but I haven’t heard back so far. I’ll leave out the vendor’s name for now since it annoys me that unscrupulous competitors immediately start flashing the rumor to prospects to create FUD, but I’ll update when/if I hear.

From CTCIO: “Re: two Connecticut academics lose data. Our attorney general is on it!” A UConn laptop containing information on 10,000 undergraduate applicants is stolen from an IT department cabinet. Then came another stolen laptop at Yale School of Medicine, that one with information on 1,000 patients. Encryption was not mentioned in either case.

From Irene: “Re: LTC. I am the VP of IS for a small non-profit that serves adults the ages of 20-60 with severe physical disabilities. Although the organization falls under the Long Term Care regulations and is almost solely Medicaid reimbursed, the consumers are not typical of a LTC skilled nursing facility (frail elderly). Average length of stay is 10 years. We are entering work for EHR readiness and I am looking for any/all vendors that implement solutions outside of the Acute Hospital space, that have flexibility in their design and integration between clinical and financials, and ability to data warehouse long term health data. Any information would be appreciated.” If you have advice for Irene, please leave a comment.

From BackToOurRoots: “Re: EncounterPro EMR. Going open source. Wondering what this means for their current customers …” I don’t get the strategy even after reading their reasons the product went open source, only a couple of which seem to be relevant.

From WNA Wannabe: “Re: paperless at the VA.” What a strange story … a VFW claims representative makes “a unilateral decision to go paperless” and shreds all the files he has without making electronic copies. Or at least that’s the claim – the story gave me headache as everybody involved in handling the paperwork of veterans seems to blame everyone else for missing documents that are shuffled from one group to another. I didn’t realize that VFW helps veterans with that kind of paperwork, either. Paperless, done right, would be an apparent improvement.

From HITGeek: “Re: NHIN. See Twitter #newNHINnames.” Some pundits make up witty NIHN replacement names. My acronyms are always sophomoric semi-profanities, so I’ll keep quiet even though mine are funnier.

It seems that we can never reach consensus on the CIO education issue, still divided equally among “it doesn’t matter", a BS, or an MS. New poll to your right: would Epic be a good replacement for the DoD’s AHLTA?

A reader sent over the paper evaluating hospital EMR usage in California, which concluded that EMR usage was associated with higher costs and lower nurse productivity. The methodology was as I expected and have seen in other studies conducted by people outside of healthcare (the authors are business school professors): take some conveniently available but questionably useful databases, match them up, and try to find generalizable conclusions. It just didn’t work for me. The analysis started with the HIMSS Analytics database (which I wouldn’t trust too far since it’s a self-reported sampling), assumed that EMR implementation started a year after contract signing since that date wasn’t known, and then matched that information with cost and nurse staffing databases. It covered nine years and ignored all other relevant events that occurred during that time (mandatory nurse staffing laws, changing reimbursement, individual hospital quality improvement projects, shift of patient load from inpatient to outpatient, etc.) Some of the conclusions make the data relationships questionable: EMRs were associated with reduced nurse overtime, sophisticated EMR usage was associated with higher costs and longer stays (ignoring the fact that certain kinds of hospitals are more likely to be sophisticated EMR users), and high-level EMR usage increased complications but decreased mortality. EMRs are categorized only by usage level, not how well they were implemented, what level of integration they have, and which vendor’s product was involved. And of course, the biggest problem: “associated with” is a long way from “caused by.” I just can’t get excited about the article, but if you can, feel free to send in your analysis.

The same primary author, by the way, used similar survey data noodling to conclude that EDs with sophisticated EMRs have a lower length of stay for eventually admitted patients by nearly 25%, but admitted another finding that seems to invalidate the entire premise: basic EMRs didn’t really help. I’m not buying that, either. I’d be more convinced by a short-term, one-hospital case study that measured LOS before and after an EDIS implementation. I’d also be highly wary of assuming that inpatient admission times reflect ED efficiency (instead of inpatient efficiency in having available beds, for example).

Cerner adds nearly 400 employees so far this year, bringing their total to 5,185. 

CEOs of the five largest health insurance companies made $200 million in 2009. Cigna’s outgoing CEO got $111 million in retirement benefits, while the not-retiring CEO of UnitedHealth Group received salary and options worth $108 million. Apparently those of us actually working in non-profit hospitals made the wrong career choice in choosing to deliver care rather than administer it, although wildly overpaid CEOs are hardly unique to healthcare.

Maybe the folks at Zacks Investment Research need to update their spell check dictionary.

Another stolen laptop containing patient information, this time from Cook County Health and Hospitals System. They vow to review encryption practices. Honestly, can’t someone come up with an encryption method that’s easy to implement and invisible to the end user? Organizations clearly understand the value of encryption but aren’t doing it, so that tells me it’s too much of a pain.

E-mail me.

News 8/20/10

From Scatman Crothers: “Re: Stanford Hospital and Clinics. Replacing Dell Perot, which has just a few months to transition and leave. Accenture is taking over the whole thing.” Unverified. Perot got that seven-year deal in 2004, so maybe Accenture won the next round.

From No Surprise Here: “Re: EMRs. A study of California hospitals shows minimal positive effects of EMRs.” I hesitate to comment because the article is not up in full text yet, but it concludes: “EMR implementation was associated with 6-10 percent higher cost per discharge in medical-surgical acute units. EMR stage 2 increased registered nurse hours per patient day by 15-26 percent and reduced licensed vocational nurse cost per hour by 2-4 percent. EMR stage 3 was associated with 3-4 percent lower rates of in-hospital mortality for conditions.” I’ll be interested to see whether the authors attempted to quantify before and after results from individual hospitals, and if so, how they handled the other variables that surely changed in the study’s nine-year timeframe. My experience with these database-driven analyses, usually conducted by publish-or-perish academics, is that they use public information that’s conveniently available but not terribly relevant, leaving logic holes you could drive a truck through. I’ll review the article once it’s out.

From Jennifer: “Re: CPOE and meaningful use. My hospital uses protocol orders for meds that are triggered by specific criteria. For example, a lady comes in with a troponin of 1.0, which orders a contraindication screening for the nurse to complete. If no contraindications exist, then aspirin and Toprol are automatically ordered. These orders go to the queue for the attending physician to sign and are driven by evidence-based practice, but aren’t considered written, verbal, or direct. How would these be defined under Meaningful Use?” I’ll say upfront that I have no idea and I doubt HHS does either, but it seems reasonable to count them as physician-entered (feel free to correct me if you know for sure). The physician has agreed to use of the protocol and is the first signer of the order, so that sounds like a CPOE order to me and it’s certainly not a paper order. I’ll also add that one of the seldom-discussed aspects of MU is that it resembles Most Wired in that you turn in your own numbers with minimal chance of being audited, so in the absence of definitive guidance, I’d count those orders. Not to mention that evidence-based order sets like this are exactly what the government should be encouraging.

