Alaska Hospital can’t afford Cerner EMR contract

Matt Miller | KTOO | May 16, 2013

CBJ Assemblymembers voted last week to essentially break a contract for a vendor’s services at Bartlett Regional Hospital...The contract with Cerner in Kansas City, Missouri was for a new electronic medical records or EMR accounting system for Bartlett. It would’ve cost the CBJ about $7.37 million in total capital improvement project expenditures, and required an ongoing maintenance fee of $1.155 million each year.

[Chief Executive Officer Chris] Harff said they’re already under pressure with various rising or additional costs taking a bigger piece out of $83 million in net revenues. She said the hospital’s net income or profit has been as high as $9 million. But, now, net income is projected to be down to $3.3 million...Essentially, the hospital cannot afford Cerner’s million-plus annual maintenence fee for the new EMR...They are now going to have to look and see if they can’t find something less expensive.”