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Health 2.0 DC: Passion and Execution at Scale

Leave it to others to point out this city’s shortcomings. The Washington, DC, I know draws in the best & brightest, engages in debate, and gets things done.

Tim O’Reilly recently said that within the federal government he has found “an intense passion among people trying to make change.”  Todd Park, CTO of HHS, expanded on that theme yesterday as he described his federal co-workers as just as smart, just as creative, and just as entrepreneurial as anyone he worked with in the business world.

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Tufts Summer Institute on Web Strategies for Health Communication, July 18-23, 2010

Picture 4  Many healthcare organizations who are trying to reach healthcare consumers share these problems: “our website hasn’t been updated in three years”; “we set up a Facebook page but don’t know what to do with it”; and “what exactly is Twitter and how do we use it?” With 61% of American adults looking online for health information [Pew, 2009], healthcare organizations need a Web strategy and healthcare professionals need to understand the latest technologies to plan and execute health communication initiatives. There can be a risk in not embracing the Web if other health organizations are and if healthcare consumers expect it.

Yet it is difficult to decide which of the rapidly evolving Web technologies to select and how to use them to provide effective health communication, especially as part of a coherent Web strategy. This course covers how to develop and implement a Web strategy to drive a health organization’s online presence, specifically the processes for selecting, using, managing, and evaluating the effectiveness of Web technologies for health communication. The course will use case studies from organizations to illustrate initiatives with a discussion of what worked and the recommended improvements and will work in small teams on a Web strategy redesign for Harvard Health Publications.

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The Axis of Evil

By crickets.

It seems that some saw me as one who (gasp) trusted the pharmaceutical companies to do something good.  Has Dr. Rob lost (what’s left of) his mind??  Drug companies do everythingwith themselves in mind, and there are alwaysstrings attached.  They can’t be trusted.  They are evil.  Doesn’t Dr. Rob realize that?

I have heard the same thing about insurance companies.  I had a patient a few days ago use the word evil when describing the insurance industry.  I myself have called them rabid wolves, have decried the outlandish CEO salaries,  and have declared that they do a whole lot of things that hurt patients and make my life difficult.Continue reading…

Allscripts buys Eclipsys: Does it make sense?

Queen of shoes Inga at HISTalk got ahead of the news (she tweeted about 2 hours before the announcement—not sure if that led to the news being moved up—but the Eclipsys stock showed no sign of word getting out in advance and the website they’ve put up looks very thrown together!).  Inga also has the best summary.

The deal is that Allscripts is going to buy out Misys (which owned a majority stake following Allscripts buying the former Medic practice management system but was always trying to get out of the US HIT business) at about it’s rough current market price, and pay it a spiff on top of over $117m. I’m up with insomnia, so the US market isn’t open and we can’t know how it’ll like it. But the UK is open and Misys is trading 20% higher. So my guess is that Allscripts will take a hit for that. Meanwhile it’s paying about a 20% premium for Eclipsys. In the end Eclipsys shareholders will have 37% of the combined entity, Misys will keep a chunk of about 10% that Allscripts can buy out post closing. Allscripts CEO Glen Tullman will stay CEO, and Eclipsys’ CEO Phil Pead will be Chairman with a list of tasks that suggests that he’ll have more time on the golf course than Glen.

Does it make sense? Other than the financial deal, this is a moderate size bet from Allscripts, which is about double the market cap of Eclipsys. The bet is that there are enough hospitals who (like it’s star client North Shore-Long Island Jewish) will buy both an inpatient system and an integrated outpatient system for their affiliated physicians. They claim that it’s about 35% of the market.

But that remains to be seen. Most of the hospitals who are big enough to be “hubs” have already made a bet on an inpatient vendor, and in general that hasn’t been Eclipsys. (Calling them a “leader” in hospital IT is somewhat redefining the term) Whether enough of them are reconsidering their whole approach I doubt. But on the other hand Allscripts has shown that it can integrate diverse product lines with several of its acquisitions and make good business decisions about it (although not always thrilling customers who thought they were buying an ongoing product). And Eclipsys is profitable, so the downside risk doesn’t seem too high.

I guess the only real question is raised in a separate NY Times article yesterday which suggested that meaningful use criteria were so impossible that no one could possibly get the government’s money. Of course the expectation that EMR use will dramatically grow is the main justification behind Allscripts’ merger driven growth the last few years.

