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HIT/HIE & Medical Home Model:
     Kansas HI TECH Plan
         March 2, 2009
         M   h2

     Marcia Nielsen, PhD, MPH
     M   i Ni l      PhD
         Executive Director
    Kansas Health Policy Authority
                                     1
Alignment of Initiatives
                     Goals:
                     •Improve health
  Medical Home
                     •Improve
                     coordination of care

                     •Reduce duplication
Health Information
                     of services
 Technology and
   Exchange

                     •Contain health care
                     costs
 Telemedicine and
     Telehealth
        TT
                     •Obtain one time
                     federal stimulus
                                            2
                     dollars for Kansas
Federal Stimulus Package
                                     g
•   Improving Care Coordination: Saving the government $10 billion, and
    generating additional savings throughout the health sector, through
    improvements in quality of care and care coordination, and reductions in
    medical errors and duplicative care.

•   Investment in HIT/HIE: Investing $19 billion in health information
    technology infrastructure and Medicare and Medicaid incentives to
    encourage doctors and hospitals to use HIT to electronically exchange
    patients’ health information.

•   Providing funds to States: Legislation provides funding for health
    information technology infrastructure, training, dissemination of best
    practices, telemedicine, inclusion of health information technology in
    clinical education, and State grants to promote health information
                      ,           g         p
    technology.
                                                                             3
Background: Health Care
      Challenges




                          4
EFFICIENCY


                       Percentage of National Health Expenditures
                    Spent on Health Administration and Insurance, 2003
                                                       Insurance

    Net costs of health administration and health insurance as percent of national health expenditures

    8                                                                                                                                     7.3
                                                                                                                                          73


                                                                                                                           5.6
    6
                                                                                                             4.8
                                                                                              4.2
                                                                                4.1
                                                                     4.0
    4                                                    3.3
                                             2.6
                         2.1       2.1
             1.9
    2


    0
                                                                                              l ia
                                                                                ria                                         y
                                              a
                                    n                                                                                                     es
              e          nd                                           s                                      nd
                                                           m
                                            ad
                                  pa
            nc                                                                                                           an
                                                                    nd       st
                                                        do                                                                             at
                                                                                            ra
                       la                                                                                  la
                                           n
                               Ja                                                         t
           a                                                      la                                                                St
                                                                                                        er              m
                                                                           Au
                     n                                 g
        Fr                               Ca                                             us                           er
                   Fi                                           er
                                                     in                                               tz                          d
                                                                                                     i
                                                                                      A
                                                              th                                                   G
                                                   K                                                                           te
                                                                                                  Sw
                                                            Ne                                                               ni
                                                ed
                                             it                                                                            U
                                           Un
a 2002 b 1999 c 2001
* Includes claims administration, underwriting, marketing, profits, and other administrative costs;
based on premiums minus claims expenses for private insurance.
                                                                                                                                               5
Data: OECD Health Data 2005.
Source: Commonwealth Fund National Scorecard on U.S. Health System Performance, 2006
Health Care Opinion Leaders:
                       Views on Controlling Rising Health Care Costs
                                “How effective do you think each of these approaches would be
                                 How
                                   to control rising costs and improve the quality of care?”
                                          Percent saying “extremely/very effective”


                                                                                                              75%
                                 Reduce inappropriate medical care

           Use evidence-based guidelines to determine if a test,
                                                                                                            70%
                       procedure should be done

                                                                                                        66%
                             Increased and more effective use of IT

  Increase the use of disease and care management strategies
                                                                                                       65%
                      for the chronically ill

  Reward providers who are more efficient and provide higher
                                                                                                      61%
                        quality care

                                                                                                 57%
                           Allow Medicare to negotiate drug prices


                                                                                                54%
                Reduce administrative costs of insurers, providers

Establish a public/private mechanism to produce, disseminate
                                                                                                54%
          information of effectiveness, best practices

     Have all payers, including private insurers, Medicare, and
                                                                                            51%
       Medicaid, adopt common payment methods or rates

      Consolidate purchasing power by public, private insurers
                                                                                           50%
         working together to moderate rising costs of care

Note: Based on a list of 19 issues.
Source: The Commonwealth Fund Health Care Opinion Leaders Survey, Jan. 2007.
EFFICIENCY


                  Test Results or Medical Record Not Available at
                  Time of Appointment, Among Sicker Adults 2005
                          Appointment                Adults,

Percent reporting test results/records not available at time of appointment in past two years

           International comparison                                 United States, by race/ethnicity,
                                                                     income, and insurance status
40


                                                                  30                                                 30
                                                                            28                 27
                                          23
                                                                                                         21
                                                         20
                                   19                                                18
20
                     16     16
             12
      11




 0
                                                        White    Black   Hispanic    Above     Below    Insured   Uninsured
     GER    AUS     NZ      UK    CAN     US                                        average   average
                                                                                    income    income

GER=Germany; AUS=Australia; NZ=New Zealand; UK=United Kingdom; CAN=Canada; US=United States.
Data: Analysis of 2005 Commonwealth Fund International Health Policy Survey of Sicker Adults; Schoen et al. 2005a.

Source: Commonwealth Fund National Scorecard on U.S. Health System Performance, 2006
Getting Value for Money:
                   Health System Transformation
•   Transparency; public information on clinical quality, patient-centered care, and
    efficiency by provider; insurance premiums, medical outlays, and provider payment
    rates

•   Payment systems that reward quality and efficiency; transition to population and care
    episode payment system

•   Patient-centered medical home; Integrated delivery systems and accountable
    physician group practices

•   Adoption of health information technology; creation of state-based health insurance
                                                           state based
    exchange

•   National Institute of Clinical Excellence; invest in comparative cost-effectiveness
    research; evidence-based decision-making

•   Investment in high performance primary care workforce

•   Health services research and technical assistance to spread best practices

•   Public-private collaboration; national aims; uniform policies; simplification; purchasing 8
    power
Where are the
uninsured in Kansas?
  i     di K       ?




