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September 2010

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The $44,000 question: industry insider responses (Steven J. Kraus, DC, DIBCN, CCSP, FASA, FICC)

This is in reference to Melissa Heyboer’s article, “The $44,000 question,” which appeared in Issue 13, 2010. The following is Steven J. Kraus’, DC, DIBCN, CCSP, FASA, FICC, responses in their entirety.

Question 1: How will this affect the chiropractic office? i.e., do you think this program is beneficial?

A: The purpose of the American Recovery & Reinvestment Act incentive is to encourage providers to adopt an EHR within their practice. And the benefits of EHR adoption are undeniable?both for the profession and individual DCs.

Individuals DCs benefit from an EHR through reduced expenses and increased productivity for themselves and their staff. An EHR can also help ensure DCs get paid for the services they perform. And professional documentation as a result of an EHR helps justify the necessity of care according to the standards of modern day rules.

Mass EHR adoption by the profession will help establish chiropractic as a modern profession, especially as we interact with third-party payers and other providers. It will show our willingness to collaborate with the healthcare community for improved patient care. DCs can participate in their state’s Health Information Exchange and share patient data with other provider types. And that’s a great way to demonstrate outcomes. Specialists and general MDs are going to see the effectiveness of chiropractic care. We know chiropractic works, yet we struggle with a methodology to demonstrate outcomes. With an EHR, we have that methodology to gain more market share.

 

Question 2: What do chiropractor’s need to take advantage of this incentive? How much will it cost, as far as time and money, to implement?

A: In order to be eligible for up to $44,000, DCs need to adopt a certified EHR and demonstrate that they’re using that EHR in a meaningful way. It’s important to note the use of the word “certified,” because in order to be eligible, a DC must be using an EHR that’s been certified by the government. Future Health, among other software companies, will begin the certification process in the 4th quarter 2010.

Secondly, in order to collect incentives, DCs must demonstrate that they’re using their EHR in a “meaningful way.” The meaningful use guidelines were released July 13, 2010, by CMS. Basically, DCs must meet approximately 13 of the 15 “core” items, with exclusions related to e-prescribing. Additionally, DCs must meet approximately 4 of the additional 10 “menu-set” items rather than 5 due to exclusions for DC’s.

The cost of implementing an EHR will vary widely depending on the software provider you choose. Future Health recently released Future Health eConnect, which includes all the basics for EHR and practice management implementation for free. Then DCs can choose to customize their software for their practice with affordable eConnect Apps for things

like efficiency, specialties, techniques and EHR/ARRA certification. Apps generally range anywhere from $19 to $325, with the EHR/ARRA App costing $2,495. To make eConnect even more affordable, it uses cloud technology for data storage and security. Users get the first three months of data storage free, then pay only $24.95 per month for up to 2 gigabytes of storage. For doctors needing more than two gigabytes, additional storage is available at $7.95/mo. for each additional gigabyte. Training is free. And DCs no longer need to buy a costly server … or pay an IT person to maintain it. And – like any product – you could also choose other EHR systems that cost tens of thousands of dollars for software, hardware and implementation fees.

 

Question 3: Will all chiropractic offices qualify? Can cash-based practices benefit?

A: Over 3 out of 4 will qualify. DCs who submit allowed charges to Medicare will qualify, as long as they meet the Meaningful Use criteria and use a certified EHR. The reason a DC must accept Medicare to qualify is because the amount a DC receives is based on 75% of their Medicare-allowed charges for a given period of time. The maximum cap is $18,000 for 2011, followed by $12,000 for 2012, and continuing to decrease each of the following years. The total maximum amount available over 5 years is $44,000.

Question 4: When can chiropractors expect to receive payments?

A: Doctors who submit their Medicare-allowed charges from 2011 can expect to receive payment after the 90 day time frame, but in subsequent years of 2012 and after it would be after they submit application for the prior year. Doctors will receive subsequent payments each year, with the amount reducing each year and penalties beginning in 2015.

Question 5: What questions should chiropractors ask their providers (insurance and software) to ensure they are being compliant?

A: Do you guarantee your software will be certified by the government to meet ARRA standards? What do you do to help implement the EHR into the practice? Do you offer free training and other services? What’s your track record with the chiropractic profession regarding customization of the system for DCs?

 

Question 6: What new products or services do you think will come out of this incentive?

A: DCs can expect to see offers to assist in applying for ARRA incentive funds. They can expect to see better software for achieving meaningful use criteria, too, also helping them obtain funds.

I suspect a lot of consultants will come out of the woodwork, offering to guide DCs in the process of EHR selection. I’d advise DCs to scrutinize these consultants’ experience and advice very closely, as it could be of dubious value.

 

 

 

 

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