Hospitals, medical groups urge CMS to reconsider information blocking penalties

The federal government aims to promote the exchange of health information among healthcare entities to enhance patient care. However, hospitals and medical groups express concerns over proposed penalties for blocking information, deeming them excessively harsh and potentially detrimental to smaller providers. The American Hospital Association (AHA) and the Medical Group Management Association (MGMA) urge the Centers for Medicare & Medicaid Services (CMS) to reconsider the penalties, emphasizing that the disincentive structure could jeopardize the financial viability of economically fragile hospitals.

Under the proposed plan by the Office of the National Coordinator for Health Information Technology (ONC), organizations would face disincentives for impeding access to health information. Hospitals and providers could experience reduced Medicare reimbursements, with the AHA citing potential penalties ranging from $30,000 to $2.4 million across eligible hospitals. Critical access hospitals may also face a 1% cut in reimbursements, deemed challenging by the AHA. Both associations request a more defined process to appeal penalties and suggest corrective action plans rather than significant financial penalties. The AHA and MGMA advocate for a delay in implementing the proposal, seeking additional time for review and awareness. The federal government emphasizes the importance of patient information exchange, supporting interoperability through initiatives like the Trusted Exchange Framework and Common Agreement (TEFCA).