                       9
Safety Net Clinic locations
        in K
        i Kansas




                          10
Medicaid Dental Providers
       in Kansas




                        11
Coordination of Care
           Initiatives in Kansas


• Medical Home
• Health Information Technology/Exchange
• Telemedicine/Telehealth




                                           12
13
Medical Home-Key Elements
        Home-

• Team approach to care
• Registries for the top few
  diagnoses
• Active care coordination
• Prospective data collection
• Partnership with community
            p                y
  resources
• Advanced patient education and
  self management support          14
How Will I Know One
When I See One?
Wh     SO?
• Commitment to care for the whole
  person
• Demonstrated use of tools and
  systems including registries and
  eventually EHR
           y
• New NCQA medical home
  recognition p g
      g       program ( (PPC))
• Patient satisfaction and health
  outcomes
                                     15
PCMH-PPC Proposed Content and Scoring
                                                                      Standard 5: Electronic Prescribing                            Pts
Standard 1: Access and Communication                           Pt
                                                                    s A. Uses electronic system to write prescriptions              3
A.  Has written standards for patient access and patient
                                                                                                                                    3
                                                                      B. H electronic prescription writer with safety
                                                                      B   Has l t       i       i ti     it  ith f t
    communication**
                                                                          checks
                                                               4
B.  Uses data to show it meets its standards for patient
                                                                      C. Has electronic prescription writer with cost               2
    access and communication**                                 5
                                                                          checks
                                                                                                                                    8
                                                               9
                                                                     Standard 6: Test Tracking                                      Pts
Standard 2: Patient Tracking and Registry Functions            Pt
                                                                                                                                    7
                                                                    sA
                                                                     A.  Tracks tests and identifies abnormal results
A. Uses data system for basic patient information
A
                                                                         systematically**
    (mostly non-clinical data)
                                                                     B. Uses electronic systems to order and retrieve               6
                                                               2
B. Has clinical data system with clinical data in
                                                                         tests and flag duplicate tests
    searchable data fields
                                                                                                                                    13
C. Uses the clinical data system                               3
                                                               3
D. Uses paper or electronic-based charting tools to organize            Standard 7: Referral Tracking                               PT
    clinical information**                                              A.  Tracks referrals using paper-based or electronic
                                                                                                   paper based                      4
                                                               6
E.  Uses data to identify important diagnoses and conditions                system**
                                                                                                                                    4
    in practice**                                              4
F.  Generates lists of patients and reminds patients and              Standard 8: Performance Reporting and Improvement             Pts
    clinicians of services needed (population                  3      A.  Measures clinical and/or service performance by
    management)                                                           physician or across the practice**                        3
                                                               21
                                                                      B. Survey of patients’ care experience
Standard 3 C
St d d 3: Care M  Management t                                 Pt     C. Reports performance across the practice or by              3
                                                                    s
A.  Adopts and implements evidence-based guidelines for                   physician **                                              3
    three conditions **                                        3      D. Sets goals and takes action to improve
B. Generates reminders about preventive services for                      performance                                               3
    clinicians                                                 4      E.  Produces reports using standardized measures
C. Uses non-physician staff to manage patient care                                                                                  2
                                                                      F.  Transmits reports with standardized measures
                                                               3
D. Conducts care management, including care plans,
D                    management                 plans                     electronically to external entities                       1
    assessing progress, addressing barriers                    5
                                                                                                                                    15
E.  Coordinates care//follow-up for patients who receive
    care in inpatient and outpatient facilities                5        Standard 9: Advanced Electronic Communications              Pts
                                                                        A. Availability of Interactive Website                      1
                                                               20
                                                                        B. Electronic Patient Identification                        2
Sta da d
Standard 4: Patient Se
              at e t Self-Management Suppo t
                           a age e t Support                   Pt
                                                                t       C. Electronic Care Management Support                       1
                                                                    s
A. Assesses language preference and other
                                                                                                                                    4
                                                                                                     ** Priority Elements
    communication barriers                                     2
B.  Actively supports patient self-management**                4
                                                                                                                               16
                                                               6
Senate Bill 81:
       Defining M di l H
       D fi i Medical Home
• “a health care delivery model in which a patient
   a
  establishes an ongoing relationship with a
  physician or other personal care provider in a
  physician-directed team, to provide
  comprehensive, accessible and continuous
  evidence-based primary and preventative care,
     id     b    di          d         t ti
  and to coordinate the patient’s health care
  needs across the health care system in order to
  improve quality and health outcomes in a cost
  effective manner.”
                                                     17
Operationalizing
                      Medical H
                      M di l Home
Goal: Create a medical home model(s) for
 Kansas through payment reforms
     • Technical Support: through State Quality Initiative
       (RWJ/Academy Health) – Kansas work plan
     • Kansas All Stakeholders Group:
         – Principles subgroup
         – Pilot Projects subgroup
         –CCommunications subgroup
                     ii        b
• Challenge: How to leverage federal stimulus
  dollars t advance M di l H
  d ll    to d      Medical Home? ?
                                                             18
Health Information Technology
  (HIT) & Health Information
        Exchange (HIE)




                                19
Importance of HIT/HIE
                         f    /
• Need for Health Information Exchange/ Health
  Information Technology (HIE/HIT)
  –   Promote coordination of care
  –   Improve quality of care
  –   Improve patient safety
  –   Potential for achieving long term cost savings
• HIT/HIE fosters coordination of care and
  implementation of medical home model of care

                                                       20
Improving Quality through
        Health Information Technology

“If we want safer, higher quality care, we will
   need to have redesigned systems of carecare,
  including the use of information technology
      to support clinical and administrative
     processes…the current care systems
    cannot do the job Trying harder will not
                   job.
     work. Changing systems of care will”

Crossing the Quality Chasm, Institute of Medicine21
Federal HIT/HIE
  Initiatives