From HIT Insider: “Re: Eclipsys. Another sales leader departs – Jay Colfer, SVP who managed the biggest revenue producing team in the company. Big loss.” Unverified, but not surprising if true. If you’re a sales stud, you can work anywhere without the uncertainty of an impending acquisition on prospects and your own career possibilities. I wouldn’t say it’s a negative development for either the company or the individual.

Listening: new Iron Maiden, slower and more complex than their frenetic 80s stuff, lapsing more into non-wimpy progressive (think Ritchie Blackmore’s Rainbow or Rush with some AC/DC admixed in). I never liked them much, but this is really good. It’s a long album, but I’m on my third listen and liking it better each time.  Based on this live video, I’d definitely go see them.

Weird News Andy warns ahead of time that this story might offend some sensibilities, so I shall word it carefully. A newly delivered mother in China claims that her midwife, unhappy with the insufficient tip given to her by the father, sutures shut a nearby but unrelated opening. Also from WNA: a quality analysis concludes that church-owned hospitals deliver better quality care than for-profit ones, with Catholic hospitals also outperforming community hospitals.

HIMSS is involved, for some reason, with a November advertising insert in Forbes called Transforming Healthcare Through IT. The pitch: “Produced in partnership with the Healthcare Information and Management Systems Society (HIMSS), Forbes’ special Health IT report offers participating advertisers the opportunity to share how your organization will contribute to healthcare transformation through IT.” Whatever happened to just doing it instead of preening in front of a business reader audience? I’d bet that the only companies that sign up are those that are publicly traded or those that yearn to be.

Thanks to AdvancedMD for supporting both HIStalk and HIStalk Practice at the Platinum level. The Draper, UT-based company offers a Web-based practice EHR, practice management, medical billing, scheduling, and e-prescribing. The company also offers its AdvancedBiller program, which connects billing service partners with practices. As often happens, our first contact with the company was when Inga interviewed CEO Eric Morgan a couple of weeks ago, apparently triggering the company’s interest in supporting what we do. It’s a good interview — Eric and Inga covered the pros and cons of being a privately held company, EHR market consolidation, how AdvancedBiller competes with companies like athenahealth, and the influence of hospitals on practice EHR adoption. Thanks to AdvancedMD for supporting HIStalk and its readers.

University of Chicago Medical Center partners with a technology company to produce an epilepsy monitoring system that uses Bluetooth and a smart phone to continuously stream EEG information to a monitoring center. Interesting: it won’t work in iPhones because Apple hasn’t opened up the APIs it needs. Also interesting: the company has patented a technology that uses text messages to trigger smart phone events, which I assume means that monitoring centers could “order” additional diagnostics remotely by cell phone.

Industry longtimer J. R. Hughes, most recently at McKesson, joins the nine-employee healthcare consulting firm The Winkenwerder Company, which has some impressive clients.

Patient Privacy Rights releases its Health Privacy Risk Calculator, which is really kind of pointless since just about every American will score in the High Risk red zone (it only takes three positive answers to questions such as do you have insurance, do you take prescription meds, and do you pay for any health-related products using checks or credit cards). Actually, I guess that was the point.

Holzer Consolidated Health System (OH) chooses help desk and performance monitoring services from CareTech Solutions.

I’ve joked that the VA and DoD should get rid of their expensive, contractor-managed systems and just buy Epic even though I’m not sure it could cleanly replace VistA or AHLTA. I recently mentioned the NextGov-generated nugget that the DoD is soliciting proposals for an AHLTA replacement. If that happens, there’s no way it will be any vendor except Epic, even though Cerner got its foot in the VA’s door by selling them Millennium lab (or nearly so — I’m not clear on whether a deal was ever signed). Epic’s the only company with experience with decentralized organizations of that size (Kaiser), not to mention that Epic’s nearly clean-sweeping the big hospital market. Benefits to DoD: it’s ready to implement instead of taking years of expensive AHLTA rewrites, it won’t choke like some of the bad software that the trough-lappers have written for the government, it will be a heck of a lot cheaper, and lots of clinicians will already know how to use it. Disadvantages: Epic’s “our way only” model won’t fly too well with the military brass, it will be missing quite a few key pieces that are unique to DoD, and there would be quite a culture clash between the Woodstock-like bunch from Wisconsin and the inside-the-beltway crew cuts.

Sponsor jobs: Web Developer, Regional VP, Project Manager/Web. On Healthcare IT Jobs: Sales Client Executive (New England), Health IT Sales, Director of Ancillary Systems, Senior Director, Applied Clinical Informatics.

I mentioned the Emendo CapPlan capacity planning software back in May. The New Zealand company wins a six-hospital deal in Canada and says it’s still planning to go after the US market.

Philips invests in a $250 million medical technology venture capital fund that will focus on home health, sleep improvement, image-guided therapies, and clinical decision support.

Rhode Island Congressman Jim Langevin visits fast-growing EHR vendor Amazing Charts, with the company’s presentation including such items as forced EHR adoption, overpriced EHRs, and the need for transparency of Regional Extension Centers (the company’s obviously got a bit of a ‘tude, which I like).

McKesson CEO John Hammergren was one of the HP board members who forced Mark Hurd out. Wonder if he’s a candidate to replace him?

Former TeleTracking sales VP Joseph Gentile joins another Pittsburgh company, healthcare robot vendor Aethon, in the same role.

MidSouth eHealth Alliance signs for the CareAlign HIE solution from Informatics Corporation of America (still my favorite company name).

Testing the North Carolina Healthcare Exchange: WakeMed and Moses Cone Health System.

Israel-based satellite services vendor Gilat Satellite, which wrote off its $4.5 million investment in Axolotl almost immediately after it made it 10 years ago, will get $24 million in cash from the proceeds of Axolotol’s sale to Ingenix, with the possibility of getting another $3 million per the contract terms.

I’m trying to strike at least a sham of work-life balance lately, so naturally I’ve fallen a bit behind as a result. I promise you’ll like me better if you indulge me by patiently awaiting any delayed e-mail replies.

E-mail me.

HERtalk by Inga

athenaHealth announces a standalone option for its athenaClinicals product. Clients had been required to use it with athenaCollector. Removing the billing and PM service requirement will likely help athenahealth get into more opportunities, especially those involving hospitals and their affiliated physicians. Pricing is expected to be a flat fee per provider per month, based on patient volume.

The Homeland Security Department plans to acquire an EHR to manage illegal aliens detained by immigration officials. DHS says the EHR could be a commercial, government-developed, or hosted service.

Over half a million Mississippi Medicaid beneficiaries can now use Shared Health’s HIE, whose contract with Mississippi Medicaid includes the implementation of an EHR and e-prescribing system for state Medicaid providers.

Now this could be fun. Jonathan Bush from athenahealth Girish Navani of eClinical Works square off to discuss their views on the future of HIT and how each is dealing with their larger rivals. It’s September 29th in Boston.

CMS names Ingenious Med an official 2010 PQRI Registry.

