A bill to encourage the adoption and use of certified electronic health record technology by safety net providers and clinics.

Summary: Medicaid Information Technology to Enhance Community Health Act of 2012 or MITECH Act - Amends title XIX (Medicaid) of the Social Security Act to extend payments to encourage the adoption and use of certified electronic health record (EHR) technology to qualified safety net clinics (QSNCs).

Defines a QSNC as a clinic or network of clinics operated by a private non-profit or public entity at least 30% percent of whose patient volume is attributable to needy individuals.

Defines a "QSNC-based" individual as one who furnishes substantially all of his or her professional services in a QSNC and through use of the clinic's facilities and equipment, including qualified EHRs.

Directs the Secretary of Health and Human Services (HHS) to establish a procedure through which a QSNC may demonstrate meaningful use of certified EHR technology in order to receive incentive payments.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Medicaid Information Technology to 
Enhance Community Health Act of 2012'' or the ``MITECH Act''.

SEC. 2. INCENTIVES FOR ADOPTION AND USE OF EHR TECHNOLOGY BY SAFETY NET 
              CLINICS AND PROVIDERS.

    Section 1903(t) of the Social Security Act (42 U.S.C. 1396b(t)) is 
amended--
            (1) in paragraph (2)--
                    (A) in subparagraph (A)--
                            (i) in clause (i), by inserting ``or QSNC-
                        based'' after ``hospital-based'';
                            (ii) in clause (ii)--
                                    (I) by inserting ``or QSNC-based'' 
                                after ``hospital-based''; and
                                    (II) by striking ``and'' at the end 
                                and inserting ``or''; and
                            (iii) in clause (iii), by striking ``who 
                        practices predominantly in a Federally 
                        qualified health center or rural health 
                        clinic'' and inserting ``subject to paragraph 
                        (11)(C), who practices predominantly in a 
                        Federally qualified health center, rural health 
                        clinic, or qualified safety net clinic''; and
                    (B) in subparagraph (B)--
                            (i) in clause (i), by striking ``or'';
                            (ii) in clause (ii), by striking the period 
                        at the end and inserting ``, or''; and
                            (iii) by adding at the end the following 
                        new clause:
            ``(iii) subject to paragraph (11), a qualified safety net 
        clinic (as defined in paragraph (3)(G)).'';
            (2) in paragraph (3)--
                    (A) in subparagraph (B)(v), by striking ``rural 
                health clinic'' and all that follows through the period 
                and inserting ``rural health clinic, Federally 
                qualified health center, or qualified safety net clinic 
                that is led by a physician assistant.''; and
                    (B) by adding at the end the following new 
                subparagraphs:
            ``(G) The term `qualified safety net clinic' means a clinic 
        or network of clinics that is operated by a private non-profit 
        or public entity and that has at least 30 percent of its 
        patient volume (as estimated in accordance with a methodology 
        established by the Secretary) attributable to needy individuals 
        (as defined in subparagraph (F)).
            ``(H) The term `QSNC-based' means, with respect to an 
        eligible professional, an individual who furnishes 
        substantially all of their professional services in a qualified 
        safety net clinic and through the use of the facilities and 
        equipment, including qualified electronic health records, of 
        the clinic. The determination of whether an eligible 
        professional is a QSNC-based eligible professional shall be 
        made on the basis of the site of service (as defined by the 
        Secretary) and without regard to any employment or billing 
        arrangement between the eligible professional and any other 
        provider.'';
            (3) in paragraph (5)--
                    (A) in subparagraph (A), by inserting ``clause (i) 
                or (ii) of'' before ``paragraph (2)(B)''; and
                    (B) by adding at the end the following new 
                subparagraph:
            ``(E) For purposes of payments described in paragraph 
        (1)(B) to a Medicaid provider described in paragraph 
        (2)(B)(iii), the Secretary shall establish a methodology for 
        determining the maximum amount of payment permitted for each 
        such provider.''; and
            (4) by adding at the end the following new paragraph:
    ``(11)(A) Not later than January 1, 2015, the Secretary, in 
consultation with States and other relevant stakeholders, shall 
promulgate regulations to establish a procedure through which a 
qualified safety net clinic may demonstrate meaningful use of certified 
EHR technology by such clinic for purposes of satisfying the 
requirement described in paragraph (6)(C)(i)(II).
    ``(B) A qualified safety net clinic shall not be eligible to 
receive payments described in paragraph (1)(B) before the date on which 
the Secretary establishes the procedure described in subparagraph (A). 
On and after that date, a qualified safety net clinic may receive such 
payments if the qualified safety net clinic notifies the Secretary that 
the qualified safety net clinic elects to receive such payments in lieu 
of the Secretary making payments described in paragraph (1)(A) to the 
eligible professionals who practice predominately in the qualified 
safety net clinic.
    ``(C) On or after the date that the Secretary establishes the 
procedure described in subparagraph (A), an eligible professional who 
practices predominately in a qualified safety net clinic, as described 
in paragraph (2)(A)(iii), shall not be eligible to receive payments 
described in paragraph (1)(A) if the qualified safety net clinic 
receives payments described in paragraph (1)(B).''.