                  22
HIT/HIE at the Federal Level
• President Bush placed a significant focus on
  HIT/HIE Initiatives
• Created the Office National Coordinator for Health
  Information Technology (ONCHIT) in 2004
• Call for widespread adoption of Electronic
  Health Records (EHR) by 2014
• President’s Aug 2006 Executive Order
  President s
  requiring Government departments and
  agencies involved in health care to adopt
   g                                     p
  HIT standards                                   23
Obama: American Recovery and
              Reinvestment Act (ARRA)
Policy Changes in ARRA       Financial Incentives
• Federal interoperability • $2 billion in competitive
  standards by 2010 that
               y             g
                             grants for HIT infrastructure;
  allow for the nationwide   $1.5 billion for FQHCs
  electronic exchange and • Investing $17 billion for
  use of health information  Medicare and Medicaid
• Strengthens federal        incentives to encourage
  privacy and security law   doctors and hospitals to use
  to protect from health     HIT to electronically
  information misuse         exchange patients’ health
                             information.
                                                         24
History of Kansas HIT/HIE
        Initiatives




                            25
Progression of HIT/HIE in
             Kansas
Governor s
Governor’s Health Care Cost Containment
           Commission (H4C)
             November 2004


    Kansas HIT/HIE Policy Initiative
                Fall 2005


        Kansas HIE Commission
               March 2006


      E-Health Ad i
      E H lth Advisory Council
                        C    il
(Advisory to KHPA Board and Governor)     26
               Spring 2008
Kansas HIE Initiatives
                                            Overview (2004)
Kansas Health
Policy Authority
                                                                        H4C


             Community Health       Privacy & Security             HIT/HIE Policy          Advanced ID Card
                Record                   Project                  Summit Initiative            Initiative


               Health-e Mid-                                      HIT/HIE Steering
                                                                                 g          ID Card Steering
                                                                                                           g
                                     Privacy & Security
                                           y          y
                 America                                             Committee                 Committee
                                    Steering Committee
               (CareEntrust)

                                                   Variations Working            Clinical Working        Kansas Insurance
                                                          Group                        Group               Department

 Kansas Department
                                                                                Technical Working
   of Health and                                                                                                       Standardized
                                                  Legal Working Group
                                                                                     Group                              Practitioner
    Environment
                                                                                                                       Credentialing

                    Kansas Public                  Solutions Working            Financial Working
                                                         Group                       Group
                   Health Information
                      eXchange
                                                    Implementation             Governance Working
                                                    Working Group                    Group
                        InfoLinks
                        I f Li k

                                                                                                                            27
Kansas: Health Care Cost
         Containment Commission (H4C)

• History: Established in November 2004 by Gov
  Sebelius, under direction of Lt. Gov John Moore
• Charge: Recommend solutions to improve
  patient care and lower costs by (1) reducing
  duplicative and inefficient administration
  processes and (2) developing strategies for
  efficient and effective use of health information
• Results: Development of a statewide shared
  vision for HIT/HIE – the “HIE Roadmap
                            HIE Roadmap”
                                                  28
HIT/HIE Policy Initiatives: Roadmap
• Charge: Develop shared vision for adoption of HIT &
  interoperability in KS; draft set of key principles & high
  level actions for statewide E-Health Information strategy
                               E Health
• Work Groups: Make recommendations on HIE
  infrastructure
   – Governance: develop sustainable governance model
     (oversight, coordination, direction)
   – Clinical: recommend data elements to be exchanged
   – Technical: assess HIE capability, identify gaps/barriers to
     address
       dd
   – Financial: develop sustainable financial model for
     infrastructure development and ongoing HIE
   – Security and Privacy: (Health Information Security and
     Privacy Collaboration or “HISPC”) – develop implementation
     plan to address barriers to interoperable HIE
• Financial Support: Sunflower Foundation, United
  Methodist Health Ministry Fund, Kansas H lth
  M th di t H lth Mi i t F d K           Health
  Foundation, and Kansas Health Policy Authority                   29
Kansas Roadmap & Progress
                          p      g
• Create public-private coordinating entity: E-health Advisory
  Council
• P id stakeholder education: K
  Provide t k h ld         d  ti   Kansas H lth O li
                                             Health Online
• Leverage existing resources: KHPA has two ongoing Health
  Information Exchange (HIE) pilots: Sedgwick County
  (Medicaid managed care); KC Metro Area (state employees)
• Demonstrate impact of HIE and foster incremental change:
  HIE pilots; challenges re: interoperability, sustainable
        il t     h ll        it        bilit      t i bl
  funding, ROI
• Address privacy and security barriers: Kansas HISPC
  Project (I, II, and III)
• Seek funding from multiple sources: Request for SGF in FY
  09 and FY 2010; looking for foundation support for HIT/HIE
        d      2010 l ki f f        d ti            tf
  and medical home model of health care delivery             30
Health Information Exchange
                     Commission (HIEC)
                     C     ii
• History: Governor’s Executive Order
  established the Commission Feb, 2007
• Charge: To serve as a leadership and
       g                          p
  advisory group for HIE/HIT in Kansas
• Results:
  – Report of the HIEC delivered to the Governor
    for her consideration
  – HIEC Recommended:
    • Establishment of a public/private coordinating entity
                         p      p                  g      y
    • Resource support for HIT/HIE efforts in Kansas
                                                          31
E-Health Advisory Council
• History: Given KHPA’s statutory charge to
         y                        y     g
  coordinate health care for Kansas, Governor
  requested KHPA to guide development and
  administration of statewide h lth i f
   d i i t ti     f t t id health information
                                            ti
  technology and exchange
• Ch
  Charge: E H lth I f
            E-Health Information Ad i
                             ti Advisory Council
                                          C    il
  reports to Governor and KHPA, focus on:
  – Statewide Community Health Record
  – Develop and implement resource center for providers
    wishing to implement HIT/HIE
  – Develop policy recommendations to advance HIT/HIE
                                                      32
    in Kansas
Statewide Community
                  Health R
                  H l h Record
                             d
• Health Information Technology and Exchange:
                             gy           g
  – Facilitate sharing, exchange of health records
  – Promote safety and improve quality
  – Improve efficiency and promote cost savings
• Two ongoing pilot projects
  – Wichita: HealthWave managed care providers
  – KC Area: State employees participating in employer
    sponsored initiative
• Expand statewide for Medicaid and SEHP
    p
• Budget Impact FY 2010: $1,096,000 (AF);
  $383,600 (SGF)

