Certain changes to federal law through the American Recovery and Reinvestment Act of 2009, or ARRA, now provide incentives for hospitals and health care providers to adopt electronic health records, or EHR. However, for many eligible providers, this may not yet be incentive enough. This article will summarize the changes and state of the law relative to EHR.

ARRA

Among its numerous other aspects, ARRA included provisions for monetary incentives to health care providers (including eligible professionals, hospitals and critical access hospitals) to utilize EHR in their medical practices or in hospitals. Qualified providers obtain the incentive through increased payment on Medicare or Medicaid reimbursed services. Pursuant to ARRA, providers who fail to implement EHR in their practices by the year 2015 will be penalized by receiving a reduced payment for Medicare reimbursed services.

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