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Fantasy vs. Facts

Stanley Feld M.D.,FACP,MACE

President Obama is continues to mock the critics of Obamacare who predict failure even as Obamacare is obviously failing.

He knows the media is the message even if his message has nothing to do with the facts.

 

President Obam's first victory lap.

 There had been three failures at the time he declared Obamacare a success this month.

1. The Obama administration announced that accountable care organizations (ACOs) in the Pioneer ACO model and Medicare Shared Savings Program (MSSP) have generated more than $372 million in total program savings for Medicare ACOs over the program’s two-year span.

The details of the Pioneer ACO models’ savings are difficult to follow.

  • An estimated total model savings of over $96 million and at the same time qualified for shared savings payments of $68 million
  • Eleven Pioneer ACOs earned shared savings, 3 generated shared losses, and 3 elected to defer reconciliation until after the completion of performance year three.
  • The organizations showed improvements in 28 of the 33 quality measures and experienced average improvements of 14.8 percent across all quality measures.
  • The mean quality score among Pioneer ACOs increased by 19 percent, from 71.8 percent in 2012 to 85.2 percent in 2013.

 

Can anyone make any sense out of this word salad?

One week later three of the 22 remaining Pioneer ACOs dropped out of the program. The program originally had 32 members. 

The Franciscan Alliance, Genesys PHO and Renaissance Health Network have exited the Pioneer ACO program, which is now in its third year.

Only 19 of the original 32 ACOs remain.

Sharp Healthcare, a San Diego-based health system, dropped out August 2014, saying that the ACO model was “financially detrimental.”

The Mayo Clinic and Cleveland Clinic were invited to be in the Pioneer ACO program but rejected the offer. It was clear to them that ACO’s meant taking on too much uncontrollable financial risk.

The ACOs were supposed to deliver a higher quality of care through their integrated hospital systems. The hospital system would also experience greater profits.

At the onset of the program some hospital systems and integrated medical practices recognized they would lose money and possibly be penalized.

The thirteen integrated systems that quit the Pioneer ACO model recognized their losses after they started the program.

I predicted ACOs would fail and provided detailed reasons. I predicted that ACOs would fail because of the financial risks to the ACO. The job of risk is an insurance issue. A healthcare provider cannot control the confounding variables influencing risk.

“Genesys PHO received a $2.5 million penalty in the program's first year and a $1.9 million penalty in the program's second year (Evans, Modern Healthcare, 9/25; Leventhal/Hagland, Healthcare Informatics, 9/25; Beck, Wall Street Journal, 9/25).”

One could conclude that Genesys’ ACO was becoming an improved integrated better because it experienced a smaller loss the second year. It was not Genesys’ conclusion. It withdrew from the program.

2. Last week President Obama predicted that enrollment in Obamacare increase this year. The web site is fixed and enrollment will be easier.

At the same time at least 300,000 people in last years group of enrollees lost their subsidies or coverage because they did not offer proof of their eligibility by September 30th.

There has been little media coverage of this event. This is not the definition of success.

3. In addition, the insurance industry announced that thousands will lose health insurance their current insurance policy with their employer by the end of 2014.

They will have to apply for which will probably be more expensive through the health insurance exchanges. Insurers are cancelling the private healthcare insurance policies because they no longer make business sense.

Of course, it makes no business sense when the insurance company can make more money from the federal health insurance exchange plans. The Obama administration is guaranteeing the healthcare insurance company’s profit and eliminating its risks.

All this appeared at the time President Obama called Obamacare a success and mocked his critics who predicted failure.

The media is the message. If President Obama can manipulate the media enough he can help the Democrats maintain a majority in the Senate with two more years of Harry Reid control.

I do not think the American public is going to fall for President Obama’s disinformation campaign once again.

I hope not.

The opinions expressed in the blog “Repairing The Healthcare System” are, mine and mine alone.  



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Bigger Problems Ahead For Obamacare

Stanley Feld M.D.,FACP, MACE

Accountable Care Organization are supposed to be the organizations that reduce Obamacare’s healthcare costs.

Accountable Care Organizations (ACOs) were supposed to be operational in 2012 throughout the United States.

ACOs are supposed to provide financial incentives to health care organizations in order to reduce costs and improve quality of medical care. There are too many defects in the ACOs’ infrastructure to improve the financial and medical outcomes.

At a conceptual level, the incentive for ACOs is to increase efficiency and avoid overuse and duplication of services, resources, and facilities. In this model, ACO members (physicians and hospital systems) would share the savings resulting from the coordination and integration of care.

Accountable Care Organizations (ACOs) are not designed to decrease the waste in the healthcare system.

Waste occurs because of:

1. Excessive administrative service expenses by the healthcare insurance industry that provides administrative services for private insurance and Medicare and Medicaid. A committee is writing the final regulations covering Medical Loss ratios for President Obama’s healthcare reform act. The insurance industry regulations are far from curative.

2. The excessive administrative waste in hospitals and hospital systems leading to outrageous nontransparent hospital fees.

3. The lack of patient responsibility in preventing the onset of chronic disease. The obesity epidemic is an example.

4. The lack of patient education to prevent the onset of complications of chronic diseases. Effective systems of chronic disease self- management must be developed.

5.The use of defensive medicine resulting in over testing. Defensive medicine can be reduced by effective malpractice reform.

ACOs are not a market-based system. They do not put patients at the center of their medical care or permit patients to choose their medical care.

The government assigns patients to certain ACOs. The government controls the healthcare dollars and is at the center of patients’ medical care decisions directly and indirectly.

Consumers/patients are the only stakeholders in the healthcare system that can demand that this waste be eliminated. “They with walk will their feet” if given the chance.

Keith Smith M.D. and the Surgery Center of Oklahoma have proven that consumers desire choice and making their own medical care decisions with the Surgery Center’s transparent prices and their light administrative costs.

Patients must control their healthcare dollars and be responsible for their care in order to Repair The Healthcare System.  Consumers/patients will make sure prices become competitive. Patients in control of their healthcare dollars will not allow duplication of services.

In order to truly Repair The Healthcare System a system of incentives for patients and physicians must be created.

 “In theory, ACOs provide financial incentives to health care organizations to reduce costs and improve quality. In reality, given the complexity of the existing system, ACOs will not only fail; they will most likely exacerbate the very problems they set out to fix.”  

ACOs shift the risk of patient care away from the healthcare insurance industry  to physicians and hospital systems.

Most physicians are reluctant to assume accountability for patient outcomes.  Physicians recognize that much of the outcome is directly under the patients’ behavior and adherence to recommended therapy.

ACOs remove the consumer/ patient from being responsible or accountable for their medical care. ACOs undermine any attempt to create a truly accountable healthcare system that can drive down costs.

