HOSPITALS, OTHER PROVIDERS QUESTION STATE OF NEBRASKA'S FAILURE TO PAY HEALTH DATA PROVIDER

LINCOLN- CyncHealth, Nebraska's leading provider of healthcare data and prescription drug purchases, stated that its services are being threatened because the state failed to pay its $15 million annual contract to the company.

This failure prompted the CyncHealth board of directors to "implore" the state to pay the contract. They say that the state holding back payment will affect its data-sharing network.

The Nebraska Department of Health and Human Services signed the contract with CyncHealth with the goal of improving health outcomes for patients. The contract requires CyncHealth to provide a Health Information Exchange (HIE) report to the DHHS, which documents each patient's past treatments and health records. They're also expected to operate a prescription drug monitoring program (PDMP), which tracks the use of medications all around the state.

The letter sent by CyncHealth directors claimed that the lack of payment is an example of "unnecessary bureaucracy that is avoidable," and that it shows poor planning by the state. They went on to state that "providers will be hampered in providing optimal care to their patients if they are not able to access the HIE or PDMP, putting the health of Nebraskans at risk."

Jeff Powell, a spokesman for the DHHS, stated that federal Medicaid programs were being used to pay for around 90% of the contract with CyncHealth, but that many of those federal programs have been diminished or entirely removed, leaving the DHHS with almost no funds to pay the contract with. Powell estimates that the DHHS is around $11 million short of the contract's price. 

Powell also stated that the DHHS pledges to seek a deficit appropriation from the State Legislature to fulfill the rest of the contract obligation. 

Jaime Bland, CEO and president of CyncHealth, claimed that the company has been forced to borrow money to keep paying its 75 employees. This, according to Bland, has affected the company's credit rating, which may threaten whether CyncHealth can continue to provide data to health providers.

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