News Release: 2011/1/1
Don Blinzinger appointed President of Digital Healthcare

At Venice, FL.  Don Blinzinger appointed President.  Effective immediately, Donald Blinzinger has resigned his position at Bose Public Affairs, Indianapolis, and becomes President at Digital Healthcare.  Don’s extensive experience in managing Medicaid as Indiana’s Director of Public Health, and his intervening twenty years as a professional lobbyist point him out as an appropriate CEO.  “We are very pleased with Don’s representation these last few years in Indiana, and look forward to his representation nationwide in the future” said Pamela Peterson, the company’s Treasurer.

News Release: 2008/8/29
Duke University endorses Digital Healthcare process

Duke University Medical Center, routinely on the Honor Roll of the nation’s best hospitals, endorsed the unification of the redundant databases required under Deficit Reduction Act and SCHIP Extension Act, and the sharing of primacy data with medical Providers and commercial health plans. Cecelia Moore, Duke’s Chief Operating Officer for Patient Revenue Management wrote “To accomplish this end (the mandates under DRA 6035 and SEA 111), enrollment data from commercial health plans, many of which are operated by hospitals, will need to be uploaded to or accessed by each of 51 public health plans. This is inefficient when a single server could more easily and more accurately resolve the problem. Richard Godoy, Digital Healthcare’s president, thanked Duke for the initiative of providing a hospital’s perspective to the nation’s elected and appointed officials. Our IP professionals and system designers will be gratified to know they have read the needs of the industry correctly.

News Release: 2008/8/27
Former Maryland Secretary of Public Health and Hygiene Endorses Digital Healthcare

Former Maryland Secretary of Public Health and Hygiene Endorses Digital Healthcare Today, Nelson Sabitini joined the list of former public officials, Payor and Provider officers who have endorsed the centralized, pre-emptive coordination of benefits as a remedy to the fiscal integrity problems in U.S. healthcare finance, and the appointment of Digital Healthcare as the proper vendor for that mission. Secretary Sabatini served as Maryland’s Secretary of Public Health and Hygiene from 1991-1994 and again from 2001-2004. He began his career in the public health programs as a member of the work-group that defined the Title XVIII and Title XVIX programs in the mid- 1960s, and has served in a variety of official and consulting relationships to other healthcare entities over the ensuing years. In his official statement on the subject, Secretary Sabitini said “Digital Healthcare has developed a product that could save Medicare and Medicaid billions of dollars…” Craig Kaufman, Digital Healthcare’s General Counsel said “We are grateful to Secretary Sabatini for his recognition of the value of Digital Healthcare’s intellectual property, and its role in streamlining data flow and improving the fiscal integrity of every health plan in the North American system. We thank him for his energy and guidance in helping current public officials adjust and modernize their current procedures.”

News Release: 2008/6/15
Digital Healthcare Announces Credit Facility

Digital Healthcare and Structured Growth Capital, a leading credit facility provider headquartered in Philadelphia, have today announced agreement on a credit facility. Gregg Garnick, Managing Partner of Structured Growth said “As taxpayers and consumers of health insurance, our firm is enthusiastic about Digital Healthcare’s patent-protected solution for state and Federal primacy problems, and the opportunity for a win-win with providers and commercial health plans this new method entails. GAO data support the conclusion that this method will providing financing for 10 Million people who currently have no insurance.” Neil Oxenburg and Michael Koff acted as the agents bringing the parties together. According to Mr. Oxenburg, “More than ever, it is imperative that states exercise fiscal integrity with regards to healthcare administration. We were very pleased to provide government subscribers a guarantee of many times adequate access to capital in their deployment of this new method”. Pamela Peterson, Treasurer of Digital Healthcare said “Structured Growth has been a great trading partner and shown its zeal for this issue by providing a credit facility that also cuts our cost of working capital”.