BTW checkout slide 21 on the slide deck of the announcement. Glen still can’t resist taking a crack at a certain CEO in Madison, Wisconsin.

CORRECTION, APOLOGY & CLARIFICATION about “You Want To Have It Both Ways”

At THCB we regularly repost content from other blogs and we delight in giving those authors access to a different audience as well as giving our audience access to other viewpoints that I and the team here frequently don’t agree with. However, sometimes we make mistakes and this post represents one of those times. This post originally was published on the Sermo blog as an example of a community post–one that non-MDs cannot access–which stirred a lot of controversy on Sermo. This post attracted more than 200 comments on Sermo, and they highlighted it on the Sermo blog from which we syndicated it.

But unlike how we originally bylined and presented it on THCB, this post was not written by Daniel Palestrant MD, CEO of Sermo, and does not represent Sermo’s corporate opinion, and I can assure you definitely does not represent Daniel’s personal opinion.

The first 19 comments on THCB come from people who we misled by our error into thinking this was Daniel’s post. We’d like to apologize to Daniel, Sermo, drspuds and our readers.

But as this post (like it or not) does represent the view of at least one physician and maybe rather more, we’re going to keep it up on THCB-Matthew Holt

* * *

Dear Mr. and Mrs. America, by Sermo member “drspuds”

You live in one of the greatest countries on earth, one of the
richest ones, yet arguably not one of the best for medicine.
You may question why that is.  I think I may have some
answers.  Essentially, you want to have your cake and eat it too.

When you are sick or injured, you want the best healthcare money
can buy.  But you want someone else to pay for it.  You
feel should not be made to pay for things that are not your fault,
as you perceive it.

When you do not feel you have gotten the best healthcare someone
else’s money can buy, you scream, yell, threaten and generally act
like a child.  Then you demand to be respected as an adult.
You take the same approach to “free” care, such as telephone calls,
disability paperwork and public aid.

When your treatment does not go as you planned, you want to keep the legal option to sue a doctor for “everything he’s got”, but want to keep “good” doctors in your community so you don’t have to drive 6 hours to get your brain tumor operated on.

You want to be able to drink and smoke as much as you want, and then when years of beating the crap out of yourself makes its presence known, you want us to rescue you.  We told you 40 years ago not to smoke.  Now you want us to save your life from the CAD, emphysema and lung cancer you caused.

You want to drive a car at 90 mph while drunk, “because I’m having fun” but want us to put all the pieces back together when the inevitable happens.

You want a single-dose pill to take care of anything that ails you, aka the “magic pill.”  But you complain about the realistic medications you will need to take every day for the rest of your life. 20 years ago, these pills did not exist and you would have had only a few years left to live.  Now we can keep you around for many more years for you to keep complaining about the pills you have to take.

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Three ways to set payment rates

Picture 4 My suggestion last year that Massachusetts move away from the “free market” approach it uses to set hospital reimbursement* rates was not well received by the hospital world. But, this year, as people notice that their rates are being set by insurance companies in an unaccountable and unreviewable fashion (see this letter to the editor), more and more are saying, “Well, maybe. What would it look like?”

There is a range of options. Let me lay out some of them in summary fashion here, recognizing that a presentation in this forum is inherently simplistic. I would love to see a public forum in which these are debated.

One approach is that used by Maryland, with full determination of ratesfor each hospital by a rate-setting commission. Like public utility rate-setting, this involves lots of reviews and administrative procedures.

A variant of this is that we could have a state agency produce default rates (both fee-for-service and capitated) that serve as a state-wide rebuttal presumption. There could be prescribed (i.e., formulistic) add-on’s for geographic cost-of-living differences, teaching obligations, other government requirements, and the like. In this scenario, unless either the insurer or the provider made an evidentiary case for different rates in front of an administrative body, the agency’s presumed rates would apply.

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The Online Future of Patient Communication

Matthewholt An array of online communication tools, including email and beyond, can
enhance the physician-patient relationship and save you both time. But
for a variety of reasons, many physicians haven’t adopted online tools.
Matthew Holt, healthcare futurist, co-founder of the Health 2.0
Conference and founder of THCB
says that the day is coming fast when most physicians will communicate
this way with their patients. Are you already one of them?

