OIG’s Report on HRSA Grants

The HHS Office of the Inspector General (OIG) recently issued a report on HRSA’s progress in implementing EHRs through grant funds made to Health Center Controlled Networks (HCCN). HCCNs are a group of health centers that use group purchasing power and shared resources, infrastructure, and training to adopt and implement health IT in a more cost-efficient manner.

Between 2007 and 2013, HRSA awarded $176.9 million in health IT grants to ensure that all of the health centers implemented health IT and meaningful use of EHR systems. To further that goal, health IT grants were awarded to HCCNs.

In evaluating health centers and their progress with health IT, the OIG’s Executive Summary concludes that while most of the health IT at HCCNs has the capability for meaningful use objectives related to capturing data, they are somewhat limited in being able to share data.

According to the OIG, sharing data is a challenge that is not unique to health centers as recent research indicates that there are substantial barriers to the widespread sharing of health information across all practice settings.

The report also examines whether the health centers face challenges related to financial sustainability of their EHR systems implanted with HRSA’s HCCN grants. The report concludes that HRSA expects HCCNs and health centers to have sustainability plans to cover the ongoing costs for operating and maintaining EHR systems.

However, 76 percent of health centers using EHR systems are facing challenges related to their financial sustainability. One reason is that additional costs can be incurred by health centers as they establish the capability to share data. This can contribute to financial sustainability challenges.

According to the report, HRSA may not have complete information regarding financial sustainability at health centers because grantee progress reports submitted by HCCNs do not provide HRSA with enough information to determine whether health centers are able to financially sustain investment in EHR systems over the long term.

HRSA’s response to OIG’s recommendations are included in the report. HRSA agrees with OIG’s recommendation that HCCN grantees should provide information on financial sustainability. In addition, project officers overseeing HHCN grantees are encouraged to discuss financial and other sustainability concerns as part of quarterly calls and other communication.

HRSA reports that the most recent HCCN Funding Opportunities Announcement (FOA) highlighted cost and sustainability planning plus requires HCCNs to report their participating health centers’ attainment of meaningful use. HRSA is continuing to analyze information from health centers, Uniform Data System (UDS) reports, and HCCN progress reports on meaningful use attainment. HRSA is going to provide this information in future health IT technical assistance and training webinars.

Go to http://oig.hhs.gov.oei/reports/oei-09-11-00380.pdf to view the Report titled “Progress in Electronic Health Record Implementation through HRSA Grants to Health Center Controlled Networks” (OEI-09-11-00380) published January 2014.