What is Meaningful Use?

The American Recovery and Reinvestment Act stimulus package provides incentives for healthcare providers that attain the level of “meaningful use” of their electronic health record systems. In the legislative language, to be an eligible provider for Medicare or Medicaid* incentives, providers must use a certified Electronic Health Record system in a meaningful manner, exchange health information to improve the quality of care (through a health information exchange if available), and report on clinical quality measures. To earn incentives and avoid penalties, providers should meet these requirements by 2015, although those who are successful by 2011 and 2012 will earn the largest incentives.

Target Stages of Meaningful Use by Payment Year

†There will be no incentive payments for those who adopt after 2014, and disincentives will begin in 2015 and will continue through to 2019 at a rate of 1% per year.

Medicare

• Implement a certified electronic health record (EHR) system
• Become a “meaningful user” of the EHR system
• Eligible professionals (nonhospital-based) include: MD/DO, Dentists, Podiatrists, Optometrists, and Chiropractors
• Medicare incentives are capped at 75% of allowable Medicare charges. To obtain the full $18,000, at least $24,000 in Medicare payments must have been made ($24,000 x 75% = $18,000)
• Professionals who predominately furnish services in a health professional shortage area (HPSA) may be eligible for an additional 10%
• Professionals who do not adopt EHRs and become meaningful users by 2015 will have their Medicare payments penalized by 1% in 2015, 2% in 2016, 3% in 2017, and up to 5% in subsequent years
• If the first payment year for an eligible professional is after 2013, the amount of incentive for that year will match that of a professional whose first payment year was 2013

Registration Overview and Requirements

All Providers must:

• Register via the EHR Incentive Program website
• Be enrolled in Medicare Fee-for-Service, MA, or Medicaid (FFS or managed care)
• Have a National Provider Identifier (NPI)
• User certified EHR technology to demonstrate Meaningful Use
• Be enrolled in Provider Enrollment, Chain and Ownership System (PECOS)
• Provide their names, NPIs, business addresses and phone numbers, and Taxpayer Identification Numbers (TINs) to which the incentive payment will be made under the Medicare or Medicaid program selection

Key Resources

• AHRQ Guide to Reducing Unintended Consequences of Electronic Health Records