Listen to the ReachMD broadcast or podcast — Then it’s your turn.

Participate in the ReachMD Poll.





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PITFALLS OF PPACA #3 – Insurance Exchange Issues


Roger Collier

Although the Patient Protection and Affordable Care Act incorporates numerous health care system fixes, including new regulations to protect consumers, new rules for insurers, expansions of existing programs, new payment incentives and subsidies, and penalties for non-coverage, it mandates almost no structural changes, with one big exception: establishment of insurance exchanges in each state.

Insurance exchanges, designed to facilitate enrollees’ coverage choices within a competitive market, are not new. Exchange mechanisms have been used for several years for employee coverage selection by the federal government and by many states. And, since 2007, Massachusetts has operated what is probably closest in design to the PPACA concept—the Connector.

What’s been the experience so far?

The Federal Employees Health Benefit program provides by far the largest existing exchange, used by eight million government employees and retirees. Although employee surveys show that the FEHBP model works well in facilitating coverage choice, its market competition effect is limited. With no standard benefit package, apples-to-apples comparisons of coverage value are impossible, while with the government picking up some three-quarters of premium costs, employees may be relatively insensitive to price differences. While FEHBP presumably gains the lower premium advantages of large groups, the rate of premium increases has been close to that of the non-exchange private sector, according to a 2006 GAO report. (Premiums for California’s CalPERS, the largest state exchange, rose slightly faster than the private sector’s, according to the same report.)

Efforts have also been made by states and business groups to create exchanges for private sector employee coverage but, almost without exception, these have failed. In most cases, the primary problem was adverse selection: insurers marketing outside the exchange cherry-picked the best risks, leaving older and sicker groups to seek coverage via the exchange, which inevitably found itself in a death spiral as premiums rose and the better risks found coverage elsewhere.

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Would I Quit?

By , MD

I love being a doctor.  I like my patients (most of them), and have had a pretty good career.  One of the things I say to my older patients is that I want to keep them well enough so I can see them at my retirement party.  I just turned 48, so that would be 17 years… give or take.

Given what I have been reading lately, the “takes” may be getting the edge on the “gives.”  Apparently the department of justice and the FTC are getting active in the scrutiny of doctors.  From the Christian Science Monitor (via Dr. Wes):

This case is a watershed for two reasons:

First, until now the Federal Trade Commission, not the Justice Department, has taken the lead in prosecuting physicians. Since 2000, the FTC has brought about three dozen cases against physicians (all but one of which settled without any trial). But the FTC only has civil and administrative jurisdiction; the Antitrust Division has civil and criminal jurisdiction. The Sherman Act makes no distinction between civil and criminal “price fixing,” so in a case like this, it’s entirely a matter of prosecutorial discretion whether to charge the doctors with a civil or criminal offense.

Based on the descriptions in the Antitrust Division’s press release, there’s certainly no reason they couldn’t have prosecuted the doctors criminally and insisted upon prison sentences — and there’s little doubt such threats were made or implied to obtain the physicians’ agreement to the proposed “settlement.”

The second reason this is a landmark case is that the Justice Department has unambiguously stated that refusal to accept government price controls is a form of illegal “price fixing.” (Emphasis by Dr. Wes)

The FTC has hinted at this when it’s said physicians must accept Medicare-based reimbursement schedules from insurance companies. But the DOJ has gone the final step and said, “Government prices are market prices,” in the form of the Idaho Industrial Commission’s fee schedule. The IIC administers the state’s worker compensation system and is composed of three commissioners appointed by the governor. This isn’t a quasi-private or semi-private entity. It’s a purely government operation.

What’s more, the Antitrust Division has linked a refusal to accept government price controls with a refusal to accept a “private” insurance company’s contract offer. This lives little doubt that antitrust regulators consider insurance party contracts the equivalent of government price controls — and physicians and patients have no choice but to accept them.

I must confess that my ADD makes reading legalese impossible (with out the use of a triple Ritalin latte), but the implication of this seems to be that I will be forced to accept what Medicare pays, and that contracts based on Medicare rates will follow suit.  I have also heard it told that lawmakers are considering making acceptance of Medicare a requirement for licensure.

This makes me ask the question: what would it take to make me quit practice?

