News Feature | May 27, 2014

Proposed Rule Would Extend Stage 1 EHR Incentive Program

Christine Kern

By Christine Kern, contributing writer

EHR Incentive Program Stage 1 Extension

Healthcare providers will have one extra year to use 2011 Edition EHR software if proposed rule passes.

Under a proposed rule issued by CMS, healthcare providers will have one extra year to use 2011 Edition software in their electronic health record systems under the federal incentive program for health IT. The purpose is to give them “more flexibility,” according to a joint announcement by the CMS and the Office of the National Coordinator for Health Information Technology.

The agencies cited the slow delivery and implementation of the upgraded 2014 Edition software as the reason for the delay. However, in 2015, all eligible hospitals and professionals would be required to report using 2014 Edition CEHRT. Since the Medicare and Medicaid EHR Incentive Programs began in 2011, more than 370,000 hospitals and professionals nationwide have received an incentive payment.

Marilyn Tavener said in the press release, “We have seen tremendous participation in the EHR Incentive Programs since they began,” and, “By extending Stage 2, we are being receptive to stakeholder feedback to ensure providers can continue to meet meaningful use and keep momentum moving forward.”

ONC head Dr. Karen DeSalvo explained that the modified timeline, “Will give new options to those who, through no fault of their own, have been unable to get the new 2014 Edition technology, including those at high risk, such as smaller providers and rural hospitals.”

Although providers have been pressing hard for leeway, the change leaves them scrambling. That's particularly true for leaders of hospitals planning to move up to Stage 2. Their payment year under the program began Oct. 1, 2013, and because the current rule allows them to begin their 90-day attestation periods for Stage 2 only on the first day of the fiscal quarters, that leaves hospitals just one period to react to the rule change. And their ranks include virtually all of the hundreds of hospitals scheduled to meet Stage 2 requirements for the first time this year.

The proposed rule also includes a provision that would formalize CMS and ONC’s previously stated intention to extend Stage 2 through 2016 and begin Stage 3 in 2017. These proposed changes would address concerns raised by stakeholders and will encourage the continued adoption of Certified EHR Technology.