                                                         33
Kansas Medicaid
       Community Health Record (CHR)
• Location: Sedgwick County, KS
                 g            y,
• Pilot Population: Medicaid Managed Care
• Purpose: To improve the q
      p           p          quality, safety, and
                                   y,      y,
  cost-effectiveness of care
• Timeline:
   – Launched in Feb 2006
   – Currently implemented in 20 sites
   – Submitted a budget enhancement request of $50 000
                                                 $50,000
     SGF for FY 2009 to expand program to 20 additional
     sites in Sedgwick County
   – Statewide expansion included in KHPA Board health
     reform recommendations for 2008 legislative session34
CareEntrust:
                           CareEntrust:
           Kansas City Health Exchange
• Location and Participants: Non-profit
  organization comprised of around 20 of Kansas
  City s
  City’s leading employers and health care
  organizations including Kansas State Employee
  Health Plan (for KC residents)
•PPurpose: T develop and manage th CHR as a
             To d    l     d          the
  means to improving patient safety and avoiding
  costly and wasteful health care practices
• Timeline: Developed a business plan for a
  Regional Health Information Exchange that
  governs and manages a CHR for Wyandotte
                                    Wyandotte,
  Leavenworth, and Johnson Counties – Kansas
                                                 35
  SEHP beginning this month
Health Information Security and
                Privacy Collaboration (HISPC)
                                      (HISPC)
• Funding: Federal Health and Human Service Grant
  funded through RTI International
   – Partnership with the National Governor’s Association
• Purpose: Statewide assessment of business practices
  and policies around HIE; identify barriers to interoperable
  HIE; develop solutions
• HISPC I, II, and III in Kansas:
   – Sponsored by Governor’s Health Care Cost Containment
     Commission (H4C); Kansas one of 34 states awarded
     subcontract
   – Public-Private Project Team: KHI – project manager, KU
     Center for Health Informatics, and KHPA, Mid-America
     Coalition on Healthcare, Lathrop & Gage, other stakeholders
   –DDeveloped Tool to Assist States Harmonize Privacy Laws
          l     d T l t A i t St t H            i Pi        L
                                                              36
Numerous Other
                             Projects
• Central Plains Regional Health Care Foundation –
  Clinics Patient Index
• Community Health Center (
            y               (Health Choice) Project
                                          )    j
• Jayhawk Point of Care (POC)
• Northwest Kansas Health Alliance
• Kansas Public Health eXchange (PHIX)
• Kansas City Quality Improvement Consortium
• KAN ED
  KAN-ED
• Other Projects: Rural Outreach, KC Carelink, KC Bi-
  State Health Information Exchange
                                                        37
Tying it all together




                        38
Future of these Initiatives
• Through ARRA, role for federal leadership re:
  interoperability and privacy protections
• State of Kansas:
   – Well positioned to develop plan for federal funding
     given work of the Governor’s Cost Containment
                        Governor s
     Commission, the Kansas HIE Commission, the Health
     Information Security and Privacy Collaboration, E-
     health Advisory Council and myriad others
                       Council,
   – Goal: Improve coordination of care of health
     outcomes
       •IIncentivize the use of electronic h l h i f
               ii     h       fl        i health information,
                                                         i
         HIE, telemedicine, etc
       • Leverage these resources consistent with a medical
                g
         home model of care delivery
                                                           39
Federal HI TECH Act
• HIT/HIE provisions of ARRA
• HITECH: Health Information Technology
  for Economic and Clinical Health Act
•C t K
  Create Kansas HITECH Pl –
                          Plan
  – Merge efforts of various initiatives (both
    HIT/HIE and medical h
                 d   di l home) i t
                                 ) into
    comprehensive plan
  – Determine list of “shovel ready” projects
                        shovel ready
    appropriate for funding
  – Bring stakeholders together to determine
    priorities and get to work                   40
Aligning KS HITECH Plan
Federal
Fd     l             Health
                     H lth             $2 B i G
                                            in Grants
                                                    t        Payment
                                                             P        t
Interoperability     Information       and loans to          incentives in
Standards            Privacy and       purchase HIT ;        Medicaid/Medic
                     Security
                            y          $1.5 B for            are for EHR
                                       FQHCs
Kansas               Kansas HISPC      Kansas grant          Kansas payment
standards team       team can be       team to develop       incentives team
to monitor federal   integrated into   funding priorities    to track rules and
work to ensure       KS HITECH plan    from list of shovel   regulations for
alignment –          via development   ready projects        increased
providers will       and               that promote          provider
benefit from         implementation    medical home          reimbursement
federal              of state          model of care or      for those
inoperability        harmonization     follow specifics of   providers utilizing
standards th t
 t d d that          laws and rural
                     l        d    l   ARRA federal
                                               fd l          electronic h lth
                                                               l t i health
will ease health     consumer          funding               information and
information          education         guidelines (not       provide
exchange –
        g                              yp
                                       yet published) )      education for
select team to                                               interested
                                                             providers          41
Foundation of Research and
                      Education of AHIMA/State Level
                      Health Information Exchange
    Setting f t d d
    S tti of standards
 enables providers to begin
 selecting and/or modifying
                                                                  Medicare and Medicaid
     existing systems to                 Medicare and             payment incentives give
 comply with Medicare and             Medicaid incentive            way to penalties on
     Medicaid incentive                payments begin
                                                 begin,            providers for failing to
 payment requirements for            presuming HIEs have                 adopt HIT
     HIE interoperability                come online




   2009        2010           2011       2012       2013   2014     2015          2016




HHS to establish        State
                        St t grant monies
                                   t     i
 interoperability       begin flowing from
standards by the          HHS to develop
end of 2009; such        technical, privacy,
    standards             governance and
expected to guide     financing frameworks
HIE development        necessary for HIE to
                            take shape
Foundation of Research and
                      Education of AHIMA/State Level
                      Health Information Exchange
Funding Mechanism
      g                                                         Payment Agent
                                                                   y        g
Appropriations, subject to annual review & authorization        States or state-designated entities

Payment Recipients                                              Level of Funding
•State Department of Health or a qualified state-designated     •At least $300 million in grants to be divided
HIE governing entity
              entity.                                           among planning & implementation activities
                                                                                                     activities.
•Recipients must consult with wide range of stake holders       •State matching funds may be required in FY 09 &
throughout health care.                                         10 (and will be required in FY 11)


Requirements for Funding
•Submission of a plan, approved by HHS, that describes the activities to facilitate and expand the electronic
movement and use of HIE according to nationally recognized standards and implementation specifications.

