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Med-Pro Management, Inc.

Medical Practice Management and Consulting


March 2011 

In This Issue
CA Budget Cuts Affects HealthCare
Medicare and Medi-Cal Incentive - Helpful Pointers
CA Budget Cuts Affects HealthCare
Budget tight
Last week, California legislators approved most of Gov. Jerry Brown's proposed cuts to healthcare programs. The budget includes the following:
  • 10% payment reductions to physicians
  • $5 copay for each office visit
  • 7-visit cap per year (doctors may request additional visits, if medically necessary)  
  • $50 copay for each non-emergency ER visit
  • $100 copay per day for hospital stays ($200 maximum)  

These cuts require approval from Centers for Medicare and Medicaid Services (CMS) before they can be implemented. 


Of all the state's $26.6 billion deficit, approximately $1.7 billion were reductions in the Medi-Cal program.  

One good news is that the county Emergency Medical Services Funds, also known as "Maddy Funds", was stripped from the budget bill.  Maddy Funds provide a crucial source of revenue (approximately $55 million) for hospitals and physicians who provide emergency medical care to the uninsured.


"You can't do today's job with yesterday's methods and be in business tomorrow."




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Medicare and Medi-Cal EHR Incentive - Helpful Pointers
We have outlined a brief summary of the most important points about the EHR Incentive program under Medicare and Medi-Cal. In this article, we have also included some of the relevant links in reference to the incentive program.

Already purchased a certified program, CLICK HERE to find what you should do next

Eligible Professionals (EP):
The following are considered Eligible Professionals who are qualified for the incentive programs:


  • Doctor of Medicine or Osteopathy
  • Doctor of Oral Surgery or Dental Medicine
  • Doctor of Podiatric Medicine
  • Doctor of Optometry
  • Chiropractor


  • Physicians
  • Nurse practitioners
  • Certified nurse midwives
  • Optometrists
  • Dentists
  • Physician assistants who are working in a Federally Qualified Health Center (FQHC) or Rural Health Clinic (RHC) 


Eligibility Determination:
Use the link to the flow chart to help you determine your eligibility for the EHR incentive.

Note: If applying under the Medi-Cal incentive program, remember to add your capitated patients in your calculations to determine your total patient volume.

Certified EHR Systems:
To determine if your EHR is certified, go to the vendor list and search for the vendor.

If you are an Eligible Professional and purchased a certified EHR system, then you should register at the following links:
  • Federal EHR program - Medicare 
  • Medi-Cal EHR program - Medi-Cal (Available in April 2011) 

Note: For your Medi-Cal incentive, you should first register with Medicare and then Medi-Cal.

Meaningful Use:
For the Medicare incentive, Eligible Professionals (EP) are expected to demonstrate meaningful use by submitting reports on a set of administrative and clinical objectives. During the first year of meaningful use, the submission of reports can be done by attestation; but in subsequent years must be submitted electronically from the EHR.

"Meaningful use" is defined as the use of certified EHR technology to:
  • Improve quality, safety, efficiency and reduce health disparities
  • Engage patients and families in their health care
  • Improve care coordination
  • Improve population and public health
  • All the while maintaining privacy and security

Although Meaningful Use is not how EPs could qualify for the Medi-Cal incentive, all EHR systems should have these as part of their system. Therefore, this is a good measure to select an appropriate EHR system.    


Watch Dr. Martin's rap on "Meaningful Yoose" below:

The Meaningful Yoose Rap
Watch Dr. Martin's Rap on
The Meaningful Yoose
If you are interested to find out more about any of the topics mentioned, please do not hesitate to send us an email at or call us at (888) 549-1713.



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