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The Leaders of Two California HIEs Combine to Accelerate Growth and Scope

January 11, 2017
by Mark Hagland
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The leaders of Cal INDEX HIE and Inland Empire HIE announced on Tuesday that they were merging

On Jan. 10, a major development took place in the health information exchange (HIE) world, when two California HIE organizations announced a merger. At a telephonic/live press conference held both at the Sir Francis Drake Hotel in downtown San Francisco and via telephone, several California healthcare leaders announced that the San Francisco-based California Integrated Data Exchange (Cal INDEX) and the San Bernardino-based Inland Empire Health Information Exchange (IEHIE) announced a planned merger that will create one of the nation’s most comprehensive not-for-profit HIEs.

It was announced that Claudia Williams, former White House technology senior advisor, will lead the new organization as CEO, effective February 1, 2017. The merger, subject to regulatory approvals, is expected to be completed in the first quarter of 2017 and will operate as a tax-exempt public benefit corporation under a new name.

And, according to a press release published at the same time as the press conference was taking place, “The new HIE will combine the 11.7 million claims records from Cal INDEX founding members Blue Shield of California and Anthem Blue Cross with the 5 million clinical patient records of IEHIE and its 150 participating partners. HIEs help improve the quality of the patient experience, support collaboration and coordination and improve efficiencies by making it easier for doctors, hospitals and other care providers to securely review, analyze and share medical information across the healthcare system.”

The press release quoted Bradley Gilbert, M.D., chairman of the IEHIE Board of Directors, as stating that “The creation of this new statewide health information exchange by IEHIE and Cal INDEX is an important milestone in transforming California’s healthcare system into a coordinated system that delivers higher quality and more efficient care to all Californians." And Mark Savage, chairman of the Cal INDEX Board of Directors and director of health information technology policy and programs for the National Partnership for Women & Families, added: “Claudia is the ideal candidate to lead this new entity. She is a strategic and transformational leader with national experience managing and scaling health information exchanges. With Claudia, California’s statewide HIE gets the rare combination of breadth and depth.”

Further, added Dr. Gilbert, “Claudia’s track record of developing strategic partnerships with technology, provider, consumer and health plan leaders will be invaluable as Cal INDEX and Inland Empire HIE add new partners and bring value to providers and patients throughout the state.”

“I’m thrilled by the opportunity to lead the new organization and collaborate with our partners to improve patient care for all Californians,” Williams said. “Our goal is to deliver compelling products and services that support California’s hospitals, providers and patients in their efforts to improve care coordination, reduce inefficiencies, address gaps in care and enhance patient experience.”

Meanwhile, at the outset of the press conference, Savage said, “The merger of Cal INDEX and the Inland Empire HIE today will create one of the nation’s most comprehensive health information exchanges, with 16 million patient records, and 150 providers from the outset. Inland HIE,” he said, “provides essential infrastructure, synthesizing the longitudinal patient record that patients and providers need. This represents an important milestone for California healthcare.” He continued to note that the merger will require the approval of the California Attorney General, and also that it will operate under a new name, one yet to be determined. “We expect to complete the merger this quarter,” he added.

“What I think is exciting about this merger is the combined strength” of the two organizations, Gilbert said. “Cal INDEX brings leveraged support from five health plans in the state, and brings that connection. Inland Empire brings real local and regional collaboration and experience around HIE. So we’ve got the operational experience, and that local and regional experience. An HIE is only as good as the amount of data and the participants involved,” he added. “We’d like to think that healthcare truly is local. But having that statewide, functional HIE will make a big difference.”

Williams, the new CEO, said, “I’m delighted to be here today. As I sat at my desk in [Washington] D.C. last week, I was thinking about what we’re trying to create, and it really is making connections. On the national level, both payment and policy initiatives, with that policy agenda, there could be no better place in terms of actually guiding change than here in California, where partners bring a scale, a commitment, and an operational excellence to this work. I’m delighted.”

Paul Markovich, president and CEO of the San Francisco-based Blue Shield of California, said, “I’m thrilled” by this merger. “One of the major distinguishing features of this new non-profit is our commitment to an open platform,” he said. “That will facilitate the development and use of some wonderful technology and applications. This, combined with a broad representation that Brad mentioned, of hospitals, physicians, and health plans, will also allow these technology solutions to be used across one broad platform.”

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