ARRA Brings Transformative Health Opportunities

1. ARRA Brings Transformative Health Opportunities Sherry Ashby Principal Analyst INPUT

2. Agenda • Overview • ARRA Impact • Implications for Industry • Key Players • Positioning for Opportunities • Resources • Conclusions • Recommendations

3. Overview

4. Introduction Trends and Drivers Economic/Budget Crisis National Health Care Reform Stimulus Funding HITECH Act Promoting Electronic Health Records Standards and Certification Health IT Interoperability “Health Information Technology provides the umbrella framework to describe the comprehensive management of health information and its secure exchange between consumers, providers, government and quality entities, and insurers.” -Source: Wikipedia • Health IT Buyers • Federal: VA, DOD, HHS • S&L: State/State Designated Entity (SDE)

5. ARRA Allocation of Funds for HIT • $34 billion for Medicare and Medicaid incentive payments to providers • $2 billion for the Office of the National Coordinator for HIT (ONC) • $85 million for HIT, including telehealth services within Indian Health Services • $1.5 billion for health center construction, renovation, and HIT through the Health Resources and Services Administration • $2.5 billion for USDA’s Distance Learning, Telemedicine, and Broadband Programs • $4.7 billion for National Telecommunications and Information Administration's Broadband Technology Opportunities Program • $1.1 billion for comparative effectiveness research within AHRQ, NIH, and HHS • $500 million for the Social Security Administration • $50 million for HIT within the Veterans Benefits Administration

6. ARRA Impact

7. Fund Providers, Recipients and Use

8. State Activities

9. Implications for Industry

10. Opportunities Federal IT Modernization Data Processing Information Security Information Management Data Warehousing/ Data Storage • State & Local • EHRs • Clinical Information Systems • Information Sharing • Information Security • Records Management • Areas for Investment: • Community health centers • Preventative care • Health research • Construction of health facilities • Major Sectors: • Electronic Health Records • Health Information Exchange

11. But It’s Not Just EHRs and HIEs • Wireless networks • Virtualization • Software as a Service • System integration • Workflow • Security • Storage • Backup/recovery • Data mining

12. Key Players

13. Key Players

14. Positioning for Opportunities

15. Strategy Development • Agency Vendors • Identify potential partners with existing agency relationships • Begin competitive intelligence (e.g., current work, customer satisfaction, solution environment, etc.) • Contract Vehicles • Look to frequently used contract vehicles • Identify potential partners for access to contract vehicles • Develop agency acquisition profiles and type of work contracted • Agency and Department Contacts • Identify who is making the agency decisions • States have created or are recruiting for full time state government HIT Coordinators

16. Resources

17. Finding Opportunities • Grants.gov ARRA Announcements • HHS HITECH Funding Opportunities and HHS Grants and Contracts • HHS Grants Forecast • Centers for Medicare and Medicaid Services Recovery • Department of Labor Employment and Training Administration • Health Resources and Services Administration • NTIA / BTOP • Federal Communications Commission (FCC) • USDA Rural Utility Services (RUS) • National Institute of Standards and Technology (NIST) • National Institute of Health (NIH)

18. Additional Resources • HHS Recovery and Recovery.gov • ONC • HHS Privacy and Security Framework • NHIN Resource Page • The Health Information Management Systems Society (HIMSS) • The American Medical Informatics Association (AMIA) • The American Health Information Management Association (AHIMA) • State Alliance for eHealth • NCSL List of State Stimulus Sites

19. INPUT Features • Tactical & strategic opportunities • Grants • Stimulus knowledge center • Contacts • Organization charts • Market sizing & forecasting • Documents library • Industry news & blogs • Competitive intelligence/teaming • Webinars • Events

20. Conclusions

21. Conclusions • 2010 remains pivotal year • National health IT and broadband plans • Investments will occur in waves • Begins with modernization of current systems and new investments and ends with complete infrastructure transformation • Fed market is primarily established • States convening and coordinating • Great opportunity for EHRs and HIEs • Networking, telecom, IT security, scanning, digitizing, document conversion, training, data storage & warehousing • Strong adjacent market in health care facilities • Facilities modernization, e-medical records, workforce

22. Recommendations

23. Recommendations • Vendor preparation for business opportunities • Human capital • Business arrangements • Marketing activity • Monitor activity at Federal, State & Local level • Strategic plans will dictate where monies go • Align your partnerships and assist in developing plans • Get involved with ground-level discussions • Participate in workgroups to strengthen relationships and potentially impact decisions

24. Recommendations • Consultants will be needed to develop strategic and operation plans for federal approval • Looks to states that have operating plans in place and HIE success • Advisory firms with healthcare expertise can also offer agencies help to undertake their goals • Greater demand for network services, data security, and data management • Technology vendors can also work with architecture, engineering, and design firms with government contracts to integrate HIT into the planning of medical facilities

25. INPUTThe Authority on Government Businesswww.input.com