HHS Secretary Supports eprescribing incentives.

Health and Human Services (HHS) Secretary Mike Leavitt recently discussed his support for the electronic prescribing incentive program scheduled to begin in January of next year. The program is part of the far more expansive Medicare Improvements for Patients and Providers Act (H.R. 6331), which recently became law after a presidential veto override. The incentive program will increase Medicare payments to physicians who adopt the technology. The e-prescribing initiative was included in a new Medicare law that delays a 10.6 percent reduction to Medicare physician payments.

Under the law, physicians who adopt e-prescribing technology in 2009 and 2010 will receive a 2 percent bonus in their Medicare payments while those who use the technology in 2011 and 2012 will receive a 1 percent bonus; and those who use it in 2013 will receive a 0.5 percent bonus. Medicare payments for physicians who do not use the technology will be reduced by 1 percent in 2012, 1.5 percent in 2013 and 2 percent in 2014.