Use of Funds
•Enhancing broad and varied participation in nationwide HIE
•Identifying State or local resources available towards a nationwide effort to promote health IT
•Complementing other federal programs and efforts towards the promotion of health IT
•Providing technical assistance to develop & disseminate solutions to advance HIE
•Promoting effective strategies to adopt and utilize health IT in medically underserved communities
•Assisting patients in utilizing health IT
•Encouraging clinicians to work with Health IT Regional Extension Centers
•Supporting public health agencies’ access to electronic health information
•Promoting the use of EHRs for quality improvement
Foundation of Research and
            Education of AHIMA/State Level
            Health Information Exchange
Consideration

•HIE provision distinguishes between planning an implementation
grants, and it is likely that much larger grants will go toward
implementation.
implementation

•Key characteristics for implementation funding TBD, but will likely
involve:
     –An operating governance structure
      A        ti                tt
     –A defined technical plan
     –Defined clinical use cases
     –Statewide policy g
                  p   y guidance as to p
                                       privacy and security
                                             y            y

•There is an implicit onus on States to develop HIE infrastructure in the
near-term to enable otherwise-eligible providers to earn their
Medicare/Medicaid incentive payments
                              payments.
Foundation of Research and
                  Education of AHIMA/State Level
                   Health Information Exchange
                                   Medicare                                  Medicaid

     Funding                  Incentive payments               Incentive payments, State matching
   mechanism(s)                                                  payments (administrative costs)


   Payment Agent        Medicare carriers and contractors            State Medicaid agencies

 Payment Recipients         Hospitals and physicians             Hospitals and physicians; State
                                                               Medicaid agencies for administration


Amounts for Hospitals        $2 million base amount            For eligible Acute Care & Children’s
                                                                                         Children s
                                                                  hospitals…limited to amount
                                                                 calculated under Medicare, by
                                                                          Medicaid share
    Amounts for            May receive up to $41,000           In aggregate, an eligible professional
physicians and other                                              may receive up to 85 percent of
health professionals                                              $75,000 over a five year period.


 Key Consideration        Hospitals will qualify for both Medicare and Medicaid dollars (unlike
                          professionals) but will be forced to participate in HIE projects and be
                                         “meaningful user” to drawn down funds
http://www.khpa.ks.gov/