St. Edward Mercy Medical Center (AR) is scheduled to go live September 26th on Epic. The local paper shares some of the detail on training requirements for users: physicians 12-16 hours, nurses and LPNs 24 to 27 hours, CNAs 6 hours, and schedulers 4-28 hours. Physicians with the hospital’s cross-town rivals are also preparing for an EHR live. By the end of the month, Sparks Health System should have several practices operational on NextGen’s EHR.

From the latest HIStalk Practice: Good Neighbor Community Health Center (NE) selects Sage Intergy CHC; the AAFP’s Center for Health raises some concerns about Meaningful Use; and, compensation for doctors in hospital-owned groups now exceeds pay for those in other type practices.

St. Charles Health System (OR) selects Velocity Technology Solutions to host and manage its Lawson ERP and Kronos time and labor management applications.

Cumberland Consulting Group promotes Amanda Hage to principal.

Members of West Virginia’s Governor’s Office of Health Enhancement and Lifestyle Planning discuss the hurdles of adopting HIT and agree that EHR utilization is a problem. Stephen Sebert, MD, the council chair for the West Virginia Medical Association, provided this comment: “I have an electronic system already, but the thing is it’s not being used.”  Don’t you know his EHR vendor is cringing a bit.

Rebranding: the 20-year-old Medical Transcription Industry Association changes its name to Clinical Documentation Industry Association.

The interim administrator of Coshocton County Community Hospital (OH) says the hospital will begin a six-month installation of a new Meditech system in April. Financing for the $4 million project may be an issue: as of July, the hospital had a $3.5 million operating loss. The administrator says funds for the $246K software down payment are available from reserve funds and financing options for the rest of the project “will be researched” between now and April. The hospital hopes the system will eventually qualify them for $4.5 million worth of stimulus dollars. I wonder how many dozens (hundreds) of community hospitals around the country share similarly dismal financial pictures? Meditech, by the way, was chosen over two other vendors for “functionality, cost, and meeting government mandates.”

GetWellNetwork introduces a new interactive care solution designed for senior patients.

Orlando Health (FL) and Advocate Good Shepherd (IL) contract with PerfectServe for its clinical communications system. In addition, Hoag Hospital (CA) signs an agreement to expand its PerfectServe services to its new Irvine facility, scheduled to open later this year.

E-mail Inga.

News 8/18/10

From The PACS Designer: “Re: Box.net. With the Google Wave application headed to Google’s archives, another collaboration tool called Box.net may offer an alternative for developers. The path to Meaningful Use is being studied by many, and the Box.net collaboration tool can work with Google Apps to satisfy the need to work together to improve healthcare processes.”

From Jim: “Re: Ed Marx. Although I read HIStalk regularly, I haven’t paid enough attention to him. The recent mention of his strategic plan got me to go back a read many of his postings. I don’t know how I’ve missed him, but what a find. He is one of the more refreshing and inspirational voices in HIT. Very belated congratulations on spotting his talent and sharing it with us. Thanks.” I’ll accept those compliments on behalf of Ed and add my own since I agree completely. I should mention, though, that you didn’t actually miss Ed’s earlier postings here — he’s been posting only for a few months. He had been writing for one of the rags and decided to make a change, part of which involved my back-loading all of his earlier posts to HIStalk. I think he’s found a wider and apparently more appreciative audience. Inga gets some credit, too, since she was his main contact (everybody likes Inga, of course).

From Defiant: “Re: Tiger Institute for Health Innovation at the University of Missouri. Next month will be its anniversary. Would you be interested in interviewing leadership there about the progress made to date and what their vision is all about?” Sure.

Thomas Jefferson University Hospitals contracts with 3M for document management and abstracting solutions.

Sacramento Maternal-Fetal Medicine (CA) chooses the SRS hybrid EMR.

We reported a reader’s rumor awhile back that suggested the Department of Defense might be thinking about mothballing its multi-billion dollar AHLTA EMR system. That may be correct, according to some sleuthing by NextGov, which found this solicitation buried in TRICARE procurement documents. It suggests that the military is considering commercial alternatives. The scope (warning: .DOCX) includes inpatient, outpatient, intensive care, ED, expeditionary, and ambulatory surgery, with “integrated support” of lab, pharmacy, radiology, and PACS. The EHR piece must cover telehealth, referral tracking, decision support, identity management, secure messaging, NHIN integration, cost accounting, personal health records, and a patient portal.

Thanks to the readers who tipped me off early about the Ingenix acquisition of Axolotl. Actually, Ingenix itself was prompt in sending over the announcement. Much appreciated. I think many people had failed to notice the company’s impressive string of acquisitions until I listed some of them yesterday.

Pittsburgh paramedics are upset with the county’s $10 million dispatching system upgrade, which they say is incorrectly prioritizing calls.

QuadraMed will offer clinical practice guidelines from CPMRC to its QCPR customers.

HIMSS, WEDI, EHNAC, and NACHA (that’s a bunch of acronyms, but they’re spelled out in the press release) release a white paper covering HITECH and HIPAA compliance for financial institutions.

Australia’s prime minister funds $225 million for telehealth sessions, plus more money for provider hardware and a videoconferencing-based triage service.

An Australian doctor accused of defrauding Medicare in 90% of her hormone testing patients says the government is wrong in saying she maintained incomplete medical records that did not include complaints, procedures, and histories. She says she’s just one of the 90% of doctors with bad handwriting, but has since computerized and “now I write a big story and I don’t abbreviate anything.”

An odd medication error: a mother who had just delivered triplets by C-section is ordered morphine. She was holding one of the babies when the nurse pushed the morphine into the baby’s IV line instead of hers. The baby’s fine, but the mom is suing anyway. The hospital has since created a policy that prohibits giving meds to moms in the NICU.

E-mail me.

HERtalk by Inga

Former Siemens Healthcare CEO Jim Reid-Anderson  is the new president and CEO of Six Flags Entertainment. I’m sorry, but that statement is just a bad joke waiting to happen (chime in, if you are so inclined.)

Moses Cone Health Systems (NC) and WakeMed Health & Hospitals (NC) are working with their state’s hospital and medical associations, as well as Thomas Reuters and CareEvolution to develop and launch the North Carolina HIE. The HIE will initially connect seven hospitals, three EDs, and 57 physician practices.

Over 40 health systems join Premier healthcare alliance’s ACO Readiness Collaborative and work together on building the critical components of accountable care organizations. Those 40 health systems represent a lot of hospitals and doctors who are betting ACOs are going to have a big impact.

If ACOs aren’t enough to give you a bit of anxiety, perhaps consider the pending v5010 deadline. Robyn O’Connell  of Hayes Management Consulting shares information and advice for migrating to v5010 here.

The Methodist Hospitals (IN) intend to fully implement Epic’s EMR within the next 30 days.

The local business journal chronicles the leadership of API Healthcare CEO J.P. Fingado, who left Cerner two years ago to head up API. Francisco Partners bought API  shortly after his arrival. Since 2008, the 28-year old company has gone from serving 600 hospitals to 700, increased sales from $40 to $50 million, and grown its employee base from 250 to 330. Sounds like Fingado is doing something right.