There are also grave uncertainties and practical issues in distributing savings between the hospital system and physicians. There is a long history of hospital systems taking advantage of physicians’ skills and intellectual property.

Many physicians and hospital systems are concerned about the shifting of risk and the lack of control over this risk.

 “The Mayo Clinic says it will not be part of a critical piece of national health care reform under the government's proposed rules.”

“ The Mayo Clinic announced that the proposed regulations “conflict with the way it runs its Medicare operations.” Mayo treats about 400,000 Medicare patients a year. The bottom line is that Mayo figured out that they would assume too much risk, lose too much money and relinquish too much control over its processes to the federal government.”

ACOs are really HMOs on steroids. There is too much risk that neither physicians nor hospitals can control. Neither consumers or physicians nor hospital system liked HMOs.

 This same sentiment is reflected in statistics released the Leavitt Partners Center for Accountable Care Intelligence. Centers for Medicare and Medicaid Services (CMS) and the Obama administration are spinning these numbers the same way they are spinning the figures for Obamacare enrollment.

Chart 4: Accountable Care Organizations by State; Source: Leavitt Partners Center for Accountable Care Intelligence

Aco by state-Chart-4

 California leads all states with 58 ACOs followed by Florida with 55 and Texas with 44.  ACOs are primarily local organizations, with 538 having facilities in only one state.

 

Chart 5: Accountable Care Organizations by Hospital Referral Region; Source: Leavitt Partners Center for Accountable Care Intelligence

Aco by region-Chart-5

 The number of ACOs, again, is of secondary importance to the number of covered lives.  Nationally, approximately 6 percent of the population is estimated to be enrolled in an ACO.

Chart 6: Estimated Accountable Care Organization Covered Lives by State; Source: Leavitt Partners Center for Accountable Care Intelligence

Aco covered lives-Chart-6

Chart 7: Estimated Accountable Care Organization Covered Lives by Hospital Referral Region; Source: Leavitt Partners Center for Accountable Care Intelligence

Aco covered lives by region-Chart-7

President Obama and his administration must be living in some fantasy world. It does not matter what the Obama administration is saying adoption of ACOs by physician groups and hospital systems is poor.

The call for forming ACOs started in 2010. The government tried to stimulate the formation of ACOs with sizable grants. It has not worked very well.

Many of the formed ACOs are not functioning in a cost effective manner. In ACOs that are sharing cost saving with the government the fighting between the hospital systems and physicians is just beginning.

Patients in ACOs are starting to feel the dysfunction.

The delivery of medical care under Obamacare and the ACOs are in big trouble.

The opinions expressed in the blog “Repairing The Healthcare System” are, mine and mine alone

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“What’s So Great About America?”

Stanley Feld M.D.,FACP,MACE

Last week a reader sent me the link for the full debate between Dinesh D’Souza and Bill Ayers at Dartmouth College on January 30 2014.

Dinesh D’Souza wrote, directed and produced 2016:Obama’s America in 2012’

 It is based on D'Souza's book The Roots of Obama's Rage (2010). Through interviews and reenactments, the film compares the similarities of the lives of D'Souza and President Barack Obama as D'Souza presents his theory of how early influences on Obama are affecting the decisions he makes as president. http://en.wikipedia.org/wiki/Dinesh_D%27Souza

 

The film has grossed over $33.45 million in the United States, making it the fourth highest-grossing documentary (domestically) since 1982.

Those who didn’t see documentary can see it here for free.

https://archive.org/details/ObamaBiography

Recently Dinesh D’Souza has been the subject of a recent IRS probe.

I had read about the debate but never had the time to listen to Bill Ayers.   Bill Ayers is an American elementary education theorist and a former leader in the counterculture movement that opposed U.S. involvement in the Vietnam War.

He is known for his 1960s radical activism as well as his current work in education reform, curriculum, and instruction. In 1969 he co-founded the Weather Underground, a self-described communist revolutionary group that conducted a campaign of bombing public buildings (including police stations, the U.S. Capitol Building, and the Pentagon) during the 1960s and 1970s in response to U.S. involvement in the Vietnam War.

He is a retired professor in the College of Education at the University of Illinois at Chicago. President Obama worked with and for in the 1980s and 1990s as a community organizer. 

 A reader sent me a link to the debate last week and I watched it. It is a worthwhile use of your time.

http://www.realclearpolitics.com/video/2014/01/30/full_debate_dinesh_dsouza_vs_bill_ayers_at_dartmouth_college.html

Obamacare cannot work improve the healthcare system. After listening to Bill Ayers and rereading Saul Alinsky’s thoughts on how to create a socialist state President Obama’s only goal is to control healthcare. If you control healthcare you control the people.   

 According to Saul Alinsky there are 8 levels of control that must be obtained before you are able to create a socialist state.

"The first is the most important.

1) Healthcare — Control healthcare and you control the people

2) Poverty — Increase the Poverty level as high as possible, poor people are easier to control and will not fight back if you are providing everything for them to live.

3) Debt — Increase the debt to an unsustainable level. That way you are able to increase taxes, and this will produce more poverty.

4) Gun Control — Remove the ability to defend themselves from the Government. That way you are able to create a police state.

5) Welfare — Take control of every aspect of their lives (Food, Housing, and Income).

6) Education — Take control of what people read and listen to — take control of what children learn in school.

7) Religion — Remove the belief in the God from the Government and schools.

8) Class Warfare — Divide the people into the wealthy and the poor. This will cause more discontent and it will be easier to take (Tax) the wealthy with the support of the poor.'

 

Read more at http://www.snopes.com/politics/quotes/alinsky.asp#RGukF0aROOEmmdSO.99

 President Obama is using these tactics to control our country and drive it into being a socialist state.

President Obama combines these tactics with Alinsky’s rules for radicals.

Alinsky’s third rule is: “Wherever possible go outside the experience of the enemy.” Here you want to cause confusion, fear, and retreat. He did this to Mitt Romney during his re-elections. Mitt Romney’s people did not know how to handle it. 

The fourth rule is: “Make the enemy live up to their own book of rules. “ You are free to act as you wish.

You can kill your opponent with this, for they can no more obey their own rules than the Christian church can live up to Christianity.

The fifth rule: “Ridicule is man's most potent weapon.” It is almost impossible to counterattack ridicule. Also it infuriates the opposition, who then react to your advantage.

How many times have we seen the President and Vice-President try to ridicule their opponents? They use this rule often in domestic policy but are afraid to use it in foreign policy.

The eighth rule: “Keep the pressure on, “with different tactics and actions, and utilize all events of the period for your purpose.

Pick the target, freeze it, personalize it, and polarize it.”  Doesn’t this sound familiar?

