Smaller ACOs pay $1M, larger ones $4M, to start IT

So you want to form an ACO? Get ready to put in some serious capital. The data requirements for launching an accountable care organization will cost smaller ACOs more than $1 million and large ones up to $4 million before they start operations, according to a Black Book survey that included 300 developing and established ACOs.  The survey also reveals that 39% of ACO respondents plan to make most or all of their technology purchasing decisions before the third quarter of 2013.

Twenty-eight percent of providers participating in ACOs say they already have their basic health information exchange (HIE) and interoperability strategies in place. These providers will focus on community or regional exchanges for the foreseeable future, rather than national HIE initiatives, according to the report.

For more information on IT and other ACO start up costs, follow this link:

http://www.prweb.com/releases/prweb2012/9/prweb9908320.htm

About the Author

Reed Tinsley CPA

This article is written by Reed Tinsley, a Houston, TX-based CPA with over 30 years of experience advising physicians and medical practices across Texas and the United States. Reed holds certifications as a Certified Valuation Analyst (CVA), Certified Healthcare Business Consultant (CHBC), and Certified Financial Planner (CFP), specializing exclusively in the healthcare sector. He is a published author, nationally recognized speaker, and trusted advisor to physicians on accounting & tax, practice management, and financial planning. Schedule a Free Consultation.