Trump budget delivers deep cuts to Medicaid, health IT Medicaid, the Children’s Health Insurance Program and health IT initiatives all go under the knife in the administration’s new budget proposal. Critics are balking at reductions to safety net programs that cut funding by more than $1 trillion over the next decade. The proposal preserves 83 percent of funding for programs now managed by the Agency for Healthcare Research and Quality while moving agency activities under the National Institutes of Health. Experts warn that the 36% budget cut for the Office of the National Coordinator for Health IT will affect elements of the 21st Century Cures Act like precision medicine and interoperability initiatives. ( The Washington Post; HealthcareITNews; VOX [infographic])

WannaCry took medical devices hostage in US hospitals

For the first time, there’s evidence a ransomware attack crippled medical devices in the U.S. Manufacturer Bayer confirmed windows-based devices used to support contrast-enhanced radiology procedures were affected when at least two U.S. hospital networks were compromised. Although patient safety wasn’t necessarily affected by the attack, it did create outages. In the U.K., multiple hospitals reported their radiology departments were completely taken out of service by the ransomware attack. ( Forbes)

Qliance abruptly closes concierge clinics

Direct primary care provider Qliance Medical Management abruptly closed its clinic doors last week. The closure affects 13,000 members, who bought subscriptions for unlimited primary and virtual urgent care services. The low-cost, no-insurance model didn’t attract the next round of funding needed to keep the 10-year-old company operating, according to CEO and co-owner Ericka Bliss, MD. While workers were informed of the impending closure several weeks ago, the abrupt closure last week came as a surprise. ( Seattle Times; Geekwire)

And the award goes to...

Oscar, a technology-based insurance startup, applies a tech mindset to build a precision network. Born of CEO Mario Schlosser’s love for data science, the network selects providers based on better care rather than better billing. Oscar analyzes insurance claims, provider directories, electronic medical records and CPT codes to create its value-focused network. “Its virtue is its depth and precision. That’s more, not less, attractive and useful to a patient who is not as healthy and needs to see doctors in a set of highly specialized fields,” Schlosser says. (Wired)

CPC+ looking for 1,000 more primary care practices

The Centers for Medicare & Medicaid Services will select up to 1,000 more practices for its multi-payer advanced primary care initiative. Providers from four new regions may apply to participate: Louisiana, Nebraska, North Dakota and the greater Buffalo, N.Y. Approved practices are eligible to earn a monthly, per-patient care management fee to help cover care for Medicaid clients with complex health needs. (RevCycle Intelligence; CMS announcement)

Doctors aren't sold on value-based payment

They know it’s more expensive, but nearly three out of four doctors say they prefer the fee-for-service payment method over value-based models. A new report finds providers want to see clear clinical benefits to the new models before embracing them. “In the push to infuse more protocols into healthcare and make it value-based, the industry should not underestimate the importance of helping physicians combat their skepticism so they can take a more a more active role in shaping and leading change,” says Josh Weisbrod, one of the report’s authors. ( Fierce Healthcare)

Health care costs too much—period: New York State floated a plan last week for a single payer system requiring residents to pay dearly. Tax increases would at least double—perhaps even quadruple—the state’s current annual revenue. The numbers point to a truth often lost in national discussions over reform: Until cost of treatments and delivery are reined in, health care will continue to be an area of fierce contention. ( The American Interest ; Reason)

Do you have enough food? Houston’s Memorial Hermann Health System asks patients in the ER and at four physician clinics if they ran out of food in the last month--or were afraid they might. Food insecurity is a bigger problem than providers knew: Since they started asking in 2015, between 11 and 30 percent of patients say they worry about having enough food—a much higher percentage than anticipated. “That’s one of the things that the doctors have realized—you can’t tell this just by looking at somebody,” says the system’s chief community health officer. ( FierceHealthcare)