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Federal health data overhaul advances following AMA advocacy push

Federal health data overhaul advances following AMA advocacy push

The Department of Health and Human Services launched a Health Technology Ecosystem initiative to modernize health data infrastructure, responding directly to persistent advocacy efforts from the American Medical Association.

 

What happened

HHS announced an initiative to overhaul health data infrastructure aimed at delivering complete, usable patient records at the point of care. The Health Technology Ecosystem will streamline health data exchange, reduce administrative burdens, and enhance patient access to their information. The initiative includes several high-impact tools: a National Provider Directory to better connect patients and physicians, modernized digital identity systems for Medicare.gov users, digital insurance cards to speed up claims and payment processing, and a new trusted app library with a redesigned Plan Finder that displays in-network physicians. This federal action directly responds to advocacy from the AMA, which has been pushing for improved patient care through better information sharing.

 

The backstory

In June 2025, the AMA submitted a comment letter to HHS urging the department to build a more connected, transparent, and patient-focused digital health system. The AMA outlined specific priorities including requiring certified EHRs to expose complete clinical data through standardized APIs, eliminating duplications in longitudinal records, establishing AI oversight guardrails, supporting decentralized digital identity solutions, fixing information blocking through patient portal complaint mechanisms, and streamlining prior authorization processes. The advocacy represented years of physician frustration with broken health data systems that burden clinicians and fail patients.

 

Going deeper

The AMA's advocacy focused on six areas for health data modernization:

  • Certified EHR interoperability: Requiring all certified electronic health records to expose complete clinical data
  • Data quality and affordability: Eliminating duplications in longitudinal records, safeguarding sensitive notes, and prohibiting excessive data exchange fees
  • Smart AI oversight: Establishing guardrails for AI-enabled digital assistants, including transparency, usability testing and human override mechanisms
  • Digital identity and access: Opposing centralized biometric hubs and supporting decentralized, wallet-based digital identity solutions to protect patient privacy
  • Fixing information blocking: Advocating for a "Report a Sharing Problem" button in patient portals to direct complaints and increase public awareness of patient access rights
  • Streamlined prior authorization: Urging HHS to certify payer APIs and phase in digital quality measures only when technology is ready

 

What was said

AMA President Bobby Mukkamala said, "This is a significant step toward fixing the broken health data system that frustrates physicians and fails patients. We applaud HH Secretary Kennedy for listening to the physician community and taking bold steps to modernize how health data is shared, secured and used."

Dr. Mukkamala further stated, "This initiative responds directly to what physicians have been asking for—better data, less red tape, and smarter use of technology. It's a meaningful shift that can reduce physician burnout and help care teams focus more on patients and less on paperwork. HHS's actions respond to several AMA priorities, and more work still needs to be done."

 

In the know

Electronic health records have become central to modern healthcare delivery, but interoperability challenges have created fragmented systems where complete patient information is often unavailable at the point of care. Health data exchange inefficiencies force physicians to spend time on administrative tasks rather than patient care. Application program interfaces serve as the technical bridge allowing different health systems to share standardized clinical data, including imaging and other medical information that has historically been difficult to exchange between providers.

 

Why it matters

This federal initiative matters because it directly addresses physician burnout caused by fragmented health data systems that force clinicians to spend more time on administrative tasks than patient care. For healthcare organizations, this modernization effort will require technology investments and workflow changes, but promises to reduce long-term administrative costs and improve care coordination. The emphasis on decentralized digital identity solutions and information blocking fixes could reshape how patients access and control their health information, potentially reducing the compliance burden on covered entities while strengthening patient rights.

 

The bottom line

The HHS initiative represents an alignment between physician advocacy and federal policy action on health data modernization. Healthcare organizations should prepare for upcoming requirements around EHR interoperability and API standardization while monitoring how these changes will impact their current data sharing agreements and administrative workflows. The focus on reducing physician burnout through better technology integration signals that future healthcare policy will prioritize clinician experience alongside patient outcomes.

 

FAQs

How will the National Provider Directory improve patient care?

It will help patients more easily find and connect with in-network physicians.

 

What role do digital insurance cards play in the new system?

They aim to speed up claims and payment processing while reducing administrative friction.

 

How might the trusted app library benefit patients?

It will provide vetted health apps that patients and providers can use with greater confidence.

 

Will these changes affect how quickly physicians access complete patient records?

Yes, the initiative seeks to deliver full, usable patient data at the point of care.

 

Does the initiative address prior authorization delays?

Yes, it includes efforts to streamline prior authorization through certified payer APIs.