Bush to allow medical privacy rules to take effect

President Bush announced Thursday that medical privacy regulations proposed by the Clinton administration would take effect as planned Saturday.

"For the first time, patients will have full access to their medical records and more control over how their personal information will be used and disclosed," Bush said in a statement.

However, Bush is still considering changes, including ensuring that parents will have access to their childrens' medical information, including abortion--a key controversy in the legislative fight over the issue.

House Energy and Commerce Committee Chairman Billy Tauzin, R-La., who has held hearings on medical privacy, suggested the administration might have acted too quickly. Although he believes HHS Secretary Tommy Thompson will improve the rules, Tauzin said today, "In some respects, the new privacy rules could weaken, not improve, the confidential nature of certain medical records."

Opponents said they would work with Thompson to seek changes in the rules.

Industry groups, which complained that the rules would be too costly and burdensome, had hoped for changes before the rule took effect.

"We will be investing dollars that could have been used for patient care, but ultimately will be diverted to regulatory compliance that doesn't meet patient needs and ultimately will change," said American Hospital Association Executive Vice President Richard Pollack.

American Association of Health Plans President Karen Ignagni said: "Heeding the concerns voiced by so many throughout the entire healthcare industry, the administration took the responsible step of re-examining the proposed rule. Unfortunately, this review has not yet fully addressed the negative consequences contained in the original proposed rule."

But consumer groups and Democrats said the announcement is good for patients. FamiliesUSA Executive Director Ron Pollack said he is cautiously optimistic, assuming Bush makes no major changes.

"The provision of high quality health care and the undertaking of effective health research should not be in conflict with individuals' fundamental rights to privacy and these regulations will help to harmonize those objectives," he said.

Rep. Fortney (Pete) Stark, D-Calif., added: "While I may not agree with each and every modification sought by the administration, I recognize that this regulation is breaking new ground and we will need to be flexible."

Sen. Bill Frist, R- Tenn., praised the administration, but urged it to address the prior consent form issue. Senate Health, Education, Labor and Pensions ranking member Edward Kennedy, D-Mass., said he would "urge the administration to involve all stakeholders in any modifications they may consider."

Up until recently, Thompson had indicated the rule would be delayed. HHS had received more than 24,000 written comments on medical privacy, although many were in the form of "mass mailing efforts," Thompson noted in a statement.

"We will keep these comments in mind as we continue to make sure patients receive the highest quality care and begin the process of issuing guidelines on how this rule should be implemented," Thompson said.