News Release: 2008/01/08:
Former Commissioner of Public Welfare Endorses Digital Healthcare

Today, Donald Blinzinger, the Commissioner of Public Welfare for the state of Indiana from 1981-1988, then Senior Vice President of the state’s largest health system, and now a lobbyist for one of the nation’s leading Medicaid HMOs formally endorsed Digital Healthcare as the best vendor for the implementation of electronic insurance primacy processes in Medicaid under 42 USC 1902(a)(25)In releasing his written endorsement, Mr. Blinzinger said “the interstate nature of so much insurance coverage and the prospect of 4500 payers uploading insurance to 50 different programs without delivering any benefit to hospitals or commercial insurance would be another folly in the administration of the states’ largest single expense item. 1902(a)(25) calls for Medicaid directors to renew their thinking about the business process, and to arrive at a less expensive solution that benefits all parties in healthcare finance, whether they are in a given state or not. As sole licensee of the intellectual property in this area, Digital Healthcare’s technology should be implemented, rather than minor tweaks to an existing system that has failed. In Indiana, we lose $200 Million every month that this process is not deployed.” Richard Godoy, president of Digital Healthcare said “we are deeply grateful for this recognition by a former public official with almost 30 years’ experience in the management of the public trust. This endorsement should help many public officials take a modest chance on executing this duty in a new way.”

News Release: 2008/01/02
Digital Healthcare Private Placement Exceeds $5MM

Pamela Peterson, Treasurer of Digital Healthcare, today reported that the company’s private placement process exceeded $5MM during her three-year tenure. Private placements to ‘angel investors’ do not normally exceed $1MM or $2MM because of the absence of an effective market for investors of this class. The company is now in talks with larger equity funds, on the same terms as its existing investors have received. Peterson said “one doesn’t take in ore capital than it needs, but our angel investors are mostly medical people who experience the problem we solve every day, and businessmen who foot the excessive costs through taxes and insurance premiums. Together with our banks, they have assured that Digital Healthcare’s mission will be completed by an independent entity, without the squeezing down of their interests or the questionable integrity of a publicly traded entity, so often desperate to show increases in quarterly profits.”

News Release: 2007/12/29:
President Bush signs SCHIP Extension Act, automates MSP Questionnaire

Today, the President signed the SCHIP Extension Act. Section 111 of the Act requires the Secretary of HHS to promulgate data-upload regulations and automate the MSP Questionnaire. The MSP Questionnaire is an extensive piece of federal paperwork imposed on hospitals and other providers for every Medicare registration, in which the provider is expected to collect data about other health coverage and casualty coverage to feed Medicare’s attempts to avoid claims that are primary elsewhere. Significant financial penalties are imposed on hospitals for any vacancy in the data. Since 46% of patients present themselves at Admitting without any proof of coverage, the completeness and validity of the data collected by hand is doubtful. An automated test of primacy is more thorough, and is not an overhead cost item, it’s a revenue producer. Robert Dintaman, General Counsel to Digital Healthcare said “Digital Healthcare has been active for several years in the process of replacing this paperwork with true automation of the primacy issue. Since 2004, we have presented letters from America ’s leading hospitals asking for this legislation. It’s very gratifying that OMB, Senator Baucus, and Senator Grassley have heard this plea. Our IP consultants find that the new Act falls squarely on the patent claims licensed to Digital Healthcare. Most important, the Congress has imposed a penalty of $1,000 per identity per day on any health plan that fails to comply with the new business process. Since Section 111 of the new Act parallels the mandate under 42 USC 1902(a)(25), we feel the model act among the states for Medicaid should include this penalty among the others already recommended.”