Here’s a recap of some good stuff from HIStalk Practice, just in case you missed it:

• An interview with AdvancedMD Inc. CEO Eric Morgan, who shares some insights on industry consolidation, on the advantages of being a private versus a public company, and on some of his company’s recent successes.
• Dr. Joel Diamond rants a bit about statistics. Try not to grin.
• If you need some inspiration, read about the work of Kenyan pediatrician Dr. Sidney Nesbitt, who Dr. Gregg Alexander calls an “amazing pioneer.”
• I rally for the co-founder of DoseSpot, who may have been an entrepreneur longer than he’s been shaving.

MidSouth eHealth Alliance (TN) signs a multi-year contract with ICA to provide its CareAlign HIE solution.

Orlando Health partners with Isabel Healthcare to implement its diagnosis decision support checklist tool.

Patient Access Solutions intends to integrate the iMedicor portal into its offerings, plus provide users access to iMedicor’s ClearLobby platform.

Persuading influential medical centers to adopt EMRs helps speed adoption by neighboring hospitals. That’s the conclusion of a study published in Management Science, which looked at what mechanisms influence the rapid spread of technology in hospitals. Apparently hospitals seem to follow a “social contagion” model. Note the parallel with fashion: celebrities first, then the rest of us. Draw your own conclusions.

Governor Schwarzenegger and a bunch of dignitaries launch the $30 million California Telehealth Network initiative, which aims to connect over 800 healthcare facilities to a statewide medical-grade network of healthcare and emergency services.

Odd: the police are called to a Burger King, tasked with removing a woman taking blood and urine samples in the bathroom. The woman claimed to be an RN working for a mobile medical exam company and collecting samples for insurance screenings. At least she wasn’t working the drive-through.

Chinese hospitals are apparently not the safest placed to work. During the month a June, a doctor was stabbed to death by the son of a patient who died, three doctors were severely burned when a patient set fire to the hospital office, and a pediatrician was injured after he jumped out a fifth floor window to escape the angry relatives of a newborn that died under his care. Such violence is apparently standard fare for Chinese physicians. Now if I were a Chinese doctor, I might be asking Steven Slater some advice on how to resign.

E-mail Inga.

Ingenix Announces Axolotl Acquisition

 
Ingenix announced after the market close today that it will acquire health information exchange technology vendor Axolotl of San Jose, CA. Terms were not disclosed.

”HIEs are bringing us closer to the point where all the health care professionals patients select to oversee their care can connect to share information and optimize outcomes," said Andy Slavitt, chief executive officer of Ingenix. "We will work with Axolotl to continue to meet the needs of multiple HIE stakeholders and to expand its technologies that serve health care communities."

We reported on July 23 that Axolotl was seeking a buyer that would be named soon, although the early rumors suggesting RelayHealth as that buyer were incorrect. We reported the Ingenix rumor earlier this afternoon.

Ingenix, a subsidiary of the Fortune 100 UnitedHealth Group, has acquired several healthcare IT companies this year: QualityMetric (outcomes measurement), Executive Health Resources (compliance), and Picis (high acuity systems). Other recent healthcare IT acquisitions by Ingenix include AIM Healthcare Services (payment solutions), Healthia Consulting, Lewin Group (consulting), CareMedic (revenue cycle), Global Works Systems (software), Integris (IT management), Claredi (e-commerce), HealthWatch (payment systems), Innovus Research (pharma software), Advana (claims management), Distance Learning Network (continuing education), and Symmetry Health Data Systems (analytics).

Monday Morning Update 8/16/10

From Delgado: “Re: contracts. I thought you might want to check out a contract between an HIE and its EMR vendor participants. Some doozies: the price is fixed for all EMR vendors with no deviation and the vendor can’t charge for support for the first five years.” I was amused that this particular HIE requires that any communication to it be sent by both snail mail and fax. Maybe HIEs don’t really buy into the whole idea of electronic communication of important information.

From Nuther1BitesDaDust: “Re: MedeAnalytics. If Ralph Keiser is in as SVP, then Sandy Cugliotta must be out. When will they stop shooting the sales leader messengers? The stuff is losing in the market.” Unverified. Both still list the company as their current employer.

Listening: Sister 7, reader-recommended, female-led funk or rock or something (whatever it is, I like it). I can’t figure out if the Austin band is still active.

The magazines try to convince everybody that Most Wired matters. It doesn’t, according to the 82% of industry expert readers who said on my poll that it’s irrelevant to their choice of hospital (if HIT experts don’t care about a hospital’s HIT, who should?). New poll to your right, because I’ve run a similar one before and I know people get stirred up about it: what educational level should a hospital CIO have achieved? The poll accepts comments, so feel free to argue your position while expressing it.

I interviewed Debby Madeira, a nurse manager at Huntington Memorial Hospital (CA) about mobile devices on HIStalk Mobile. I don’t get the chance to interview front-line people all that often, so I would welcome more opportunities.

Verified: Ben Clark, SVP of client support for Allscripts, is leaving. He’ll be replaced by his Eclipsys counterpart, Cos Battinelli.

The Milwaukee paper does a nice piece on API Healthcare’s success following its acquisition by Francisco Partners and its appointment of J.P. Fingado as CEO.

Response to Ed Marx’s post on multitasking was overwhelming, with over 100 folks requesting a copy of his personal strategic plan. Inga and I e-mailed out a bunch of copies until Ed offered to let me make it available for anyone to download here (he felt sorry for us having to send individual copies). Note: browser quirks sometimes cause it to download as a .zip file (at least on my PC), so just rename it back to .docx so Word can open it.

Weird News Andy won’t refuse this story: paper medical records from four Massachusetts hospitals, including pathology reports, are found in a public dump. The hospitals said the former owner of a billing service used by their pathologists told them he dumped the records when he sold the company in June. I think he’ll probably regret that decision.

Shareholders of Eclipsys and Allscripts approve the acquisition of the former by the latter.

A reader sent over a copy of the McKinsey article that says hospitals will need to spend $80-100K per bed to meet HITECH requirements (with HITECH money offsetting only a small percentage of that), but will save $25-44K per bed per year as a result. Unfortunately, the article was light on detail, making any kind of critique impossible.

UK hospitals are using a not-for-profit social networking site for patients to post updates about the condition of patients. Patients can post messages or use instant messaging. NHS says the service doesn’t cost them anything to use, plus it saves nurses time since family members don’t have to call them for updates. Brilliant. I’d be selling ads, though.

Big contractor CSC says it will sue if NHS cancels NPfIT as it’s threatening to do.

E-mail me.

Epic Staffing Guide

A reader sent over a copy of the staffing guide that Epic provides to its customers. I thought it was interesting, first and foremost in that Epic is so specific in its implementation plan that it sends customers an 18-page document on how staff their part of the project.

Epic emphasizes that many hospitals can staff their projects internally, choosing people who know the organization. However, they emphasize choosing the best and brightest, not those with time to spare. Epic advocates the same approach it takes in its own hiring: don’t worry about relevant experience, choose people with the right traits, qualities, and skills, they say.