                          46

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Kansas High Tech Plan

  • 1. HIT/HIE & Medical Home Model: Kansas HI TECH Plan March 2, 2009 M h2 Marcia Nielsen, PhD, MPH M i Ni l PhD Executive Director Kansas Health Policy Authority 1
  • 2. Alignment of Initiatives Goals: •Improve health Medical Home •Improve coordination of care •Reduce duplication Health Information of services Technology and Exchange •Contain health care costs Telemedicine and Telehealth TT •Obtain one time federal stimulus 2 dollars for Kansas
  • 3. Federal Stimulus Package g • Improving Care Coordination: Saving the government $10 billion, and generating additional savings throughout the health sector, through improvements in quality of care and care coordination, and reductions in medical errors and duplicative care. • Investment in HIT/HIE: Investing $19 billion in health information technology infrastructure and Medicare and Medicaid incentives to encourage doctors and hospitals to use HIT to electronically exchange patients’ health information. • Providing funds to States: Legislation provides funding for health information technology infrastructure, training, dissemination of best practices, telemedicine, inclusion of health information technology in clinical education, and State grants to promote health information , g p technology. 3
  • 4. Background: Health Care Challenges 4
  • 5. EFFICIENCY Percentage of National Health Expenditures Spent on Health Administration and Insurance, 2003 Insurance Net costs of health administration and health insurance as percent of national health expenditures 8 7.3 73 5.6 6 4.8 4.2 4.1 4.0 4 3.3 2.6 2.1 2.1 1.9 2 0 l ia ria y a n es e nd s nd m ad pa nc an nd st do at ra la la n Ja t a la St er m Au n g Fr Ca us er Fi er in tz d i A th G K te Sw Ne ni ed it U Un a 2002 b 1999 c 2001 * Includes claims administration, underwriting, marketing, profits, and other administrative costs; based on premiums minus claims expenses for private insurance. 5 Data: OECD Health Data 2005. Source: Commonwealth Fund National Scorecard on U.S. Health System Performance, 2006
  • 6. Health Care Opinion Leaders: Views on Controlling Rising Health Care Costs “How effective do you think each of these approaches would be How to control rising costs and improve the quality of care?” Percent saying “extremely/very effective” 75% Reduce inappropriate medical care Use evidence-based guidelines to determine if a test, 70% procedure should be done 66% Increased and more effective use of IT Increase the use of disease and care management strategies 65% for the chronically ill Reward providers who are more efficient and provide higher 61% quality care 57% Allow Medicare to negotiate drug prices 54% Reduce administrative costs of insurers, providers Establish a public/private mechanism to produce, disseminate 54% information of effectiveness, best practices Have all payers, including private insurers, Medicare, and 51% Medicaid, adopt common payment methods or rates Consolidate purchasing power by public, private insurers 50% working together to moderate rising costs of care Note: Based on a list of 19 issues. Source: The Commonwealth Fund Health Care Opinion Leaders Survey, Jan. 2007.
  • 7. EFFICIENCY Test Results or Medical Record Not Available at Time of Appointment, Among Sicker Adults 2005 Appointment Adults, Percent reporting test results/records not available at time of appointment in past two years International comparison United States, by race/ethnicity, income, and insurance status 40 30 30 28 27 23 21 20 19 18 20 16 16 12 11 0 White Black Hispanic Above Below Insured Uninsured GER AUS NZ UK CAN US average average income income GER=Germany; AUS=Australia; NZ=New Zealand; UK=United Kingdom; CAN=Canada; US=United States. Data: Analysis of 2005 Commonwealth Fund International Health Policy Survey of Sicker Adults; Schoen et al. 2005a. Source: Commonwealth Fund National Scorecard on U.S. Health System Performance, 2006
  • 8. Getting Value for Money: Health System Transformation • Transparency; public information on clinical quality, patient-centered care, and efficiency by provider; insurance premiums, medical outlays, and provider payment rates • Payment systems that reward quality and efficiency; transition to population and care episode payment system • Patient-centered medical home; Integrated delivery systems and accountable physician group practices • Adoption of health information technology; creation of state-based health insurance state based exchange • National Institute of Clinical Excellence; invest in comparative cost-effectiveness research; evidence-based decision-making • Investment in high performance primary care workforce • Health services research and technical assistance to spread best practices • Public-private collaboration; national aims; uniform policies; simplification; purchasing 8 power
  • 9. Where are the uninsured in Kansas? i di K ? 9
  • 10. Safety Net Clinic locations in K i Kansas 10
  • 12. Coordination of Care Initiatives in Kansas • Medical Home • Health Information Technology/Exchange • Telemedicine/Telehealth 12
  • 13. 13
  • 14. Medical Home-Key Elements Home- • Team approach to care • Registries for the top few diagnoses • Active care coordination • Prospective data collection • Partnership with community p y resources • Advanced patient education and self management support 14
  • 15. How Will I Know One When I See One? Wh SO? • Commitment to care for the whole person • Demonstrated use of tools and systems including registries and eventually EHR y • New NCQA medical home recognition p g g program ( (PPC)) • Patient satisfaction and health outcomes 15
  • 16. PCMH-PPC Proposed Content and Scoring Standard 5: Electronic Prescribing Pts Standard 1: Access and Communication Pt s A. Uses electronic system to write prescriptions 3 A. Has written standards for patient access and patient 3 B. H electronic prescription writer with safety B Has l t i i ti it ith f t communication** checks 4 B. Uses data to show it meets its standards for patient C. Has electronic prescription writer with cost 2 access and communication** 5 checks 8 9 Standard 6: Test Tracking Pts Standard 2: Patient Tracking and Registry Functions Pt 7 sA A. Tracks tests and identifies abnormal results A. Uses data system for basic patient information A systematically** (mostly non-clinical data) B. Uses electronic systems to order and retrieve 6 2 B. Has clinical data system with clinical data in tests and flag duplicate tests searchable data fields 13 C. Uses the clinical data system 3 3 D. Uses paper or electronic-based charting tools to organize Standard 7: Referral Tracking PT clinical information** A. Tracks referrals using paper-based or electronic paper based 4 6 E. Uses data to identify important diagnoses and conditions system** 4 in practice** 4 F. Generates lists of patients and reminds patients and Standard 8: Performance Reporting and Improvement Pts clinicians of services needed (population 3 A. Measures clinical and/or service performance by management) physician or across the practice** 3 21 B. Survey of patients’ care experience Standard 3 C St d d 3: Care M Management t Pt C. Reports performance across the practice or by 3 s A. Adopts and implements evidence-based guidelines for physician ** 3 three conditions ** 3 D. Sets goals and takes action to improve B. Generates reminders about preventive services for performance 3 clinicians 4 E. Produces reports using standardized measures C. Uses non-physician staff to manage patient care 2 F. Transmits reports with standardized measures 3 D. Conducts care management, including care plans, D management plans electronically to external entities 1 assessing progress, addressing barriers 5 15 E. Coordinates care//follow-up for patients who receive care in inpatient and outpatient facilities 5 Standard 9: Advanced Electronic Communications Pts A. Availability of Interactive Website 1 20 B. Electronic Patient Identification 2 Sta da d Standard 4: Patient Se at e t Self-Management Suppo t a age e t Support Pt t C. Electronic Care Management Support 1 s A. Assesses language preference and other 4 ** Priority Elements communication barriers 2 B. Actively supports patient self-management** 4 16 6
