FCC dedicates $417 million to expanding rural telehealth systems

Washington -- Efforts to enlarge telehealth services in rural communities got a boost in November with $417 million from the Federal Communications Commission. The three-year allocation, under the Rural Health Care Pilot Program, will fund construction of 69 statewide or regional broadband telehealth networks in 42 states and three U.S. territories.

The commission originally planned to spend $100 million over two years but reconsidered after receiving far more applicants than anticipated. The pilot program now will help fund the connection of more than 6,000 physicians, health professionals and facilities.

Most rural doctors lack the high-speed Internet access necessary for telehealth services, said Kim Bateman, MD, a former Ephraim, Utah, family physician who is vice president of HealthInsight, a health care quality improvement firm.

"Basic services are there, but there's more need for rapid broadband services," he said.

The $9 million the Utah Telehealth Network will receive from the FCC will help, said Deb LaMarche, the network's program manager. The system will use the funds to install higher speed computer connections. Activities such as transmitting radiology files and high-definition videoconferencing require more bandwidth. "It's very costly to implement, and without this kind of funding, we wouldn't be able to do it," she said.

The Rural Nebraska Healthcare Network will receive $19.3 million, which will allow a network of eight health care facilities to upgrade to fiber optic cable, said Nebraska Hospital Assn. spokeswoman Christy Rasmussen. It will dramatically improve communication For example, a 64-slice CT scan image -- currently difficult to transmit -- will be sent in less than 15 seconds, Rasmussen said. The upgrade also will allow for remote radiological readings and transfer of electronic medical records.

Another organization, the West Virginia Telehealth Alliance, will receive $8.4 million. The funds will link between 300 and 400 health care facilities into a broadband network that can transmit images and information, said Community Health Network of West Virginia CEO Dave Campbell, who helped organize the alliance. A "telestroke" program will link rural patients to an advanced stroke center for treatment, he said.

The Rural Western and Central Maine Broadband will receive $3.6 million to link 80 health care facilities with fiber-optic cable. The increased capacity will support uninterrupted, secure connections between the facilities for distance learning and transmitting electronic medical records, said Franklin Community Health Network Chief Information Officer Ralph Johnson, who will implement the project. The funds also will enable on-call physicians to access high-speed Internet in their homes, which is currently unavailable, said Leah Binder, the network's vice president.

The Rural Health Care Pilot Program will defray up to 85% of participants' costs for establishing their dedicated broadband networks and up to 85% of the costs of connecting the networks to the Internet. Funding comes from the Universal Service Fund, a surcharge on telecommunication companies, and is earmarked for programs making communication services more affordable for rural areas.

The pilot will form the foundation of a digitally connected health care system across the nation, said FCC Chair Kevin J. Martin.