The guide suggests hiring recent college graduates for analyst roles. Ability is more important than experience, it says. That includes reviewing a candidate’s college GPA and standardized test scores.

I bet many readers were taught by their HR departments to do behavioral interviewing, i.e. “Tell me about a time when you …” Epic says that’s crap, suggesting instead that candidates be given scenarios and asked how they would respond. They also say that interviews are not predictive of work quality since some people just interview well.

Don’t just hire the agreeable candidate, the guide says, since it may take someone annoying to push a project along or to ask the hard but important questions that all the suck-ups will avoid.

Epic likes giving candidates tests, particularly those of the logic variety.

Given my dismal experience with clueless hospital HR departments (was that redundant?), I love this guide.

Editorial Critique

Chris Lehmann, editor in chief of the online-only Applied Clinical Informatics, asked me to discuss this editorial from the current issue. It’s called Electronic Health Records – Beyond Meaningful Use, written by Asif Ahmad, soon-to-be outgoing CIO at Duke University Health System (he’s leaving for US Oncology next month). Some of its points:

• HIT adoption in academic medical centers has experienced two key events since 2000: (a) publication of an IT chapter in IOM’s 2001 Crossing the quality chasm, and (b) the HITECH act.
• HITECH makes it too easy for hospitals to look at EHRs as just having a checklist of features that lead to a buying decision.
• Hospitals should use analytics to continuously improve their EHR systems.
• Duke believes that the natural extension of Meaningful Use includes (a) support translational research; (b) support patient empowerment; (c) streamline care delivery; (d) reduce costs; (e) enable knowledge extraction and application.

It conclusion, as I inferred it, is that instead of rushing to buy and implement new EHR products simply to qualify for HITECH payments, hospitals should use and improve what they have to meet their local needs.

My first reaction was that the editorial states the obvious. However, I’m reconsidering since cooler heads need to prevail during the EHR gold rush that’s consuming the energies and budgets of many hospitals, many or most of which are likely to be disappointed by the result.

Contrary to popular perception, HITECH does not require providers to buy new systems. They’ll get paid for results, not rebated for newly incurred IT capital expense. As long as their existing system is certified, the rest is based on how they use it. It’s not a vendor problem.

For some providers, their HITECH checks will be pure gravy. They’ll just use their existing systems better and earn a check without spending any new capital dollars.

For other providers, disappointment lurks. Just buying a new system doesn’t get you anything. Writing a big vendor check won’t automatically trigger even bigger government checks. HITECH money must be earned the hard way — by creating change.

I’ve been involved in a few hospital EHR selections and implementations. It takes quite a while to do them wrong and even longer to do them right. I would bet most of the Johnny-come-latelys won’t be ready by 2012 even if their vendors are. And I can only hope they don’t harm patients in their frenzied attempts to take the HITECH checkered flag.

Asif’s third point is easy to gloss over. Everybody talks about analytics, so it’s easy to miss his point: EHRs are massively complex living and breathing packages of processes that coalesce around business and clinical rules that are almost always poorly defined and documented. EHR customers cause many more EHR failures than EHR vendors. These aren’t set-it-and-forget-it systems that can be checked off as completed once the switch is thrown and the IT people are sent away to work on other stuff.

Asif doesn’t offer examples of analytics, but here are some I came up with. How has CPOE changed ordering and utilization patterns? How quickly can be be used to correct clinical problems, such as inappropriate drug utilization or lack of documentation needed for research or reimbursement? How quickly can CPOE and decision support changed clinical practice based on new findings, such as new dosing algorithms or promising adjustments in how diabetic patients are managed? How often do providers heed guidance offered in order entry and documentation? How have clinical system changes impacted length of stay, cost per DRG, and outcomes? What information is available to analyze outcomes by provider, by treatment, or by predisposing factors? What can be done to standardize practice by the use of order sets and predefined pathways? How can clinical systems support applied research, such as the effect of rotating antibiotics on a given service or the use of new medical devices in selected patient populations?

One of the most disgraceful aspects of US healthcare is also one of the least noticed: it takes decades before doctors actually use in practice the mountains of available (and expensive) research that could improve lives. Unless someone or something pushes them forcefully, doctors keep practicing like they did straight out of residency (that’s not opinion, that’s fact). The best way to get their attention is to pay them to do it a certain way. The second best way is to push them electronically by making it convenient for them to do the right thing.

Asif’s last point is also easy to gloss over as fluff, but it’s not. Let me paraphrase to make his point more clear: hospitals are lazy, incompetent, or both if they can’t think of anything better to do with their expensive new EHRs than punch an MU checklist and bank their stimulus check. I believe that’s Asif’s challenge to hospitals: do something with your EHR that benefits patients and not just your CFO.

Those with hospital experience know how big IT projects progress: (a) internal interest turns into impatience after the fun parts of the project, like site visits and system selection, are over; (b) once the hard work begins, the vendor and product chosen are almost always maligned as deceitful, undesirable, and unresponsive; (c) going live is such a drawn-out process that the project team is disbanded immediately afterward to catch up on deferred work; and (d) nobody goes back to measure before-and-after performance and push the organization to keep using, improving, and learning (often because that wasn’t budgeted upfront).

The five points he lists as the role of the EHR are nearly universally applicable. Even if they aren’t, every hospital should make their own list: what exactly do you hope to accomplish with this software other than to make people use it in some unspecified way? What are your success criteria and how will you measure them in a way that’s specific to patients? Is the organization capable of mandating change?

Practice makes perfect in almost everything, including EHR usage. Nobody get it right at go-live. Docs scream, nurses roll their eyes, and the IT people cast downward glances at their shoes even more often than usual. When the first batter doesn’t knock one out of the park, the crowd streams for the exits.

None of that makes any sense whatsoever. Quality improvement is, by definition, continuous. Usually it happens without anyone even noticing until some obscure quality geek armed with Excel e-mails out a graph that startles everyone: holy crap, we actually changed something for the better. The overriding question should always be: are we delivering better patient care today than we were yesterday?

Uncle Sam, Asif, and your vendor can tell you how to Meaningfully Use your EHR. They can’t tell you how to use it meaningfully. There’s a difference. Each hospital must choose its own goals and the methods by which it will achieve them. MU is the least common denominator, the gentleman’s C that causes no shame, but earns little respect. What hospitals do beyond being minimally compliant with the MU checklist is meaningful. That’s the part that will make all those taxpayer billions worth it.

News 8/13/10

From Buck S. Pearl: “Re: West Virginia Health Information Network. It’s tough to explain paying a $200,000 salary for overseeing five temporary workers. The HIE’s director resigned abruptly a few months ago before the RFP was complete. They need to finish the RFP, pick a vendor, and start building the HIE or there’s going to be political hell to pay.” The biggest atrocity is that they’re try to convince people that their WVHIN acronym should be cutely pronounced “Win”, which surely nobody’s buying. Being an HIE, they’re burning through state and federal grant money like the party will never end.

