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F I S C A L I M P A C T R E P O R T
SPONSOR Beffort
ORIGINAL DATE
LAST UPDATED
2/5/07
HB
SHORT TITLE Health Info Exchange Collaborative Network
SB 539
ANALYST Geisler
APPROPRIATION (dollars in thousands)
Appropriation
Recurring
or Non-Rec
Fund
Affected
FY07
FY08
$2,400.0
Recurring
General Fund
(Parenthesis ( ) Indicate Expenditure Decreases)
Relates to: multiple bills (see below)
SOURCES OF INFORMATION
LFC Files
Responses Received From
Department of Health (DOH)
Chief Information Officer (CIO)
SUMMARY
Synopsis of Bill
Senate Bill 539, for the Legislative Health and Human Services Committee, would appropriate
$2.4 million to the Department of Health (DOH) from the General Fund in FY08 to contract with
a nonprofit organization to complete the implementation of a health information exchange
collaborative network in Bernalillo and Taos counties, expand the health information exchange
network to: (1) serve rural and underserved communities outside these counties, (2) enhance
existing telehealth services, and (3) facilitate the Department of Health’s disease reporting and
communication with physicians. Any unencumbered or unexpended balances remaining at the
end of FY08 shall revert to the General Fund.
FISCAL IMPLICATIONS
DOH notes that their FY08 operating budget request includes an expansion request of $2 million
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Senate Bill 539 – Page
2
for telehealth activities. This funding was not recommended in either the executive or
Legislative Finance Committee budget recommendations for DOH. The executive has
recommended $2 million as a special appropriation.
The CIO notes that additional dollars may be needed for the maintenance and support of the
health information exchange collaborative network.
SIGNIFICANT ISSUES
DOH notes that several efforts are underway to explore how to best implement a health
information exchange network in New Mexico. A functioning network would permit effective
exchange of patient information between health care providers, consistent with the restrictions of
HIPAA and other privacy requirements. The Telehealth Commission is considering several
alternatives but has not made specific recommendations about an implementation path.
RELATIONSHIP
SB 539 is related to SB 122, which would appropriate $1,500,000 for implementation of
electronic health record pilot projects in selected counties. SB 539 is also related to HB 871,
which provides $500 thousand to DOH to coordinate and assist in implementation of
telemedicine programs and projects throughout the state through contracting with a qualified
non-profit and SB 180/HB 429, which provides $600,000 from the General Fund to the DOH for
expenditure in fiscal year 2008 to fund a telehealth program providing training, education, case
conferencing and clinical consultation targeted towards childhood diabetes and obesity,
developmental disabilities early intervention, mental health of children under 5 years old,
pediatric asthma and other pediatric specialties. HB 427/SB 456 amend the NM telehealth act
and expand the types of providers and sites for telehealth services. HB 428/SB 538 also would
amend the New Mexico Telehealth Act.
GG/nt