Top 3 HHS IT programs planning procurements in FY22

By Jessica Parks, market intelligence analyst

In a previous blog post, I went over the top three IT programs at the Department of Justice planning acquisitions. Now that the new administration has released the official FY22 budget, I would like to explore similar opportunities at another large agency, the Department of Health and Human Services. (As I’ve mentioned previously, this information is all publicly available in the Exhibit 53.)

Read on for a brief description of these programs and how you can position yourself accordingly.

1) CMS Federally Facilitated Exchange

Based within the Centers for Medicare and Medicaid Services, the FFE is the platform that supports the health insurance marketplace. This is the single largest IT investment at HHS and has been a crucial system for the agency for many years. Total IT funding for FY22 is expected to be more than $417M, with $176M being DME funding (i.e., new money to spend on program upgrades and additions).

The main objectives for this investment are to stay innovative and ensure minimal downtime. Automated customer service solutions as well as solutions that ensure secure information sharing could play a role here. Talk to the folks in the Center for Consumer Information and Insurance Oversight for more detail.

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Government Health IT and the Promise of AI

Lloyd McCoy Jr.

By Lloyd McCoy, Market Intelligence Manager

The government’s health agencies want you to know that they need your help proving out use cases and applications for artificial intelligence and machine learning. That was one of the main takeaways from last week’s Federal Healthcare Day where the Department of Veterans Affairs and National Institutes of Health convened with industry partners to talk about advancements and opportunities.

Artificial intelligence adoption in government has the potential to spread faster than in the private sector. Because of the government’s scale, spend (about $1 billion will be spent on health-related artificial intelligence research this year) and breadth, a success story in one agency can spread rapidly to other areas.

There are three main areas where government hopes to take advantage of artificial intelligence:

I. Managing the Data Tsunami

‘Data tsunami’ is a term you may have heard before within the context of big data. The healthcare sector is probably a close second to the military in terms of data generation and consumption. NIH funds hundreds of thousands of researchers, each with their unique computing and storage needs. Making sense of large data sets in hybrid cloud environments is a massive undertaking and NIH wants to leverage AI so that the data and insights are accessible, interoperable and reusable. Given the fluid nature of both the research and clinical side of health, it’s hard to model what the demand is going to be. If you’re in the analytics space, note that the health agencies want to partner with vendors who are in it for the long haul. Show that you can handle uncertainty in storage and data consumption.

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The $6B Health IT Market: Exploring Opportunities Beyond EHRs

Christopher Wiedemann_headshot-65 x 85by Chris Wiedemann, Senior Analyst

Health IT in the federal government represents a $6 billion market.

Let that number sink in. It may seem high, but recent guidance from the Food and Drug Administration (FDA) and the Office of the National Coordinator for Health IT (ONC) indicate that “health IT” as a concept means much more than just EHRs. According to the report, there are three broad categories of health IT:

  • Administrative health IT functions: This includes billing and claims processing, practice and inventory management, and scheduling.
  • Health management IT functions: This category includes health information and data exchange, data capture and encounter documentation, electronic access to clinical results, clinical decision support, knowledge management, and patient identification.
  • Medical device health IT functions: Examples include computer aided detection/diagnostic software, radiation treatment planning, and robotic surgical planning and control software – in other words, devices actively used in medical treatments.

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