From Luria: “Re: Catholic University’s MSIT-HIT. I figure this is the result of HITECH, but what do you do with a MS in IT with a concentration in HIT? Do CIOs really favor a newly-minted Master’s over a clinical background or work experience?” I would see it as an add-on to both that might help land some jobs that aren’t too specific (i.e., not project management, implementation, software analysis, etc.) I doubt it would get you a job on its own, but it could get someone into management. You’re probably right that it’s riding the HITECH coattails since it even mentions Meaningful Use. Let’s hear what readers think.

From DeAnne: “Re: Microsoft. They’re working with a vendor to create a mobile physician workflow solution for Azyxxi-Amalga.” Unverified.

Listening: Razorlight, catchy indie rock by guys from England and Sweden. I’ve listened to three of their albums today, one of them twice. A reader asked what music I listen to in the gym, so here’s the current heavy rotation: Hole, Beatnik Termites, Nine Black Alps, After Forever, and Luscious Jackson. It changes since I play stuff to death and then move on, but these have stood the test of time and and are fast enough to keep me from establishing a too-slow running pace that will propel me off the back of the treadmill.

Ed Marx’s post on multitasking was a hit, obviously. He has updated it with responses to those questions he was asked. Ed is, I think you’ll agree, The Man.

Some stuff you can (and should) do here: (a) stick your e-mail address in the Subscribe to Updates box to get instant notices when something new goes up; (b) justify my expense in buying a search engine application by using the Search All HIStalk Sites box, which digs though everything in HIStalk Practice, HIStalk Mobile, and seven-plus years of HIStalk without you having to lift a finger other than the one with which you click the little magnifying glass; (c) Friend or Like us on Facebook on the widget to your right to stroke the emotionally needy Mr. H and Inga; (d) report a rumor using the ugly green but securely anonymous Rumor Report box; (e) check out the ads of my sponsors, consider them when doling out your business, and thank them publicly or otherwise for keeping the HIStalk fires burning.

Sponsor jobs: Web Developer, HL7 Analyst, Regional VP of Sales, Clinical Product Specialist.

Weird News Andy sprouts this story, in which a man’s suspected tumor turned out to be a pea plant growing in his windpipe. He was fine once de-legumed.

This fascinates me: pictures taken by GPS-equipped smart phones and cameras contain invisible geotags that identify the exact location at which the picture was taken. It’s possible but complicated to disable that function in iPhones, but if you don’t, pics taken outside your home tell anyone who cares precisely where you live. Check out this site, which runs a stream of posted tweet pictures and the addresses from which they were taken, of which the site’s creator described the typical reactions: “’I’m going to punch you out,’ or ‘No duh, like I didn’t already know that’ or ‘Oh my God, I had no idea.’”

Thanks to the folks at ZirMed, a new Gold Sponsor of HIStalk. The Louisville, KY company offers services that include eligibility verification, payments, claims management, ERAs, collections, and analytics. Their latest offering is Patient Notebook, a green way to manage statements by sending them electronically and allowing patients to view, manage, and pay them online, saving providers 40% on mailing costs in the process. The provider can view delivery information and print a paper statement if needed. It also sends an electronic reminder and then a paper statement to patients slow to respond. Thanks very much to ZirMed for supporting HIStalk.

An LA Times blog suggests that HP CEO Mark Hurd got a raw deal by being ousted over falsifying $20K on expense accounts to hide his alleged philandering, citing the case of HP director and McKesson CEO John Hammergren. It argues that Hammergren joined his fellow HP board members in holding Hurd accountable for the same standards as other HP employees, yet McKesson admitted it fudged the formulas used to calculate Hammergren’s nest egg to raise it from $74 million to $85 million. I mentioned his “golden coffin” bennies last year, saying

Those provisions pay a lump sump to heirs when a senior executive dies, $25 to $39 million when John Hammergren meets his maker (in addition to the $80 million his family would get from his retirement plan) … You would think he founded the company instead of just coming on board eight years ago. Maybe Senator Grassley should look there if he wonders why healthcare is so expensive. But, if MCK shareholders would rather he get the money than them, so be it.

The VA starts posting a monthly list of data breaches that include lost BlackBerrys, unencrypted e-mails, mis-mailed prescriptions, and missing laptops (to their credit, all six laptops reported missing or stolen in July were encrypted). A fun non-breach item reported: a VA employee was caught using someone else’s SSN on her employment documents. “Per the OIG, the employee is definitely using the wrong SSN. The question is why.”

A tech article describes the SafeBaby Breast Milk Tracking (SBMT) system, which bar code matches babies against mothers and also checks expiration dates.

WakeMed (NC) rolls out Axial Alerts, an open source platform that allows pediatricians to review real-time clinical information from the ED of WakeMed’s new children’s hospital. I mentioned the Raleigh-based Axial Exchange in February when I listed the participants on the Health IT Venture Fair at HIMSS. Some of its execs are from Red Hat.

Jobs: Senior Project Manager, Epic Inpatient EMR Manager, NextGen Consultants, Marketing RFP Consultant.

A McKinsey Quarterly article (or at least the teaser part I can see as a non-subscriber) says HITECH-encouraged EMR adoption could save $40 billion per year.

Massachusetts regulators approve creation of a doctor shopper database to curtail prescription drug abuse.

Transition of control of Marin General Hospital (CA) from Sutter to the local healthcare district has gone well, except that “some of the imperfections have been in the IT area.” They had problems between their McKesson systems and their printers, causing delays in the outpatient lab. The CMO said the integrated system should be an improvement, but the nurse’s union rep said she’d heard the software was hard to use.

Dell is pitching its Android-powered Streak tablet to schools and will go after the healthcare market starting in the next few weeks.

E-mail me.

HERtalk by Inga

From Get Off of My Cloud: “Re: Ben Clark. He’s left Allscripts.” Unverified. Clark is/was the SVP of support for Allscripts and had been with Misys for a decade before that. True or not, I suspect we’ll see plenty of changes at Allscripts and Eclipsys over the coming months as talent is “synergized.”

Nuance introduces Dragon Medical Mobile Search, a free iPhone app that allows physicians to search for medical information using voice technology. A physician can use voice commands to search a variety of sources, such as Medline, Medscape, and Google. Definitely sounds cool. Anyone tried it?

NYC REACH, the REC for New York City, selects Business Technology Partners as a preferred vendor to help physicians implement EHR solutions.

CareFusion says it will cut about 700 management and support jobs following a big decline in net income. The company posted Q4 net income of $52 million compared to $96 million a year ago and expects the cuts will save as much as $120 million per year.

Microsoft names FormFast as a Certified Partner.

Southwest Medical Center (KS) selects Summit Healthcare and the Summit Express Connect interface engine to manage its Meditech connections.

