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093038 1 (1971-01-12)

handle is hein.gao/gaobacwxs0001 and id is 1 raw text is: 

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Dear Dr. Allen:


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     As  part of our ruaraudit cctivity at the De-partment of Ho:.lth,
Education,  ande Wolfcare (E.)` he General  Accoun-ting Office has bee-n
    maiga survey,, of the Nat-iona~l Center for Selthervi*ces Research aren(
DeCvelo,3nt-,U (Center), Healt.h Services, and Hetaicalth Adm inistration
(/M) D7rin- this -survey, we7 recoivecoan -icuiry rma member of1
Congress  concernin,- `-2 se o' Government  funds, under a Center-funded
  grattodevel'op   a shored co-mute-  system for hospitals vbich vas
suibscoucntvly transferred to a- private co-gery to he p0ossible detriment
ofrL its cooeti-tors. Our reviewa o-f this cgrant disclosed an areca of
   admnitrative weak'ness which we believe nnerits Your consideration
-for corrective action.


      Effective Jencery 1, 1967   'he PuVblic ' ealth ServiTce(PSofE
carded   a gra-nt (K 0050.'4) to the Sisters o-f ' hrd   Ordfer of St. Francis
    (Tir  Ode),a     elgiu  groupwhc     onerates eleven. hospitals locato-Cd
       in    llioi, lve an Nchi-n   fo   research pcroject entitled,
     mntIono      a Sh-ared, Kospital IorainSy7stcm, The [;-eant,
   hiha as sin-ice been          'iubee s 0008,7 wa  ntally a-pproved 'or a
period1 Of 3 years, fror. January 1, 10672 tho1    Decembe   1    99    h
-):oject period 7was subs-couently extended wit'hout addit`ional funds throu.gh
Jauar             31  1971. Toa   ot    emesDby   E Curing the 3-Yecr Periocd
           vercobot  $.4  illon, ubjct o fnelse-tlement of the idrc
c ost s. The Third Order also made  a- sub, stantial cotsaigcontributi-on
to the project.0

     The pourpose of  he project was  to demonstrate the shared use,  by a
     Grop   o prtiipting hospitals, of a centrol co-iputer system, to 'proviec
coaroulnication between vaioshsildeames and, betw een physi*tcians
and h-ospi'tals;, and 'o automate poatien' -eod0ndhsi1      oerios
such as admiLtting, laboi atory, end radiology.

     The Tlhird Or6er he. cprevi-ouslv dem'onstrated its abilit_'y to operate
   on   uto20td ystem vwith associated hopial    hroug-h teesta'clish7=nt
a nd o- erat'ion of a sha .red a hs re.neent co-mputer   syster, w,.hich has
     seenoverlon._ anee   196,, T7his sstem, connecteC. by acont al   c7 ue
to ovCr tr1onty hoptl     i   h   ieet      rovideda for s-.uch functi-on-s as
    noten  biligCCCOU-nt papbl    ,-Yroill arc.   financial  epri.        e
    wn iormed that  no ZES -f--nd s hadi 'been used to develo2 the business
    accoentsystem.




                                       I xl          0303


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LM093038

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