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Electronic Medical Records Boot Camp
2025-06-30 - 2025-07-01    
10:30 am - 5:30 pm
The Electronic Medical Records Boot Camp is a two-day intensive boot camp of seminars and hands-on analytical sessions to provide an overview of electronic health [...]
AI in Healthcare Forum
2025-07-10 - 2025-07-11    
10:00 am - 5:00 pm
Jeff Thomas, Senior Vice President and Chief Technology Officer, shares how the migration not only saved the organization millions of dollars but also led to [...]
28th World Congress on  Nursing, Pharmacology and Healthcare
2025-07-21 - 2025-07-22    
10:00 am - 5:00 pm
To Collaborate Scientific Professionals around the World Conference Date:  July 21-22, 2025
5th World Congress on  Cardiovascular Medicine Pharmacology
2025-07-24 - 2025-07-25    
10:00 am - 5:00 pm
About Conference The 5th World Congress on Cardiovascular Medicine Pharmacology, scheduled for July 24-25, 2025 in Paris, France, invites experts, researchers, and clinicians to explore [...]
Events on 2025-06-30
Events on 2025-07-10
AI in Healthcare Forum
10 Jul 25
New York
Events on 2025-07-21
Events on 2025-07-24

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Latest News

Fed expenditures for health IT services hit $6.5B in 2015

DOD EHR

Spending on IT services by federal health agencies reached $6.5 billion in 2015, up significantly from $2 billion in 2011, according to research firm Govini.

Not surprisingly, the Department of Health and Human Services—particularly the Centers for Medicare and Medicaid Services—led spending from 2011 to 2015 with nearly $13 billion in prime contract obligations.

Govini notes that, with $6.8 billion in total prime contract obligations, CMS accounts for about half of HHS’ spending on IT services during that time period.

Fed expenditures for health IT services hit $6.5B in 2015

“The agency has been preparing for modernization by making foundational investments in call centers, IT infrastructure and data centers,” states Govini’s report. “The major drivers have been operational services contracts for call centers and data centers, as well as migration to virtual data centers.”

Overall, federal health IT services grew 27 percent annually in spite of sequestration-driven budget constraints, finds the report.

“The Department of Health and Human Services grew at a 34 percent compound annual growth rate and the Department of Veterans Affairs (VA) grew at a 25 percent CAGR,” states the report. “Defense Health Agency (DHA) spending decreased during this time period at -6 percent CAGR amid sequestration constraints and the reorganization of the Military Health System.”

Looking ahead, Govini’s report notes that the outlook in the President’s Fiscal Year 2017 budget proposal is strong, with technology investment geared towards systems modernization, electronic health records, networks and cybersecurity.

In particular, the firm says VA and DHA in FY17 are “planning major IT investments that rival HHS’s in scope.” Specifically, Govini mentions that DHA is leading the way in EHR modernization through its Defense Healthcare Management System Modernization (DHMSM) program. Last year, the Pentagon awarded a $4.3 billion contract award to the Leidos-Cerner team to modernize DoD’s EHR system.

Nonetheless, according to the report, CMS continues to drive HHS IT modernization. “Its major initiative is to improve the usability and functionality of the Marketplace by improving eligibility, plan management and payment functions,” states the firm. “In the proposed FY17 budget, $333 million is devoted to modernizing claims processing systems and call centers,” while “networks and security are driving VA investment.”

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