The Veterans Affairs Department's investments in the VistA electronic medical record system and other health IT between 1997 and 2007 more than paid off in cost savings and improved quality of healthcare to veterans, according to a recent study.
VA accumulated $7 billion in savings from a health IT investment of $4 billion during that period, according to the study by the Center for IT Leadership, a research organization affiliated with Partners Healthcare, a Boston-based hospital system.
The authors noted that most of the savings were in areas that also improve quality, safety and patient satisfaction.
"The VA spent proportionately more on IT than the private healthcare sector spent, but it achieved higher levels of IT adoption and quality of care," the authors concluded in the study, published this week in the journal Health Affairs.
VA Secretary Eric Shinseki said that VA has seen its investment in health IT pay off for veterans for many years. "This study provides positive evidence for this correlation," Shinseki said in a statement April 7 commenting on the report.
"The benefits have exceeded costs, proving that the implementation of secure, efficient systems of electronic records is a good idea for all our citizens," he said.
The study comes at a time when healthcare providers are weighing the purchase and meaningful use of electronic health records to qualify for incentive payments under the HITECH Act.
According to the study, more than 86 percent of VA's savings were the result of eliminating duplicate tests and decreasing medical errors. The rest of the savings came from lower operating expenses and reduced workload.
The study documented how VA improved the patient outcomes by meeting clinical guidelines through the use of electronic health records and computerized physician alerts. For instance, veterans with diabetes, which affects about 25 percent of VA patients, had better glucose testing compliance and control and more controlled cholesterol compared with Medicare's private-sector benchmark.
VA has been using health IT systems for more than 20 years to improve medical outcomes and efficiency in delivering healthcare, Shinseki said. Health IT supports the full range of patient care, including computerized patient records, bar-coded medications, radiological imaging, and laboratory and medication ordering.