Rhode Island’s medical board reprimands a neurosurgeon when a patient complains her medical record documented services she did not receive. The doctor blames his EMR, saying he erroneously clicked on items using the software’s drop-down menu tools. The insurance company was also billed. The board was skeptical of the doctor’s claim based on the number of items selected. He’ll have to attend a medical record-keeping class and pay $500 in administrative costs.

CliniComp announces that seven US Air Force, Army, and Navy military treatment facilities implemented its Essentris EMR in the second quarter.

IBM is working with the VA to test a new paperless claim process. The VA hopes the electronic process will reduce its backlog of 497,000 pending disability claims. Am I the only one shocked that this process is just now going paperless?

Another step in the right direction: the VA’s CIO says that for the last month and a half, the VA has been successfully using the DOD’s personal ID system for each of its service members. Meanwhile, the VA expects to announce its plans for modernizing VistA by the end of the year

DR Systems announces six new contracts for its Unity RIS/PACS, each worth between $225,000 and $1 million.

Pinnacle Health System (PA) will deploy MobileMD’s eShare module, which allows providers to exchange messages and share clinical documentation electronically.

A new reseller alliance between Crossroads Systems and Dell Services gives Meditech customers new options for virtual tape backup and encryption. The Crossroad solutions TapeSentry and SPHiNX are certified by Dell for Meditech and will be the first two products offered.

Cardinal Health Foundation awards over $1 million in grants to help 40 organizations improve healthcare efficiency and quality. Some of the selected projects include implementation of CPOE and/or bedside medication administration, medication reconciliation, and e-prescribing.

What you may have missed in yesterday’s HIStalk Practice: a good read from HemOnc Today that examines the good and the bad of EHR implementations; an iPhone app for identifying adverse side effects; and AirStrip Technologies scores some VC money. Oh, and show me you care by signing up for the e-mail updates when you pop over to the other site.

Hospital execs as a whole are underwhelmed with existing enterprise resource planning (ERP) tools, according to a new KLAS survey. The report’s author says, “Providers say they can expect either robust functionality or service and attention — not both.”  McKesson was the highest-rated vendor with a score of 74.5 out 100. Oracle was a relatively close second; Lawson was ranked a distant third.

Global IT and engineering provider Smartronix expands into HIT with the purchase of HIE vendor Cogon Systems. We interviewed the CEO three years ago.

In odd but non-HIT related news, a Seattle police officer tickets the parked vehicle of a 36-year-old man who appeared to be sleeping in the driver’s seat. The officer attempted to wake him by tapping on the window. When he failed to respond, she assumed he was a sound sleeper. Less than an hour, later the man’s girlfriend tracked him down with a GPS. Medics believe he had been dead in the car for several hours before he was found (and ticketed). The deceased man won’t be required to pay the $42.

E-mail Inga.

News 8/11/10

From Staff Infection: “Re: HealthPort. I overheard that the Germany-based CompuGROUP is looking to expand beyond its Noteworthy acquisition. They want to have 30,000 US physician customers by the end of 2010 and have been peeking inside the kimono of HealthPort. Not a pretty sight, but I bet the brain trust at the Thurston Group (manages HealthPort) would unload it on the cheap. Reminds me of the old Steve Martin line of how to make a million dollars and not pay taxes — spend $30M on Companion Technologies and drive it into the ground and sell it for $1M.”

From Misys_Ex: “Re: from the QuadraMed user group. Michael Simpson, SVP of product strategy, has resigned after six months on the job.” Unverified.

From Alanya: “Re: your Las Vegas rant. That’s why I LOVE reading your blog. You make me laugh out loud on a Monday morning. It’s nice to get your perspective for those of us who are office-bound. Keep it up!” Thanks, sweetie. You may regret encouraging me.

From Irene O. Tican: “Re: McKesson. Lee Fowinkle, VP of engineering at McKesson Ambulatory, has left. He was leading the single database project and his departure will have a significant impact on MCK’s ability to deliver an ambulatory MU product.” Verified, at least the part about his MCK departure. I’m cackling to myself at the fake name I made up for this reader’s post, by the way (oncologists will get it).

From The PACS Designer: “Re: Google Wave. TPD has posted about the collaborative aspects the Google Wave platform. Google has announced that it’s ending all development on Google Wave. Some EHR experimenters are unhappy with this news, as they wanted to incorporate the Continuity of Care Record (CCR) and the Continuity of Care Document (CCD) using Google Wave to provide a complete record of a patient’s treatment history across institutions.” I can’t say I’m too surprised at this rare Google misstep. I got an early invitation to Wave, watched the endlessly long video that tried to explain it, tried it for a few minutes, and walked away for good because I couldn’t see the point. If you can’t explain it in less than an hour of edited video, nobody’s going to bite.

From Cassie: “Re: Mercer. Mercer has apparently lost another piece of IT equipment and thus lost employee data for City of Boise employees. I doubt Mercer is going to be signing deals in the State of Idaho anytime soon.”

From Amy: “Re: Aprima Medical Software User Group in Dallas. This is one of the best events I have attended. I am very happy with the path Aprima is taking. This is not an advertisement, but a shout-out for a job well done. An industry colleague turned me on to HIStalk – love it!” President/CEO Michael Nissenbaum invited me to attend the next one after reading my ACE recap. I interviewed him two years ago when the company was called iMedica and had recently licensed its product to Misys (now Allscripts) to sell under the MyWay name. He’s a pretty funny guy.

From Joe: “Re: pagers. Although it would seem this technology should have disappeared, some facilities do not have call penetration. They are also cheaper for workers who just need to receive brief messages.”

Watching: Pushing Daisies, an outstanding and highly awarded comedy-drama with some surprisingly effective poignant and romantic moments (I might have sniffled a couple of times — I’m sentimental). The narration and art direction is outstanding, as is the snappy dialog, the acting, the music, and the always endearing Kristin Chenoweth (instantly recognizable as Bebe’s chirpy assistant Portia from Frasier) and Swoosie Kurtz. Like most shows that require a reasonably cognitive audience, this one died fast, but has arisen from the dead (no pun intended) on Netflix. My highest recommendation.

Kern Medical Center (CA) recovers from a malware attack that took down most of its systems.

The Center for Biomedical Informatics at The Children’s Hospital of Philadelphia creates a free iPhone app that classifies adverse events in clinical trials.

My last post asking for keynote speaker suggestions generate several comments at the end of the article. Check it out.

Former QuadraMed VP Larry Visk joins PerfectServe as EVP of sales.

Santa Clara Independent Physician Association signs up for the Excelicare system (HIE, clinical apps, disease management) from AxSys Technology.

Omnicell will co-market Sentinel RCM (medication functions for 340B billing, drug diversion, inventory, drug cost, and J-code management) from Sentry Data Systems.

Ralph Keiser, formerly of Eclipsys, joins MedeAnalytics as SVP of provider sales.

MedNetworks raises $5 million in Series A funding. Its technology, licensed from Harvard, maps the social networks of doctors to empower its clients to “leverage existing data to disseminate information and focus interventions,” which suggests equal potential for good and evil.

