Stimulus includes $20 billion for health IT

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Having overcome political opposition to the measure, President Obama was expected to sign the final version of the massive federal economic stimulus package today, including a $20 billion boost for health IT that supporters hope will speed adoption of electronic medical records across the U.S. 

The stimulus includes a wide array of healthcare spending, with funds for medical research, education and patient care--including a temporary $456 million increase to disproportionate share hospital funding. It also imposes a temporary $87 billion increase to the federal share of the Medicaid program, giving states and territories 6.2 percent more.

With such systems averaging $40,000 per practice by most estimates, even this amount of funding can't address the entire EMR adoption problem, but it is a substantial enough infusion to potentially move the process forward more rapidly. Now, the debate begins as to how the subsidies should be awarded--a process that could prove controversial all on its own.

To learn more about the stimulus package:
- read this Modern Healthcare piece (reg. req.)

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