  • 17. Senate Bill 81: Defining M di l H D fi i Medical Home • “a health care delivery model in which a patient a establishes an ongoing relationship with a physician or other personal care provider in a physician-directed team, to provide comprehensive, accessible and continuous evidence-based primary and preventative care, id b di d t ti and to coordinate the patient’s health care needs across the health care system in order to improve quality and health outcomes in a cost effective manner.” 17
  • 18. Operationalizing Medical H M di l Home Goal: Create a medical home model(s) for Kansas through payment reforms • Technical Support: through State Quality Initiative (RWJ/Academy Health) – Kansas work plan • Kansas All Stakeholders Group: – Principles subgroup – Pilot Projects subgroup –CCommunications subgroup ii b • Challenge: How to leverage federal stimulus dollars t advance M di l H d ll to d Medical Home? ? 18
  • 19. Health Information Technology (HIT) & Health Information Exchange (HIE) 19
  • 20. Importance of HIT/HIE f / • Need for Health Information Exchange/ Health Information Technology (HIE/HIT) – Promote coordination of care – Improve quality of care – Improve patient safety – Potential for achieving long term cost savings • HIT/HIE fosters coordination of care and implementation of medical home model of care 20
  • 21. Improving Quality through Health Information Technology “If we want safer, higher quality care, we will need to have redesigned systems of carecare, including the use of information technology to support clinical and administrative processes…the current care systems cannot do the job Trying harder will not job. work. Changing systems of care will” Crossing the Quality Chasm, Institute of Medicine21
  • 22. Federal HIT/HIE Initiatives 22
  • 23. HIT/HIE at the Federal Level • President Bush placed a significant focus on HIT/HIE Initiatives • Created the Office National Coordinator for Health Information Technology (ONCHIT) in 2004 • Call for widespread adoption of Electronic Health Records (EHR) by 2014 • President’s Aug 2006 Executive Order President s requiring Government departments and agencies involved in health care to adopt g p HIT standards 23
  • 24. Obama: American Recovery and Reinvestment Act (ARRA) Policy Changes in ARRA Financial Incentives • Federal interoperability • $2 billion in competitive standards by 2010 that y g grants for HIT infrastructure; allow for the nationwide $1.5 billion for FQHCs electronic exchange and • Investing $17 billion for use of health information Medicare and Medicaid • Strengthens federal incentives to encourage privacy and security law doctors and hospitals to use to protect from health HIT to electronically information misuse exchange patients’ health information. 24
  • 25. History of Kansas HIT/HIE Initiatives 25
  • 26. Progression of HIT/HIE in Kansas Governor s Governor’s Health Care Cost Containment Commission (H4C) November 2004 Kansas HIT/HIE Policy Initiative Fall 2005 Kansas HIE Commission March 2006 E-Health Ad i E H lth Advisory Council C il (Advisory to KHPA Board and Governor) 26 Spring 2008
  • 27. Kansas HIE Initiatives Overview (2004) Kansas Health Policy Authority H4C Community Health Privacy & Security HIT/HIE Policy Advanced ID Card Record Project Summit Initiative Initiative Health-e Mid- HIT/HIE Steering g ID Card Steering g Privacy & Security y y America Committee Committee Steering Committee (CareEntrust) Variations Working Clinical Working Kansas Insurance Group Group Department Kansas Department Technical Working of Health and Standardized Legal Working Group Group Practitioner Environment Credentialing Kansas Public Solutions Working Financial Working Group Group Health Information eXchange Implementation Governance Working Working Group Group InfoLinks I f Li k 27
  • 28. Kansas: Health Care Cost Containment Commission (H4C) • History: Established in November 2004 by Gov Sebelius, under direction of Lt. Gov John Moore • Charge: Recommend solutions to improve patient care and lower costs by (1) reducing duplicative and inefficient administration processes and (2) developing strategies for efficient and effective use of health information • Results: Development of a statewide shared vision for HIT/HIE – the “HIE Roadmap HIE Roadmap” 28
  • 29. HIT/HIE Policy Initiatives: Roadmap • Charge: Develop shared vision for adoption of HIT & interoperability in KS; draft set of key principles & high level actions for statewide E-Health Information strategy E Health • Work Groups: Make recommendations on HIE infrastructure – Governance: develop sustainable governance model (oversight, coordination, direction) – Clinical: recommend data elements to be exchanged – Technical: assess HIE capability, identify gaps/barriers to address dd – Financial: develop sustainable financial model for infrastructure development and ongoing HIE – Security and Privacy: (Health Information Security and Privacy Collaboration or “HISPC”) – develop implementation plan to address barriers to interoperable HIE • Financial Support: Sunflower Foundation, United Methodist Health Ministry Fund, Kansas H lth M th di t H lth Mi i t F d K Health Foundation, and Kansas Health Policy Authority 29
  • 30. Kansas Roadmap & Progress p g • Create public-private coordinating entity: E-health Advisory Council • P id stakeholder education: K Provide t k h ld d ti Kansas H lth O li Health Online • Leverage existing resources: KHPA has two ongoing Health Information Exchange (HIE) pilots: Sedgwick County (Medicaid managed care); KC Metro Area (state employees) • Demonstrate impact of HIE and foster incremental change: HIE pilots; challenges re: interoperability, sustainable il t h ll it bilit t i bl funding, ROI • Address privacy and security barriers: Kansas HISPC Project (I, II, and III) • Seek funding from multiple sources: Request for SGF in FY 09 and FY 2010; looking for foundation support for HIT/HIE d 2010 l ki f f d ti tf and medical home model of health care delivery 30
  • 31. Health Information Exchange Commission (HIEC) C ii • History: Governor’s Executive Order established the Commission Feb, 2007 • Charge: To serve as a leadership and g p advisory group for HIE/HIT in Kansas • Results: – Report of the HIEC delivered to the Governor for her consideration – HIEC Recommended: • Establishment of a public/private coordinating entity p p g y • Resource support for HIT/HIE efforts in Kansas 31
  • 32. E-Health Advisory Council • History: Given KHPA’s statutory charge to y y g coordinate health care for Kansas, Governor requested KHPA to guide development and administration of statewide h lth i f d i i t ti f t t id health information ti technology and exchange • Ch Charge: E H lth I f E-Health Information Ad i ti Advisory Council C il reports to Governor and KHPA, focus on: – Statewide Community Health Record – Develop and implement resource center for providers wishing to implement HIT/HIE – Develop policy recommendations to advance HIT/HIE 32 in Kansas
  • 33. Statewide Community Health R H l h Record d • Health Information Technology and Exchange: gy g – Facilitate sharing, exchange of health records – Promote safety and improve quality – Improve efficiency and promote cost savings • Two ongoing pilot projects – Wichita: HealthWave managed care providers – KC Area: State employees participating in employer sponsored initiative • Expand statewide for Medicaid and SEHP p • Budget Impact FY 2010: $1,096,000 (AF); $383,600 (SGF) 33
  • 34. Kansas Medicaid Community Health Record (CHR) • Location: Sedgwick County, KS g y, • Pilot Population: Medicaid Managed Care • Purpose: To improve the q p p quality, safety, and y, y, cost-effectiveness of care • Timeline: – Launched in Feb 2006 – Currently implemented in 20 sites – Submitted a budget enhancement request of $50 000 $50,000 SGF for FY 2009 to expand program to 20 additional sites in Sedgwick County – Statewide expansion included in KHPA Board health reform recommendations for 2008 legislative session34