The ninth rule: The threat is usually more terrifying than the thing itself.

 The eleventh rule : If you push a negative hard and deep enough it will break through into its counterside; this is based on the principle that every positive has its negative.

The twelfth rule: The price of a successful attack is a constructive alternative. You cannot risk being trapped by the enemy in his sudden agreement with your demand and saying "You're right — we don't know what to do about this issue. Now you tell us."

 If one studies the lies President Obama has told the public he has gotten trapped by his own pressure on his opponents and could not escape or change the subject.

I will have the most transparent administration in history.  It is not transparent at all.

TARP is to fund shovel-ready jobs. He finally had to admit the jobs were not shovel ready.

I am focused like a laser on creating jobs. Each month job growth was less which is the goal of a socialist society.

The IRS is not targeting anyone. Each cover up statement makes the lie worse.

If you like your healthcare plan, you can keep your healthcare plan, period. This was never the intent.

Benghazi was a spontaneous riot about a movie. Something very bad went wrong here.

If I had a son… T Martin. Stirring racism. It was a mistake.

I will put an end to the type of politics that "breeds division, conflict and cynicism". This was never the intention.

You didn't build that! This was an attempt to make Americans uncertain about their achievement and way of life. It failed and President Obama’s credibility shrank even further.

I will restore trust in Government. All the obvious deception during President Obama’s times President Obama contradicts this statement.

However a good offense is many times the best defense. He tried but failed. Attacking FOX News is was not a good strategy as his credibility waned.

The public will have 5 days to look at every bill that lands on my desk. He never kept his word.

It's not my red line — it is the world's red line. You cannot step away from your commitments when people are depending on you.

Whistle blowers will be protected in my administration. This is another lie and empty promise.

We got back every dime we used to rescue the banks and auto companies, with interest. This is an outright lie. He could not control the auditors. 

I am not spying on American citizens. This is a beauty!

ObamaCare will be good for America. It has been very bad for America. It is going to get worse because Americans do not trust President Obama anymore.

Premiums will be lowered by $2500. Premiums have increased and taxes have been increasing. It has cost Americans much more that the $2,500 they were suppose to save.

People making less than $250,000 a year will not pay one dime more in taxes. This is totally untrue as the middle class is learning..

If you like it, you can keep your current healthcare plan Lie of the year.

It's just like shopping at Amazon. President Obama should have tried himself. I did it and it was tedious. If Amazon was like it I would never use it.

I knew nothing about "Fast and Furious" gunrunning to Mexican drug cartels. You should have known everything. You are President. If you didn’t know about Fast and Furious you were not doing your job.

I knew nothing about IRS targeting conservative groups. You should know everything about IRS targeting. Who would make that decision.

I knew nothing about what happened in Benghazi. You should know everything about Benghazi. It was reported to you instantaneously acoording to you own defense department. None of this is very transparent.

 "I, Barrack Hussein Obama, pledge to preserve, protect and defend the Constitution of the United States of America."

In the light of Bill Ayers philosophy and in light of President Obama’s attacks on the constitution and the Bill of Rights, one could question if President Obama meant his pledge to preserve, protect and defend the Constitution of the United States of America.

The opinions expressed in the blog “Repairing The Healthcare System” are, mine and mine alone.

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We Ain’t Seen Nothing Yet!

Stanley Feld M.D.,FACP,MACE

 

Have a Happy and Healthy New Year Everyone!

I have received many incredible examples about the effect Obamacare has had on the loss of insurance and the increased cost of insurance through Obamacare’s health insurance exchanges.

President Obama has changed the Obamacare law ad lib for everyone except the 14 million people in the individual healthcare insurance market. He has granted waivers to favorites including the unions and the congress. He has delayed the employer mandate without congressional approval.

This was smart. Maintaining the employer mandate would have affected at least 100,000 families. Everyone would have lost their insurance at once.  

The outrage would have been intolerable.

America will wake up one day with a completely unaffordable healthcare system, with rationing of care and long delays in access to care.

This is reality and not naysayer talk. There are so many things wrong with Obamacare that Max Bacchus’s train wreck will be a reality before we know it.

PolitiFact called “If you like your health-care plan, you can keep it.” the lie of the year.

Obamacare was supposed to be a refinement to the current healthcare system minus its waste and inefficiency.

It was going to increase access to healthcare care and make medical care affordable for all. It was going to force the healthcare insurance industry to provide affordable insurance.

It has already made insurance unaffordable to those middle class families who do not qualify for subsidies.

The "sticker shock" that many buyers of new, ACA-compliant health plans have experienced—with premiums 30% higher, or more, than their previous coverage—has only begun.

The costs borne by individuals will be even more obvious next year as more people start having to pay higher deductibles and copays.

President Obama promised that the Affordable Care Act was not going to cost the federal government a dime.

It was going to decrease the federal deficit over ten years by over 1 trillion dollar.

The current CBO estimate is that it will increase the deficit by over 1 trillion dollars. The Affordable Care Act was misnamed. It should be the Unaffordable Care Act.

Obamacare was force down the throat of the American public by the Democratic majorities in both houses of congress. It did not get one Republican vote. Most of the Democrats have admitted they did not read the bill in its entirety.

Nancy Pelosi told America “we have to pass the bill to know what is in it.”

It is now obvious that President Obama was able to pass the bill by feeding everyone a pack of deceptions about the bill and its implications.

It was a magnificent con job.

The deceptions once discovered must not be tolerated by our congressional representatives and senators.

Government is supposed to be by the people, for the people. Consumers did not pay attention to the defects in Obamacare until it started to affect them directly.  

The mainstream media has been sympathetic to President Obama’s lies and deceptions. Now the people are discovering the deceptions and the media is starting to report them.

Now that over 6 million people have lost their insurance coverage, and premiums have skyrocketed Obamacare is affecting the consumers who make under $250,000 a year.

Obamacare has affected consumers financially. There have been significant Obamacare hidden taxes for four years. Obamacare officially starts January 1,2014.

President Obama or his administration has lost the public’s trust because of all the lies and deceptions.

My guess is the media does not know of all the lies and deceptions. The media also does not understand all the defects in Obamacare.

The Obama administration launched a $685 million dollar public relations campaign to disguise the impending Obamacare disaster.

The disastrous website (healthcare.gov) is only the tip of the iceberg.

The web site is incomplete and not secure. It was written using obsolete code at a cost of $650 million dollars. The $650 million dollars is $649 million dollars over what it should have cost according to some sources.

 There remains much work to be done before it is fully functional.

The healthcare insurance industry is becoming fed up with all the constant changes in the rules the Obama administration is making.

