Winegar, Wilhelm, Glynn & Roemersma, P.C.
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  • 908-454-3200Phillipsburg, NJ
  • 610-807-0440Bethlehem, PA
  • 908-475-2500Belvidere, NJ

$40 Million in Medicaid Funds For Upgraded System

By: Jennifer L. Toth, Esq.

Starting this week, as a result of the health care reform law, $40 million in Medicaid funds will be distributed to 30 different hospitals and 40 practices that have upgraded from paper files to electronic record systems. The purpose of the upgrade is to improve efficiency and catch mistakes before they happen. The hospital receiving the largest award thus far is Newarks Beth Israel Medical Center in Newark, in the amount of $2.96 million. 

These disbursements are the first of a more than $500 million dollar federal stimulus that will be offered to hospitals and clinics that treat disabled and poor patients under Medicaid.

All money the providers receive must be used toward the cost of installing and utilizing the electronic record systems. Under the health care reform law, medical providers that fail to upgrade to electronic records will see a reduction in their Medicaid reimbursements.

THE FOREGOING IS A GENERAL DISCUSSION OF THE LAW AND SHOULD NOT BE INTERPRETED TO BE LEGAL ADVICE. IF YOU HAVE A SPECIFIC QUESTION, PLEASE CONTACT OUR OFFICE AND SPEAK TO AN ATTORNEY 

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