Fiscal 2013 budget includes 8 percent bump for ONC

President Barack Obama’s proposed federal budget for fiscal 2013 includes $66 million for the Office of the National Coordinator for Health IT, $5 million more than the current fiscal year.

ONC’s budget would increase 8.2 percent to advance creation of a nationwide health IT infrastructure, including further acceleration of the adoption of electronic health records and their meaningful use by physicians.

ONC’s spending is part of the president’s request for $76.7 billion, or 0.4 percent more than 2012, for the small part of HHS spending that is discretionary in his budget released Feb. 13.

Out of the $941 billion in Health & Human Services outlays, only 8 percent is discretionary. The vast majority of department spending goes to entitlement and benefit programs, primarily Medicare and Medicaid.

ONC and the Centers for Medicare & Medicaid Services are working together to register physicians and hospitals to qualify for incentive payments when they become meaningful users of certified EHRs.

ONC and CMS anticipate that 80,000 providers will have received payments by Sept. 30, the end of fiscal year 2012, according to the budget document.

Among ONC’s efforts, the 62 health IT regional extension centers (RECs) have registered 130,000 physicians – about one-third of all primary care providers and more than two-thirds of all rural providers in the nation – to help them adopt and demonstrate meaningful use.

“As of January 2012, nearly 60,000 REC-assisted providers had implemented EHRs with e-prescribing and quality reporting capabilities, and more than 5,000 of these providers have achieved meaningful use,” HHS said in its proposed budget.

In 2011, Medicare and Medicaid paid more than $2.5 billion in incentives to 32,500 physicians and hospitals, HHS reported.

ONC would receive $12 million for standards and health information exchange work to foster the sharing of patient information, whether among small providers or large hospital systems.

ONC would also receive $7.8 million, or $2 million more than currently, to share best practices for adoption and meaningful use of health IT with healthcare and community organizations and to support the extension centers.

And $5 million would go to assure that privacy and security policies and practices are in place to safeguard personal health information. ONC will also explore security issues related to patient-centered medical home models, such as secure electronic communications with patients, according to the spending document.

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