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Federal Support for Health Information Technology in Medicaid: Key Provisions in the American Recovery and Reinvestment Act

The American Recovery and Reinvestment Act of 2009 (ARRA) includes an unprecedented nearly $47 billion federal investment in health information technology initiatives. This e-health snapshot provides an overview of the health information technology provisions in the law that have direct implications for Medicaid. Health Information Technology (HIT) offers the promise of potential improvements in quality of care as well as increased efficiencies in care and cost savings. Medicaid, which covers nearly 60 million people, can serve as a key leader in HIT developments and expansions. ARRA provides new opportunities to support HIT efforts in Medicaid, notably through its Medicaid Electronic Health Record (EHR) incentive program and the loan and grant programs for states. States can utilize these resources to move forward with new HIT efforts as well as to build on existing innovations. When moving forward, it will be important for states to also consider how to coordinate the HIT opportunities available under the new law with other HIT initiatives and resources.

Issue Brief (.pdf)