Let me emphasize that when it comes to job satisfaction among PCP’s, I am at least in the top 25%, if not 10%.  When people ask me if I would recommend medicine, I enthusiastically say I would.  At least I have in the past.  I love the job – I don’t think there are many better.  But given the very small margins we work by in primary care, I am terrified by these possibilities.  I am a small businessman (no, I am not small; my business is small) who is providing a service and charging for it.  I get dragged around with a hook in my mouth by insurance companies and by government payors, but I do so by choice.  I stay in it, but I always know I can dump them if I choose.

These actions would change everything.  I don’t know why people would do one of the most taxing and responsibility intense jobs with the government forcing me to do it cheaply.  It makes me furious.  It makes me terrified.  It makes me consider studying homeopathy and selling herbs for huge profits.  OK, not the last one, but the non-regulated nature of the CAM providers makes me envy their control.  Yes, I am actually starting to envy CAM providers.

I am sure I am not alone in this.  I go home tired every day – emotionally drawn out by the emotional energy of propping up people’s lives, comforting their pain, and working to help heal them.  It’s a very draining job, but it is also very rewarding.  If primary care doctors are not allowed to be payed in accordance to their true value (the ones who actually save money for the system), the healthcare industry will be in deep trouble.  The patients would be in deep trouble.

Yo, politicians: we are dangling out here.  You are playing political chicken with our futures with the whole SGR issue, but so far you haven’t scared me off.  We are having the weight of reducing cost put on our backs and are then we may forced to eat the gruel HHS serves out.  Don’t do it.  We are not evil.  We are not in a conspiracy to steal money from the government.  It’s not about my Lexus (I drive a used Honda).  It’s not about my golfing holidays (I don’t own clubs).  It’s not about a cushy retirement (I won’t go there, but let’s just say that I have a lot of work to do in that area).  It’s about whether or not I will be around for my retirement party in 17 years.

I may just be selling herbs.

Rob Lamberts, MD, is a primary care physician practicing somewhere in the southeastern United States. He blogs regularly at Musings of a Distractible Mind, where this post first appeared. For some strange reason, he is often stopped by strangers on the street who mistake him for former Atlanta Braves star John Smoltz and ask “Hey, are you John Smoltz?” He is not John Smoltz. He is not a former major league baseball player. He is a primary care physician.

Apples to Grapefruits

Last week, I commented on a New York Times story that appeared Wednesday, June 2, attacking the Dartmouth Research.  The work that Dartmouth has done over the past two decades suggests that hospitals in some parts of the country are over-treating patients. Over-treatment means that patients who didn’t need to be in the hospital in the first place are exposed to the side effects of treatment as well as gruesome hospital- acquired infections, medication mix-ups and a host of other medical errors. Thus unnecessary care puts patients at risk while helping to drive health care bills heavenward— and suggests that we could rein in Medicare spending by squeezing some of that hazardous waste out of the system.  But according to the Times: “Data [from Dartmouth] Used to Justify Health Savings Effort is Sometimes Shaky.”

In Part 1 of this post I discussed what two of the Times’ sources told me about how the Times’ reporters misrepresented what they said. Both Harvard economist David Cutler and Yale’s Dr. Harlan M. Krumholz complained that the story made it seem that they are critics of the research, when in fact they agree with Dartmouth on the basic message of the data, and see the work as, in Krumholz’ words “pivotal to moving us forward  . . . we all agree that there is lots of waste and it is unevenly distributed across the country.” A third source in Washington D.C. who talked to the Times reporters confided that they seemed to have a clear agenda: “to take down Dartmouth.”

Today, I received evidence from yet another unhappy source—the Wisconsin Collaborative for HealthCare Quality, a voluntary consortium of organizations working to improve the quality and cost-effectiveness of healthcare in Wisconsin. Chris Queram, the Collaborative’s president, and Jack Bowhan, who guides the development of value metrics for the group, report that they tried to caution New York Times reporter Gardiner Harris that he was misusing their data,   “comparing apples to grapefruits,” and “jumping to a conclusions that  you just can’t make.”  Harris ignored their warnings.

As proof, they produced a series of e-mails that they sent to Harris, and with their permission, I’m quoting from those messages. But first, an excerpt from the Times’ story talking about the Collaborative’s data.

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