 The healthcare insurance premiums on the health insurance exchanges are higher than last year’s commercial insurance. The patient deductibles for these policies put them out of affordable range for the middle class.

It will be a fair deal for consumers with families who earn up to $49,000 per year. This group will qualify for various levels of subsidy. It is a terrible deal for everyone making $50,000 to $250,000 dollars a year.

The 6 million people losing their insurance coverage started American’s wake up call. 

President Obama said their healthcare insurance coverage was defective and inadequate.

 The subtext is the government will decide what you need.

Those who expect better days ahead for the Affordable Care Act are in for a rude awakening. The shocks—economic and political—will get much worse next year and beyond.

In 2014, millions must choose among unfamiliar physicians and hospitals, or paying more for preferred providers who are not part of their insurance network. Some health outcomes will deteriorate from a less familiar doctor-patient relationship.

Those who expected better and more affordable medical care with the government as single party payer will experience tax increases both obvious and disguised and worse medical care.

 The government does not know how to run things efficiently.

The other defects in Obamacare that will shock the nation and hurt all consumers in the near future will be;

  1. The lack of functional electronic medical records and transportability of patient medical information.
  2. Increased paralyzing and incomprehensible regulations for physicians and hospitals leading to patient care delays.
  3. The lack of development of Accountable Care Organizations for integrated care with penalty. ACO’s were suppose to save money but are failing.
  4. The inability of Obamacare to facilitate timely and cost effective medical care.
  5. The decrease in physician practitioners signing up to accept Obamacare leading to an increased physician shortage and decrease in consumers’ access to care.
  6. The lack of tort reform will result in an increase in defensive medicine testing. Physicians and hospitals will refuse to participate in Obamacare. They will demand direct payment from the patients.
  7. The new ICM 10 coding system will drive physicians and hospital out of business and certainly out of participating in Obamacare.
  8. Lack of compelling chronic disease management initiatives will not increase quality of care or decrease the cost of care. The cost of treating chronic disease complications account for 80% of the cost of care.
  9. More Web Site and IT failures are likely. The application process is easier.The complex back-office side of the website—where the information in their application is checked against government databases to determine the premium subsidies and prices they will be charged, and where the applications are forwarded to insurance companies—is still under construction.
  10. Consumers will experience problems in eligibility, coverage, billing, claims, insurer payment and patient information-protection and security.
  11. Obamacare has taxpayer-funded "risk corridors." The risk corridors will bailout potential insurance company losses without bailing out consumers, physicians and hospitals. The bailout could result in an increase in taxes, collapse of the healthcare system, the medical care system and the economy.

The bailout will certainly result in a level of consumer anger worse that the anger caused by 5 million people losing their healthcare coverage.

 One hundred and eighty million people might loss their coverage within a year.

 Obamacare misses the entire point about the way to repair the healthcare system.

 The point is about giving consumers incentives to be responsible for themself and controlling their own healthcare decisions. Most consumers do not want to be dependent of the government.

Americans will take government handouts but as soon as they realize they are being dictated to and controlled by the government there will be a public outcry.

Consumers are much smarter than President Obama thinks.

Unfortunately there is much more money to be wasted and grief that the public is going to experience in the coming year. At that point America’s view of Obamacare will reach the boiling point.

Only then will we experience real healthcare reform.

 

The opinions expressed in the blog “Repairing The Healthcare System” are, mine and mine alone.

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Permalink:

Pure Genius Or Pure Stupidity?

Stanley Feld M.D.,FACP,MACE

President
Obama’s actions as leader of this country have been either pure genius or purely
stupid.

I think it
is pure genius. He promised Americans he was going to fundamentally change
America. He has!

Americans
have been under stress during the last few weeks. First it was the government
shutdown. Now it is the nation going into default. It is common knowledge the
shutdown and default is political theater.

President
Obama has run circles around Republican in the game of political theater.

The
traditional media has ignored the underlying causes of America’s problems.

We are increasing
debt to the point of unaffordability. The only way out is to increase taxes
further or decrease government spending while lowering taxes.

Increased
deficits are not good. Deficit increases devalues our currency. America’s currency
has already been devalued by the Federal Reserve increase in printing money.

Increasing
taxes leads to decreased jobs creation. Decreased employment leads to decreased
discretionary spending. The result is decreased economic growth.

Rather
than trying to decrease spending rationally by increasing government
efficiency, President Obama has closed down silly things to make it most painful
and noticeable to the public. These noticeable services have little overhead.
These closures are not an example of reducing inefficient spending.

In the
meanwhile his administration has spent over $600 million dollars for a health
insurance exchange software program. The program is poorly designed and does
not have an integrated back end.

Even if
the software was great, the cost of healthcare insurance through the exchanges
is increased and out of reach of the individual buyers.

 The cost of insurance is cheap for the poor who
qualify for government subsidies. The poor will receive a tax credit which will
be credited to the insurance company whose policy the poor person buys.

The math
is grotesque. If a healthcare policy costs $10,000 and a patient makes $30,000
dollars a year, he pays only 2% of his net income for the policy or $600 per
year. The taxpayer pays $9,400 a year for that policy.

This is
an example of hidden “redistribution of
wealth
” and another entitlement.

The
Obama administration has waived the verification requirement for receiving a health
insurance exchange subsidy. Verification of need does not have to be fulfilled
by the health insurance exchanges. Anyone can lie and receive a subsidy to
purchase healthcare insurance threw an exchange.

Another
big mistake was the design of the roll out to promote electronic medical
records. After 4 years only 11% of these records are functional. Physicians have
spent money for EMRs they could not afford. Hospital systems spent money they
could not afford. The government wasted $30 -60 million dollars of taxpayers
money in the unsuccessful effort to implement EMRs.

America
is a long way away from being computerized with a functional EMR.

Accountable
care organizations (ACO) are another important cog in Obamacare’s success or
failure. The administration brags about the fact that 250 ACOs are in
development.

There
are over 5,000 ACOs that need to be developed. A premier organization such as
the Cleveland Clinic had to drop out of the program because of the cost to the
institution. The Mayo Clinic refused to participate.

At the
same time ACO’s are turning out not to be cheaper or have better outcomes than
traditional medical care.

ACOs
were supposed to improve quality. ACOs were supposed to be a free market
solution to the dysfunctional healthcare system.

The
administration has been bragging about the greatness of the VA system. The
bragging stopped when the system’s poor quality of care was exposed. Veterans
are receiving poor treatment.

Everyone
would certainly have to admit Obamacare has been disruptive to the delivery of healthcare
in America.

The
months of healthcare insurance open enrollment for people is starting. People
are starting to see massive increases in their healthcare premiums. In order to
avoid these premium increases and the Obamacare penalties, large organization
such as Home Depot are hiring only part time workers.

