Healthcare Policy News

New Healthcare Cybersecurity Bill, Federal Court Blocks Hospital Merger

The Healthcare Cybersecurity Act may enable hospitals to optimize their security and avoid ransomware incidents, and a federal appeals court blocked a significant health system merger in New Jersey.

Source: Getty Images

By Hayden Schmidt

- This week a federal appeals court made the decision to block a hospital merger in Bergen County, New Jersey, that was deemed anti-competitive and would have resulted in higher prices for patients.

Meanwhile, the Federal Communications Commission concluded its Connected Care Pilot Program after issuing millions of dollars to boost broadband access. And a group of senators presented a cybersecurity bill last week that would build standards and guidelines for critical infrastructure in the healthcare industry.

VA Expands EHR Implementation

The Department of Veterans Affairs has decided to continue its implementation of Cerner’s EHR despite several errors at its pilot project in Spokane, Washington. Numerous government reports have been filed describing the EHR’s issues, and some lawmakers have called for a delay to the project until problems could be ironed out. The next phase of the program was initiated at a VA Medical Center in Walla Walla, Washington, on Saturday March 26. Officials at the VA are confident that the lessons from Spokane will ease the transition process of the new EHR system at the proceeding sites. READ MORE.

Healthcare Cybersecurity Act Introduced

A bipartisan pair of senators have introduced a new Healthcare Cybersecurity Act that would strengthen the relationship between the Department of Health and Human Services (HHS) and the Cybersecurity and Infrastructure Security Agency (CISA). The bill would empower CISA to create healthcare-specific guidance and warnings if threats were detected. In addition, the bill would provide for a study that would evaluate risks associated with medical devices and EHRs. The bill comes after a rough year in 2021 when healthcare became the single most targeted critical industry for ransomware attacks. READ MORE.

FCC Connected Care Pilot Issues $30m in Grants

The Federal Communications Commission (FCC) has concluded the final round of funding for the Connected Care Pilot Program, issuing $30 million to boost broadband access. There are currently 107 projects across 40 states that have received funding from the Connected Care Pilot Program.

"Telemedicine has moved into the mainstream. It is now an essential part of healthcare in rural communities, urban communities, and everything in between," said FCC Chairwoman Jessica Rosenworcel. READ MORE.

Federal Court Blocks Hospital Merger

An appeals court put an end to the merger of Hackensack Meridian Health and Englewood Health, asserting that the union was anti-competitive and would result in higher prices for patients. If the proposed deal had been successful, half of Bergan County, New Jersey’s inpatient general hospitals would have been owned by the same corporation. The court considered that both corporations serve the same population as a primary reason for barring the merger. The ruling also demonstrated that Hackensack Meridian had previously raised prices after acquiring new hospitals. READ MORE.

Marketplace Premiums to Rise Without ARPA Extension

The American Rescue Plan is set to end at the close of 2022, and its expiration will likely increase premiums for state-based marketplace enrollees. Subsidized plans offered at the beginning of the pandemic helped low-income and middle-income individuals gain coverage with lower premiums, but now these groups are facing 15 to 70 percent hikes in monthly payments. Some people may choose to disenroll in coverage if premiums become untenable. Those who don’t disenroll may be pushed to higher deductible plans, ultimately spending more money on health insurance. READ MORE.

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