CMS provides $9.2 million to four states for EHR implementation

May 27, 2010

The Centers for Medicare and Medicaid Services is providing $9.2 million in federal matching funds to Medicaid programs in four states to enable the programs to implement electronic health records.

The Centers for Medicare and Medicaid Services (CMS) is providing $9.19 million in federal matching funds to Medicaid programs in four states to enable the programs to implement electronic health records (EHRs). New Jersey has been awarded $4.93 million, Louisiana will receive $1.85 million, Maryland $1.37 million, and Minnesota $1.04 million.

The American Recovery and Reinvestment Act of 2009 provides a 90 percent federal match for state planning activities to administer the incentive payments to Medicaid providers, to ensure that payments are proper through audits, and to participate in statewide efforts to promote interoperability and meaningful use of EHR technology statewide and, eventually, across the nation.

"Meaningful and interoperable use of EHRs in Medicaid will increase healthcare efficiency, reduce medical errors, and improve quality outcomes and patient satisfaction within and across the states," says Cindy Mann, director of the Center for Medicaid and state operations at CMS.

Each state will use the funds to conduct a comprehensive analysis to determine the current status of healthcare information technology (HIT) activities in the state. As part of that process, each state will gather information on issues such as existing barriers to its use of EHRs, provider eligibility for EHR incentive payments, and the creation of a state Medicaid HIT plan that will define the state's vision for its long-term HIT use.