The
Obama administration has developed a low cost insurance plan for the McDonalds
of the world. These health insurance policies cost little a cover less.

President
Obama has also provided waivers for congress and its employees. He is at
present trying to sneak in waivers from Obamacare to unions.

First, there was the delay of
Obamacare’s
 Medicare cuts until
after the election. Then there was the delay of the law’s employer mandate. Then there was the announcement,
buried in the
Federal Register, that the administration would delay
enforcement of a number of key eligibility requirements for the law’s health
insurance subsidies, relying on the “honor system” instead. Now comes word that another
costly provision of the health law—its caps on out-of-pocket insurance
costs—will be delayed for one more year.”

 The
Obama administration has issued a blizzard of mandates and regulations. These
regulations have increased the cost of health insurance.

The caps
on out-of-pocket insurance costs, such as co-pays and deductibles have not been
publicized. On January 1, 2014, deductibles were supposed to be limited to $2,000 per year for
individual plans, and $4,000 per year for family plans.

In
February 2014, the Department of Labor published a little-noticed rule delaying
the cap until 2015. The costs of these deductible limits were already built into
the 2014 healthcare insurance premiums and were not removed.

The
government did nothing to reduce the increased healthcare premiums after the
limits did not apply.

 “Federal officials said that many insurers and
employers needed more time to comply because they used separate companies
to
help administer major medical coverage and drug benefits, with separate limits
on out-of-pocket costs. In many cases, the companies have separate computer
systems that cannot communicate with one another.”

“We
had to balance the interests of consumers with the concerns of health plan
sponsors and carriers.”

How is it in the consumers’ interests to pay far
more for health insurance than they do already?

I have a theory.

President Obama’s ultimate goal is to have a complete
government takeover of the healthcare system. A takeover the government cannot
afford.

He figures by creating as much chaos as possible
now in the “not so free market healthcare system”, he can declare the free
market healthcare system has failed.   

There will be a resulting public outcry for the
government to help and take over the system.

The takeover will be with a single party payer
system.

What are the chances a government takeover will
result in an efficient, cost effective system that will provide access to care
without rationing of care while being affordable?

With all the delays, exemptions and regulations,
it looks as if Obamacare is destined to fail. Obamacare is going to be
impossible to execute effectively.

Obamacare’s ultimate failure is playing right
into President Obama’s     ideological goal
of a single party payer system.

President Obama is not stupid. He is a genius.

The opinions expressed in the blog “Repairing The Healthcare System” are, mine and mine alone

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Permalink:

Hospital Systems Are Finally Realizing There Are Problems With Obamacare

Stanley Feld M.D.,FACP, MACE

Hospital systems loved the prospect
of Obamacare. Physicians would be forced into full time salaried hospital
system positions. Hospital systems would own physicians’ intellectual property
and surgical skills.

Physicians would be the hospital
systems’ cash cow. Its brick and mortar model was failing. Surgery and recovery
from surgery was improving. Length of hospital stays was decreasing.

The problem hospital systems were
discovering was that physicians were not as productive when salaried as they
were when they owned their own practices.

Surgery was being performed as
outpatient surgery in freestanding surgery centers. Physicians own most of
these surgery centers independent of hospital systems.

The advantage of these outpatient
surgery centers to patients is they are cheaper, price transparent and have
comparable outcomes.


The healthcare insurance industry has
even encouraged their use. The Obama administration doesn’t like them because they
encourage patient choice and independence.
This is the opposite of Obamacare's goal of government dependence and control of patient choice.

Hospital systems thought Obamacare
would provide millions of newly insured patients. This would translate to
higher profits for the hospital systems.

Obamacare’s supposed
goal was
improving access to care for low-income families and individuals. Hospital systems were led to believe that they would treat more
patients with health insurance through expanded Medicaid eligibility.

With the
introduction of health insurance exchanges, low-income individuals would be
able to purchase healthcare insurance coverage at a subsidized rate.

The subsidy would
come in the form of a tax credit. Hospital systems did not realize that low-income
families do not pay taxes so they would not pay any tax to apply a tax credit.
These families making up to $38,000 dollars a year could not afford the lowest
insurance of $12,000 dollars a year. They would opt to not buy the health
insurance exchange offerings.

The health
insurance exchanges would not reduce the amount of uncompensated care provided
by the nation's hospitals.

Suddenly hospital
systems realized that their hospital consultants were wrong.  While it sounded good on paper, many hospital
finance administrators are terrified that Obamacare will result in a hospital
system taking great losses as a result of decreased reimbursement and a
decrease in the promised insured population.

Tim
Nguyen, corporate controller at Palomar Health, a San Diego–based system with
690 licensed acute care hospital beds and $2.5 billion in gross annual revenue
,
says there is a catch-22 built into the healthcare legislation that will
ultimately hurt hospital systems.”

 There is another catch to Obamacare. I cannot
tell if this was an unintended consequence or purposeful deception by the Obama
administration.  The exchanges will have
different tiers with different deductibles and copays.

California's
health exchanges will have four tiers when the program goes live in January
2014, Nguyen explains: platinum (where the patient pays 10% of total healthcare
expenses); gold (20%); silver (30%); and bronze (40%).”

"These
patients will still be responsible to pay
, and they probably don't make that
much money and are likely to choose the silver or bronze tier to keep the
premiums low. … That will increase our bad debt even though they have
insurance."

The low- income
families will believe they have good insurance coverage. If they get sick they
will be responsible for the high deductibles and co-pays.

If they choose to buy
the insurance they will use the hospital facilities without realizing that the
insurance does not cover everything.

 After hospitalization
they will be hit with a bill they cannot afford. The hospital system will
pursue payment but will not be able to collect. The hospital will have to write
it off.

 There is total
uncertainty about the rules. However, before a hospital system should accept
the program they should know the rules. Their participation can ruin them financially.

Marlene Zurack is senior vice president of
finance and chief financial officer for New York City Health and Hospitals
Corporation (HCC). HCC is a municipal integrated healthcare delivery system
with $7.1 billion in total operating revenue when combined with HHC's MetroPlus
health plan.

HCC cares for indigent and low-income
patients. It is subsidized by the Medicaid's Disproportionate Share Hospital
program.


She is doubtful that the insurance exchanges
will result in a net benefit to her organization. She insures 1.4 million
people. The systems treat 475,000 uninsured patients. She has two problems with
the health insurance exchanges.

She does not know how many of the uninsured
will get insurance, what level of insurance will they buy and how much of a
difference the insurance payment is from the Medicaid's Disproportionate Share
Hospital program.