Weird News Andy notes “a Hefty piece of lifesaving equipment” as a paramedic fashions a makeshift incubator from a trash bag and towels to save a preemie weighing less than two pounds.

This is exciting: Microsoft will start a beta of Visual Studio LightSwitch this month. It’s an business application builder (desktop and cloud) for non-programmers that can tie into information from SQL Server, SharePoint, and other data sources. I’m all over it once it’s up.

I was annoyed by the sluggish performance and uncomfortable bulk of my ancient laptop at ACE, so I bought an HP Pavilion DM3-2010us when I got home. I love the 13.3” display, 4.2 pound weight, long battery life, a fast boot option to get to the Web, and built-in webcam and N-capable wireless. It’s like a super-powered, stylish, reasonably sized Netbook. $499.95 at Office Depot after rebate. I didn’t realize how much I hated Windows Vista until I got this one with Windows 7, which is excellent. Now I don’t have to be jealous of those Mac users and their 13.3” lightweights. All it doesn’t have is a DVD drive: $37 for a USB-powered external at Newegg. I’ll be getting some looks at Panera, I hope.

HIMSS VP Pat Wise does a Q&A on What Meaningful Use Means to Nurses.

Actuaries estimate that medical errors cause the US economy almost $20 billion per year.

Speaking of actuaries, even the Medicare Chief Actuary says CMS’s optimistic estimates of Medicare cutbacks are a load of crap, at least unless voters are OK with providers going broke and refusing them service.

SaaS productivity application vendor Zoho and NetSuite form MedicalMine, a consumer tool for managing children with autism. Phase II involves a physician version and an EMR. Zoho has cool, easy-to-use apps, so this could be interesting.

Vangent will pay $65 million to acquire 450-employee Buccaneer Computer Systems, which provides healthcare IT services to the government. I found this interesting: Buccaneer, which previously processed Cash for Clunkers vouchers, wants to ride the wave of federal HIT spending, which is what caught Vangent’s interest.

One of the cooler things I’ve seen on a company’s home page: check out Kronos and the cute Australian who strolls out chatting from behind the application screen shot.

Oracle’s Larry Ellison criticizes HP’s board members for forcing CEO Mark Hurd to quit despite finding that he did not violate the company’s sexual harassment policy. “The HP board just made the worst personnel decision since the idiots on the Apple board fired Steve Jobs many years ago.”

I’m a bit behind in my e-mails, interviews, etc. as I get reacquainted with Mrs. HIStalk after my little Lost Wages junket, so bear with me. I have 15,000 sent e-mails in Yahoo Mail, if that gives you an idea of the volume of interaction I have with readers, sponsors, etc. Happily, I might add, so don’t let that stop you from giving me a holler.

E-mail me.

HERtalk by Inga

Meditech restructures its client services operations with the promotion of Joanne Wood to SVP of client services, Leah Farina to VP of client services, and Helen Walters to VP of clients. The three execs have a combined 68 years tenure with the company, which says a lot about these women and the company (all good). We reported this on July 30, but the official announcement just came out.

Lowell General Physician-Hospital Organization (MA) implements MedVentive’s business and clinical intelligence platform to manage risk contracts.

Another HIT acquisition: EHR/PM solution provider MedLink purchases Health Informatics, supplier of the Health Informatics Digital Pen and MD Form Manager. MedLink, by the way, partners with Patient Access Solutions to participate in the SunCoast RHIO program. MedLink’s president predicts 500 participating practices will generate over $11 million in EHR sales over the next four years.

Madison Center (IN/MI) reports a $25,000 reduction in transcription costs within two months of moving to Webmedx’s web-based medical transcription service.

Press Ganey Associates acquires the Quality Indicator Project division from the Maryland Hospital Association. The QI solutions provide tools for quality reporting, collection, and reporting.

Orion Healthcare Ventures completes its acquisition of Aspyra.

The CEO of Cooper University Hospital (NJ) reports the facility is now live on Epic’s physician documentation with 100% CPOE usage.

Former Eclipsys SVP Ralph Keiser joins MedeAnalytics as SVP of provider sales. Prior to Eclipsys, Keiser had senior leadership positions with EPSi, Cerner, and @OUTCOME.

In the first half of the year, MEDSEEK increased its total gross sales bookings 40% over the same period last year. YTD revenue grew 18%.

Merge Healthcare reports a $30.9 million Q2 loss, in part due to costs associated with its Amicas acquisition. Total sales, which include figures from Amicas, grew 89% to $29 million.

Nuance Communications also posts a loss amid higher revenue for its second quarter. The company lost $1.53 million, compared to last year’s $2.82 million loss. Revenue grew 13% to $273.2 million. Investors expected more revenue, leading the stock price to slip 16% on Tuesday.

Over on HIStalk Practice, Dr. Gregg Alexander comments on the industry’s newest bedfellows: insurance companies and EMR companies. Dr. Alexander calls it a move, “that would surprise most of us about as much as hearing that Coke and Diet Coke are actually made by the same company.”

At St. Mary Medical Center (CA), four staff members are fired and three disciplined for posting photos of a dying patient onto Facebook. The patient had multiple stab wounds and was nearly decapitated from a throat slashing. If you like blood and guts, I guess that might be pretty thrilling stuff and actually get you a few thumbs up. But seriously, how can people be so stupid?

Methodist Healthcare System (TX) selects TeleTracking Technologies’ RadarFind RTLS for five of its hospitals.

Highmark partners with A.D.A.M to provide a new iPhone application that includes medical reference content for members.

I forgot to mention last week that I finally got my new iPhone4. I hate the reception, which is not nearly as good as what I had on the 3G, and definitely not as good as a regular old cell phone. I’m looking for suggestions on bumpers or cases. I had the Otter before and I liked it because it was quite heavy duty and was survived being thrown between my purse and the console of my car. Now I’m open to anything that might enhance reception, if that is possible.

Memorial Hospital of Union County (OH) selects DigitalPersona Pro to provide secure EHR access and biometric authentication.

NextGen is awarded two-year accreditation as a provider of continuing medical education for physicians by the Accreditation Council for Continuing Medical Education.

Here’s a story that I am sure warms Dr. Deborah Peel’s heart. A US appeals court upholds the constitutionality of a Maine law that allows doctors to withhold their individual prescription-writing information from data mining companies.

UC Health University Hospital (OH) contracts with MRO Corporation to incorporate MRO’s ROI processing services with its EMR.

Wellpoint plans to align its P4P incentives with Meaningful Use criteria and implement a financing program to support HIT in rural and underserved communities.

From Weird News Andy, here are details on study by an Iowa State University student who obviously does not understand fashion. For her thesis, the student looked at the whether or not wearing high heels increased the risk of developing osteoarthritis. Big surprise here: the higher the heel, the greater the risk of joint degeneration and knee osteoarthritis. And (duh) heel heights change walking characteristics (slower speeds and shorter  strides). Any woman who has sacrificed her feet for fashion for any length of time could have saved this researcher lots of time and money and told her the same thing. Heels are about looking hot, not being sensible.

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