Sutter Health has pumped $1 million into the California Regional Health Information Organization, known as CalRHIO. The grant is part of a multi-million-dollar commitment by the healthcare system to further pass along savings from tax-exempt bonds to healthcare consumers.
Sutter applied earlier this year to the state treasurer and the California Health Facilities Financing Authority for nearly $1 billion in tax-exempt bond financing to pay for construction, renovation and new equipment at six of the health system's sites.
The authority approved the application - reportedly a record bond issue in California - in return for Sutter's commitment to make the donations.
The authority had earlier voted to delay consideration of the bond issue until the middle of this year, after the Service Employees International Union raised questions about the bond issue.
Sutter Health executives say the health system will invest an additional $8.5 million over six years in technology grants to provide support to rural hospitals for electronic health technology system connectivity and in support for community clinics in Northern California.
CalRHIO is one of the most recognizable healthcare data exchanges in the country, often touted as a model for other regional organizations working toward similar goals as healthcare moves toward achieving connectivity across the country.
"This grant provides critical funding to help CalRHIO accomplish its goals," said Don Holmquest, a physician and lawyer and CalRHIO's president and CEO. "We are working to ensure that patients being seen anywhere in the state, regardless of where healthcare services are delivered, will have the most complete information possible available to their care provider. This is especially important for patients with chronic diseases and in an emergency."
Sutter Health, a network of physicians, hospitals, and other healthcare service providers, serves more than 100 communities in Northern California. The health system is regarded as a leader in patient safety technology.
"As doctors, hospitals, and health systems like ours develop electronic health record systems for patients, it's essential that these information networks are capable of talking to each other, and CalRHIO is leading this effort," said Sutter Health President and CEO Pat Fry. "Physicians, hospitals, and patients alike will benefit from more informed clinical decisions and better coordination of care that result from secure electronic access to medical records."