“HHC
is likely to lose revenue in the end
, Zurack says, due to cuts being made to
Medicaid's Disproportionate Share Hospital program, which distributes payments
to qualifying hospitals that serve a large number of uninsured individuals.”

In
reality, Zurack says, the cuts will be extremely damaging to hospitals that
serve this population.

New York City Health and Hospital Corporation
is scheduled to lose $17.1 billion dollars between 2014 and 2020 due to federal
cuts In the Medicaid Disproportionate Share Hospital program.

Obamacare is becoming a reality. Hospital
systems such as HCC are realizing the financial impact of Obamacare.

Accountable
Care Organizations are Obamacare’s signature tool to improve access to care and
decrease the cost of care.

The promise to hospital
systems’ is that by increasing efficiency ACOs could increase hospital systems’ profit.

Incorporated into the ACO scheme
is profit sharing with the government if there are reduced costs. Included is
reduction in payment if costs exceed benchmark costs.

Only 10% of hospital systems
have signed up in the last two years. The Obama administration has done a lot
of bragging about enrollment
.

Originally there were thirty-two “Pioneer”
hospital systems. The Mayo Clinic and the Cleveland Clinic rejected being
Pioneer participants. The goal of ACOs is to develop integrated care delivery
systems.

Last week 9 of the original 32
Pioneer ACOs withdrew from the original program.
CMS gave no explanation for
them leaving.

I believe they realized they
couldn’t integrate their delivery system the way the government wants.

They cannot make any money
participating in the Medicare Shared Savings Program.

Seven of the nine are applying to transition
to the Medicare Shared Savings Program, while two are abandoning the program
completely. CMS declined to identify which ACOs are leaving the Pioneer program
and which are simply shifting to the MSSP.

 The nine departing
ACOs are
:

  • Prime Care Medical Network Inc., an IPA-based ACO serving San
    Bernadino and Riverside counties in California.
  • University of Michigan Health System in Ann Arbor.
  • Physician Health Partners LLC, a medical management company in
    Denver.
  • Seton Health Alliance, a network of providers comprised in the
    11-county Austin area.
  • "Plus ACO," a partership between North Texas Specialty
    Physicians and Texas Health Resources
  • Healthcare Partners Nevada ACO LLC, a multispecialty medical
    group and IPA serving Clark and Nye counties in Nevada
  • Healthcare Partners California ACO LLC, a multispecialty medical
    group and IPA serving Los Angeles and Orange counties in California.
  • JSA Care Partners LLC, a primary medical group and IPA serving
    the Orlando, Tampa and South Florida area.
  • Presbyterian Healthcare Services, an integrated delivery system
    serving the Albuquerque area.

 “Plus
ACO”, a partnership between Texas Health Resources and North Texas Specialty
Physicians
, has plans to leave the Pioneer ACO program by mid-August, but the
two organizations say they are open to "remaining in the Pioneer ACO
program if we can find an economically viable way to do so."

 ACO’s are doomed. Obamacare is falling apart.

President Obama immediately went on the campaign
trail telling the country how great Obamacare is already.  

 
 

http://youtu.be/Kyv8ZRkXnfU?t=58s

He continues to ignore problems with Obamacare’s implementation
and costs. He has no regard for America’s financial stability.

Americans’ are starting to understand his attitude.

 The opinions expressed in the blog “Repairing The Healthcare System” are, mine and mine alone

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Permalink:

An Interesting Unintended Consequence of Obamacare

Stanley
Feld M.D.,FACP , MACE

 The Obama administration has encouraged local hospital systems
throughout the United States to consolidate physicians practicing in their
hospitals.

Hospital systems have found this attractive. There has been a
movement to buy physicians’ practices and then pay physicians a salary.
This
has been encouraged by the Obama administration because someone in the
administration believes this will encourage physicians to stop over testing.

Hospital systems love it because they understand that brick and
mortar facilities are not worth as much as they use to be. If they own
physicians’ intellectual property in the form of primary care physicians and
skills in the form of surgeons, the value of the hospital system increases. 

It has not worked out as well as many hospital systems would
like
because when physicians worked for themselves they were more productive
than when they worked for the hospital system.

The Obama administration also believes that it can bundle the
payment of a treatment and share the savings with the hospital system if the
treatment costs less. If the treatment uses more assets and costs more the
hospital system will not be paid.

In other words, the government and the healthcare insurance
industry want to offload the risk of treatment to the hospital system. They
administration thinks this will force hospital systems to deliver a better
quality of care. You may recall quality of care has not been defined
adequately.

The example often used is the non-payment for hospital
readmissions within thirty days.

This policy doesn’t work because reasons for hospital
readmissions are multifactorial. Many of those factors are uncontrollable. One
hospital system can also divert the patient to another hospital system or treat
the readmitted patient in the emergency room.

The Obama administration is encouraging Accountable Care
Organizations
. There are so many problems in forming, administrating and
managing ACOs that they are destined to fail.

Anyone reading the administration’s propaganda would not think
so, but it is true, and as time goes on it will become apparent.

Finally, hospital systems and physician groups are realizing the
negotiating power they are accumulating by consolidating and integrating
physicians’ practices.

Consolidation is not good
for the patients. It is great for the hospital system and the large independent
physician specialty groups. Physicians who have sold their practices to
hospital systems will not do so well because the hospital systems are in
control of the collections and salaries.

Large medical specialty groups are negotiating with Obamacare’s
new healthcare plans. These providers are demanding, and in some cases
securing, pretty rich reimbursement rates from the new Obamacare health plans.

It is the same thing that happened in the 1980’s when HMOs
negotiated high reimbursement deals with medical and surgical specialists the
HMO wanted in the group.
The HMO’s reasons were to promote the HMO’s brand and
to get better medical results for the patients they had enrolled.

“To take care
of patients that will be covered by the new insurance scheme
, these providers
are requesting payment rates that are higher than what they're being offered by
Medicare. Some providers are even insisting on premiums over what they're paid
by the existing private, employer-based health plans.”

Hospital systems in a town they dominate are doing the same
thing. The result will be an increase in the costs to the government and the
healthcare insurance companies. They will pass the increased costs on to the
consumers.

“Some of the
Obamacare plans, stuck in markets where there are few competing groups of
providers to choose among, are being forced to accept these high prices.”

The Obama administration told us, at the passage of Obamacare,
that providers would be discounting to get the volume of business that
Obamacare offered as the new legislation banded large groups of patients into
statewide insurance pools.

The defective central premise was that Obamacare would entice
providers to take lower reimbursement because of increased volume.  

“The people
that now seem most likely to enter these state-based insurance pools, and buy
the new coverage, represent a costly mix of patients with a lot of pre-existing
medical conditions. The volume is also unlikely to materialize.”

