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Slide Presentation from the AHRQ 2007 Annual Conference

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NPV (2007 model)—$4.2 Million

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  • Assumptions
    • Based on data obtained on the core healthcare entities and Memphis Managed Care
    • Benefits are estimated from a conservative review of the published literature
    • Deployment schedule is limited initially to EDs; years four and five will extend to additional healthcare providers
    • Inflation and volumes remain constant
    • The costs to move and support the RHIO data center are not included in the five-year forecasts
    • The RHIO support desk infrastructure is minimal an embedded in the development team and local management
    • The average cost for a core healthcare entity for implementation and operation activities is $30,000 per year.
  • The State of Tennessee and the Core Healthcare Entities realize a higher financial gain when you consider the different stakeholder contributions.
    • State of Tennessee
      • Payback Period = 1.7
      • Return on Investment = 1.95
    • Core Healthcare Entities
      • Payback Period = 0.5
      • Return on Investment = 17.5

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