  • 35. CareEntrust: CareEntrust: Kansas City Health Exchange • Location and Participants: Non-profit organization comprised of around 20 of Kansas City s City’s leading employers and health care organizations including Kansas State Employee Health Plan (for KC residents) •PPurpose: T develop and manage th CHR as a To d l d the means to improving patient safety and avoiding costly and wasteful health care practices • Timeline: Developed a business plan for a Regional Health Information Exchange that governs and manages a CHR for Wyandotte Wyandotte, Leavenworth, and Johnson Counties – Kansas 35 SEHP beginning this month
  • 36. Health Information Security and Privacy Collaboration (HISPC) (HISPC) • Funding: Federal Health and Human Service Grant funded through RTI International – Partnership with the National Governor’s Association • Purpose: Statewide assessment of business practices and policies around HIE; identify barriers to interoperable HIE; develop solutions • HISPC I, II, and III in Kansas: – Sponsored by Governor’s Health Care Cost Containment Commission (H4C); Kansas one of 34 states awarded subcontract – Public-Private Project Team: KHI – project manager, KU Center for Health Informatics, and KHPA, Mid-America Coalition on Healthcare, Lathrop & Gage, other stakeholders –DDeveloped Tool to Assist States Harmonize Privacy Laws l d T l t A i t St t H i Pi L 36
  • 37. Numerous Other Projects • Central Plains Regional Health Care Foundation – Clinics Patient Index • Community Health Center ( y (Health Choice) Project ) j • Jayhawk Point of Care (POC) • Northwest Kansas Health Alliance • Kansas Public Health eXchange (PHIX) • Kansas City Quality Improvement Consortium • KAN ED KAN-ED • Other Projects: Rural Outreach, KC Carelink, KC Bi- State Health Information Exchange 37
  • 38. Tying it all together 38
  • 39. Future of these Initiatives • Through ARRA, role for federal leadership re: interoperability and privacy protections • State of Kansas: – Well positioned to develop plan for federal funding given work of the Governor’s Cost Containment Governor s Commission, the Kansas HIE Commission, the Health Information Security and Privacy Collaboration, E- health Advisory Council and myriad others Council, – Goal: Improve coordination of care of health outcomes •IIncentivize the use of electronic h l h i f ii h fl i health information, i HIE, telemedicine, etc • Leverage these resources consistent with a medical g home model of care delivery 39
  • 40. Federal HI TECH Act • HIT/HIE provisions of ARRA • HITECH: Health Information Technology for Economic and Clinical Health Act •C t K Create Kansas HITECH Pl – Plan – Merge efforts of various initiatives (both HIT/HIE and medical h d di l home) i t ) into comprehensive plan – Determine list of “shovel ready” projects shovel ready appropriate for funding – Bring stakeholders together to determine priorities and get to work 40
  • 41. Aligning KS HITECH Plan Federal Fd l Health H lth $2 B i G in Grants t Payment P t Interoperability Information and loans to incentives in Standards Privacy and purchase HIT ; Medicaid/Medic Security y $1.5 B for are for EHR FQHCs Kansas Kansas HISPC Kansas grant Kansas payment standards team team can be team to develop incentives team to monitor federal integrated into funding priorities to track rules and work to ensure KS HITECH plan from list of shovel regulations for alignment – via development ready projects increased providers will and that promote provider benefit from implementation medical home reimbursement federal of state model of care or for those inoperability harmonization follow specifics of providers utilizing standards th t t d d that laws and rural l d l ARRA federal fd l electronic h lth l t i health will ease health consumer funding information and information education guidelines (not provide exchange – g yp yet published) ) education for select team to interested providers 41
  • 42. Foundation of Research and Education of AHIMA/State Level Health Information Exchange Setting f t d d S tti of standards enables providers to begin selecting and/or modifying Medicare and Medicaid existing systems to Medicare and payment incentives give comply with Medicare and Medicaid incentive way to penalties on Medicaid incentive payments begin begin, providers for failing to payment requirements for presuming HIEs have adopt HIT HIE interoperability come online 2009 2010 2011 2012 2013 2014 2015 2016 HHS to establish State St t grant monies t i interoperability begin flowing from standards by the HHS to develop end of 2009; such technical, privacy, standards governance and expected to guide financing frameworks HIE development necessary for HIE to take shape
  • 43. Foundation of Research and Education of AHIMA/State Level Health Information Exchange Funding Mechanism g Payment Agent y g Appropriations, subject to annual review & authorization States or state-designated entities Payment Recipients Level of Funding •State Department of Health or a qualified state-designated •At least $300 million in grants to be divided HIE governing entity entity. among planning & implementation activities activities. •Recipients must consult with wide range of stake holders •State matching funds may be required in FY 09 & throughout health care. 10 (and will be required in FY 11) Requirements for Funding •Submission of a plan, approved by HHS, that describes the activities to facilitate and expand the electronic movement and use of HIE according to nationally recognized standards and implementation specifications. Use of Funds •Enhancing broad and varied participation in nationwide HIE •Identifying State or local resources available towards a nationwide effort to promote health IT •Complementing other federal programs and efforts towards the promotion of health IT •Providing technical assistance to develop & disseminate solutions to advance HIE •Promoting effective strategies to adopt and utilize health IT in medically underserved communities •Assisting patients in utilizing health IT •Encouraging clinicians to work with Health IT Regional Extension Centers •Supporting public health agencies’ access to electronic health information •Promoting the use of EHRs for quality improvement
  • 44. Foundation of Research and Education of AHIMA/State Level Health Information Exchange Consideration •HIE provision distinguishes between planning an implementation grants, and it is likely that much larger grants will go toward implementation. implementation •Key characteristics for implementation funding TBD, but will likely involve: –An operating governance structure A ti tt –A defined technical plan –Defined clinical use cases –Statewide policy g p y guidance as to p privacy and security y y •There is an implicit onus on States to develop HIE infrastructure in the near-term to enable otherwise-eligible providers to earn their Medicare/Medicaid incentive payments payments.
  • 45. Foundation of Research and Education of AHIMA/State Level Health Information Exchange Medicare Medicaid Funding Incentive payments Incentive payments, State matching mechanism(s) payments (administrative costs) Payment Agent Medicare carriers and contractors State Medicaid agencies Payment Recipients Hospitals and physicians Hospitals and physicians; State Medicaid agencies for administration Amounts for Hospitals $2 million base amount For eligible Acute Care & Children’s Children s hospitals…limited to amount calculated under Medicare, by Medicaid share Amounts for May receive up to $41,000 In aggregate, an eligible professional physicians and other may receive up to 85 percent of health professionals $75,000 over a five year period. Key Consideration Hospitals will qualify for both Medicare and Medicaid dollars (unlike professionals) but will be forced to participate in HIE projects and be “meaningful user” to drawn down funds