Obamacare has tripped over its central premise. It is not going
to lower costs. It is going to raise costs.

Obamacare has stimulated the consolidation of hospitals and
physician groups that's now rampant in healthcare. This consolidation is
starting to give providers leverage over Obamacare’s health plans.

This unintended consequence of Obamacare was obvious to most
healthcare policy thinkers who believe that control and planning do not work.
Unfortunately, President Obama did not listen to them.

The other thing President Obama did not listen to is that Health
Maintenance Organizations (HMO’s) of the 1980 and 1990s did not work. Obamacare
is a HMO on steroids
.  

 “Under the scheme, doctors are paid lump sums of money to care
for large groups of patients.

The idea is to put the financial risk on the doctor for the
cost of the medical care that they deliver
. This was a central premise for how
Obamacare would put financial pressure on providers as a way to help to lower
healthcare costs.”

Physicians and Hospital Systems have been to this movie before. 

Hospital Systems are making believe they are taking Obamacare’s
financial bait. They are using the concept to frighten physicians and buying
local medical practices.

Hospital systems’ goal is to get a geographic monopoly then take
advantage of the negotiating monopoly. Physician groups especially specialty
groups will stay independent of hospital systems, integrate practices and get
in a negotiating reimbursement.

This will increase the cost of medical care. Everyone knows all
healthcare is local. Central control of healthcare is innately flawed. 

This is one of the many defects in Obamacare’s structure.

Obamacare has dismantled the last vestiges of local competition
among physicians for patients.

Now Obamacare will have to deal with the physician and hospital
system cartels it has created.

 The victims in all of this are patients
and the cost of patient care.

The Obama administration’s public service campaign is starting
to sell Obamacare’s virtues to young people through the NFL, NBA and major
league baseball. It is also signing up non suspecting consumers at supermarkets and churches.

Good luck. I think everyone is starting to catch on.

The opinions expressed in the blog “Repairing The Healthcare System” are, mine and mine alone

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Permalink:

Surprises For Physicians Coming With In Health Insurance Exchanges

Stanley Feld M.D.,FACP, MACE

 Two
important components of Obamacare are Accountable Care Organizations (ACOs) and
Health Insurance Exchanges (HIEs).


The
adoption of both by medical communities and the states has been slow for good
reason.

I have
discussed the difficulties of setting up and the executing effective Accountable
Care Organizations
.

Some hospital systems are trying to set up ACO’s. These hospital systems
are buying up physicians’ practices and trying to develop integrated care
organizations.

The hospital systems are buying the physicians’ intellectual property and
surgical skills sets. It will not work once physicians realize what happened.

The relationship between community hospital systems and practicing
physicians had always been tense. Physicians do not trust hospitals and hospitals
do not trust physicians.

Some physician groups are trying to develop their own ACOs. They are trying
to convert hospital systems from being providers of patient care to vendors for
their physician ACO.

If there are two hospitals in a community or town the hospital systems
might become competitive.

The huge problem for physicians is the assuming of risk. If healthcare
insurance companies cannot manage risk, why would physicians think they can
manage risk?

 A variable that cannot be controlled
in managing risk are patients. With all the obesity and the increase in
diabetes mellitus it seems patients do not have the incentives to manage their
own risks.

 Patients and physicians must be provided with appropriate financial
incentives if there is the slightest chance of managing risk and decreasing the
cost of healthcare.

 The adoption of ACOs has been slower than the Obama administration has anticipated.
  

 Adoption
of the Health Insurance Exchanges has been slow by states. Some states
recognize the financial risk the Obama administration is trying to force on
them.

This
risk is ever present even if the federal government is going to pay the entire
bill for the first three years.

As soon as physicians realize
the risk the Health Insurance Exchanges are going to impose on them, they will
not be willing participate.

These risks become more
apparent will each succeeding release of regulation.

Kathleen Sebelius said it two
weeks ago when she said there would be plenty of surprises ahead for physicians.

Health
and Human Services Secretary Kathleen Sebelius, who told a gathering a few
weeks ago at the Harvard School of Public Health that she has been
"surprised" by the political wrangling caused so far by Obamacare,
there are likely to be plenty of surprises ahead.”

Physicians could face dramatic
financial challenges for treating patients who receive health coverage through
the Affordable Care Act's (ACA) Health Insurance Exchanges starting next year.

Insurance companies will not
process claims on patients who haven't paid their premiums in 3 months
, leaving
doctors on the hook to recoup payment directly from the patients.”

Obamacare provides a 3-month grace
period to individuals who haven't paid their premiums for insurance purchased
through the Health Insurance Exchanges.

This provision will prove to be a
problem for physicians.

In Obamacare patients who fail to
pay their premium are free to sign up for another plan provided by the Health Insurance
Exchange.  

They can also start seeing another
physician without the insurance company or new physicians being aware of the
patient’s delinquent premium record.

"Why would a doctor sign up to treat these patients] if
they're going to be completely at risk and have to collect from the patient
directly for their care?"  "This
is a really bad provision in the bill, and we've got to get it fixed."


Under traditional insurance provided
by employers, the plan is still liable for paying doctors even if the patient
or employer hasn't paid their premiums,

Under the health insurance exchange
the individual is responsible for their monthly premium. If the patients
discontinue payment of their premium the healthcare insurer is not obligated to
pay the physician for the care provided.

Most of the time patients have stopped
paying premiums because they cannot afford them. Patients buying healthcare
insurance from the Health Insurance Exchanges are lower income producing
patients. 

 The
expected annual, out-of-pocket cost for an individual is estimated to be around
$6,400 and $12,800 for a family. This is not an insignificant expense for low
wage earners.

Recent premium estimates indicate
that the premium will be higher. This could be one of the surprises Kathleen
Sibelius is referring to.

Another potential shortcoming of the
Health Insurance Exchange is the reimbursement rates provided to physicians.
The Obama administration believes Medicaid rates are sufficient.

I wonder if any of President Obama’s
healthcare policy wonks ever questioned why so many physicians do not accept
Medicaid.

The answer is simple. The
reimbursement rate is less than the physicians fixed overhead to see the patient.

Medicaid physicians are driven to
see many patients a day to try to make a living.

It would be difficult maintaining a
physician patient relationship and a high quality of care seeing over 100
patients a day.

When their overproduction is
discovered these physicians are investigated for fraudulent practices.

 The rates the healthcare insurance industry
will pay physicians will not be set until late summer.

The big provider groups are negotiating with plans on their
payments. Small groups will only get a "take it or leave it" contract
from the health plans.

It seems obvious that fewer
physicians will sign up to accept patients receiving coverage through the
Health Insurance Exchanges once physicians understand what Obamacare is doing.

 This will result in a further physician
shortage.

 The simple question is what is Obamacare
trying to do to the healthcare system?

 Is Obamacare trying to destroy the
healthcare system?

 The opinions expressed in the blog “Repairing The Healthcare System” are, mine and mine alone

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Permalink:

EMRs Real Politics.

Stanley Feld M.D.,FACP,MACE

 

Dr. Jerome Groopman and Dr.Pamela
Hartzmen uncovered the real politics of EMRs.
 They are both on the staff of Beth
Israel Deaconess Medical Center in Boston and on the faculty of Harvard Medical
School.

 Dr. Groopman wrote a best seller “How
Doctors Think.”

In a Wall Street
Journal article they wrote,

 The electronic medical record (EMR) is touted
as the key to containing costs, reducing errors, improving quality, and
simplifying administration: an “elegant exercise in wishful thinking

Dr. Groopman and Pamela Hartzman debunk the 2005 RAND study. The
RAND EMR study of 2005 led to President Obama’s belief that EMRs will save $81
billion dollars a year for the healthcare system.

Groopman and Hartzman show that there is little evidence to
support the president’s belief.

The RAND analysts claim that more than $350
billion would be saved on inpatient care and nearly $150 billion on outpatient
care over a 15-year period of time.

Unfortunately, data from three other studies, a cardiology
group, a Harvard group and Canadian group showed there is no savings difference
between paper records and electronic records.

Dr. Groopman claims the RAND study is self-serving to EMR software
companies that sponsored the study.

 

 Allscripts
Healthcare Solutions
, the Cerner Corporation and Epic Systems of Verona, Wis. are the major EMR software companies.

 In February 2009, after years of behind-the-scenes lobbying by
Allscripts and others, legislation to promote the use of electronic records was
signed into law as part of President Obama’s economic stimulus bill.

“But today, as doctors and hospitals struggle to make new records
systems work, the clear winners are big companies like Allscripts that lobbied
for that legislation and pushed aside smaller competitors.”

At Allscripts Healthcare
solutions, annual sales have more than doubled from $548 million in 2009 to an
estimated $1.44 billion last year.

At the Cerner Corporation of Kansas City, Mo., sales rose 60 percent during that
period.  

“Current and former industry executives say that
big digital records companies like Cerner, Allscripts and Epic Systems of
Verona, Wis., have reaped enormous rewards because of the legislation they
pushed for.”

Unfortunately, many of the
EMR systems bought by large hospital systems and physician practices are not
fully functional. They do not fit the administration’s criteria of meaningful-use
EMRs. These EMRs are requiring additional hospital systems and physicians;
practices outlays of cash to make them fully functional.

Panama
City-based Pain Clinic of Northwest FL filed a purported class action lawsuit
on Dec. 20, 2012 against Chicago-based Allscripts (NASDAQ: MDRX).

“The purported class action
lawsuit says that about 5,000 small group physicians were sold an EMR called
MyWay from 2009 until late last year, when the company stopped supporting the
product.”

“The company was also hit with
a federal shareholder class action securities fraud lawsuit in the Northern
Illinois District last year over allegations that it misled investors about the
performance of its EHR programs.”

 The MyWay EMR cost about $40,000
per physician. ThePain Clinic of Northwest Florida claims it was misled by
Allscripts Healthcare Solution.  The
Clinic stated that MyWay has “shortcoming
and inherent defects,”  

The
complaint says Allscripts was unable to obtain “meaningful use” bonus status
for MyWay because of the problems with the program. The lawsuit claims that

 “Allscripts has been unjustly enriched by
retaining the money paid by MyWay purchasers and users without delivering an
EHR software product that performs as it was intended to work,”

 These costs are always
passed on to the consumer
. Drs. Groopman and Hartzman  go on to say,

The
president and his health-care team have yet to address these difficult and
pressing issues.

 Our culture adores technology, so it is not
surprising that the electronic medical record has been touted as the first
important step in curing the ills of our health-care system.

But
this notion is an overly simplistic and unsubstantiated part of the solution.


It is important to note Drs. Groopman and Hartzman’s total
and refreshing frankness.

“We both voted
for President Obam
a, in part because of his pragmatic approach to problems,
belief in empirical data, and openness to changing his mind when those data
contradict his initial approach to a problem”.

We need the
president to apply
scientific rigor to fix our
health-care system rather than rely on elegant exercises in wishful thinking.”

Please note that Drs. Groopman and Hartzman said it not
me.

In
a new study The RAND Corp has backed off on its 2005 study earlier this year
and withdrew its estimate of saving to the healthcare system of $81 billion
dollars annually.

In the
RAND Corp’s view, the disappointing performance of health IT to date can be
largely attributed to several factors:

 

  1.  “Sluggish
    adoption of health IT systems
  2.   Coupled
    with the choice of systems that are neither interoperable nor easy to use;
  3.   The
    failure of health care providers and institutions to reengineer care processes
    to reap the full benefits of health IT.
  4.  We
    believe that the original promise of health IT can be met if the systems are
    redesigned to address these flaws by creating more-standardized systems that
    are easier to use,
  5.  EMR are
    truly interoperable,
  6.  Afford patients more access to and control
    over their health data.
  7.  Providers must do their part by reengineering
    care processes to take full advantage of efficiencies offered by health IT, in
    the context of redesigned payment models that favor value over volume.”

 

It should not be a blame game.

General Electric sponsored this new RAND study.  It is important to note that GE is a major
Allscripts competitor.

There is true value in the EMRs to patient care. However the
focus of the marketing and development is on the wrong customer.

The RAND still does not get it. Perhaps
it does not want to get it.

EMRs should be for the benefit of physicians and their
patients. It must be at a price physicians can afford to pay. It should not be
for the benefit of the government, the healthcare insurance industry and
hospital systems.

It should be a tool to
continually educate physicians and patients. It should not be a tool used by
secondary stakeholders to penalize physicians and patients.

Patients and physicians control My Ideal Electronic Medical
Record. It should be seriously considered to achieve the maximum benefit of EMRs’
potential.

I believe it would be of value to interested readers to go
to this link.

 http://www.lijit.com/search?uri=http%3A%2F%2Fwww.lijit.com%2Fusers%2Fstanleyfeld&start_time=&p=g&blog_uri=http%3A%2F%2Fstanleyfeldmdmace.typepad.com%2F&blog_platform=&view_id=&link_id=7386&flavor=&q=Idel+Electronic+Medical+Record+%28EMR%29&x=33&y=6.

 Those articles will
not only describe the problems with EMRs, problems which I have predicted and are
now recognized. These articles will also outline real  solutions to having universal adoption of
EMRs.

The opinions expressed in the blog “Repairing The Healthcare System” are, mine and mine alone

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