News Release: 2007/12/20
Former Blue Cross Officials Endorse Digital Healthcare

Today two former senior officials of major Blue Cross firms have endorsed Digital Healthcare as the proper party to deploy systems to automate pre-emptive primacy tests required by 42 USC 1902(a) (25) and the new Medicare system to replace the Medicare Secondary Payer Questionnaire system under the SCJIP Extension Act. Primacy determinations or coordination of benefits (COB) is a process to determine which of two insurers should process its liability for a medical claim first. This process was long been assumed to be statistically insignificant by payers until GAO Report 6-862 found in a voluntary survey of Medicaid beneficiaries that 15% of Medicaid insured’s have undisclosed private coverage that is legally primary to the tax supported health plan. 15% of Medicaid claims equal about $64 Billion per year. George A. Brown, with 24 years in senior management at Blue Cross-Blue Shield plans in Delaware, the District of Columbia, and Florida enumerated six reasons why the payer community should favor a centralized approach to this new business method. Mr. Brown pointed out that haphazard implementation of the new laws would entail 4500 health plans uploading enrollment data every day to 50 Medicaid programs and Medicare, with no return to the health plan itself, whereas by centralizing the process as recommended by WEDI in 1993 and OMB in 1995, the message load would be reduced to one upload, would extend the primacy determination to the Admitting Desk and thereby eliminate COB errors for commercial Plan Sponsors. Terry Rogers, MD was COO of Regence Blue Shield and King County Blue Shield, and later at a large multi-specialty clinic in the Pacific Northwest, and at Washington state’s largest hospital. In his endorsement letter to healthcare finance professionals, Dr. Rogers called the centralization of the primacy process the best method in terms of direct costs and the economies of data sharing between payers and medical providers.

News Release: 2007/08/30
White Paper calling for Model enforcement of 42 USC 1902(a)(25) Circulates Among State Legislators

Thus far in 2007, five states (Michigan, Arkansas, Indiana, and Texas) have passed new state law to comply with the mandate of 42 USC 1902(a)(25). With 46 state legislatures scheduling their compliance in upcoming legislative sessions, the need for uniform and reciprocal regulation and enforcement has become apparent. This week, Senator Deuell of Texas, the sponsor of the legislation there, has begun circulating a ‘dear colleague’ letter to his colleagues in other states, supporting a “model act to achieve these purposes. Ryan Erwin, Director of Government Relations for Digital Healthcare, said “the extent of interstate coverage and the failure of CMS to read HIPAA correctly calls for reciprocity among the states to assure that taxpayers, medical providers, and commercial Plan Sponsors all obtain the best result from the expensive process of legislating and complying with the new federal law”.

News Release: 2006/12/19
Ohio Auditor of State recommends Digital Healthcare to Legislature

In a large study mandated by the Assembly, State Auditor Betty Montgomery (formerly Ohio’s Attorney General) today released a Report which, in its relevant part, recommended Digital Healthcare’s patent-protected process as a possible means of improving the fiscal integrity of Ohio ’s Medicaid program. Applying Federal and state studies to Ohio’s budget, estimates of savings from the automation of primacy range between $2Billion and $2.9 Billion per year, enough to extend coverage to 402,000 people. Richard Godoy, Digital Healthcare’s president said “We are grateful for this recognition by a long-serving public official with outstanding credentials in protecting taxpayer assets. Implementation of our systems in Ohio should not only stop the abuse of the taxpayers’ trust funds, but enable many uninsured people to be added to state or private insurance rolls. It now remains for the Assembly to give Medicaid the tools to implement and enforce this process, and then for the Department to follow through with implementation”.

New Release: 2006/05/25. Cleveland, Ohio
Audit Proves Effectiveness of Digital Healthcare System

On the 2nd of May, Digital Healthcare conducted a large-scale audit of a new deployment of its business process on the HP Non-Stop platform. Richard Godoy, president of Digital Healthcare, said “the Non-Stop has a sterling record for high reliability and security in e-commerce applications. We therefore selected the Non-Stop as our preferred platform for the roll-out of our online business processes in healthcare finance”. Mark Schmidt, the project manager of the audit, said “As a system test, this process did not require the use of authentic claims, so we created artificial patient identities and medical conditions to generate the test file. The test process sent 60,000 ANSI 837 medical claims from servers in Cleveland, Ohio to HP’s Advanced Technology Center in Cupertino, California, theoretically submitting those claims to Florida Medicaid. The Non-Stop severs at the ATC then probed outside eligibility databases and its own internal records, and determined that all 60,000 claims were actually the obligation of other health plans. “This test shows that the custom code developed for us and optimized for the Non-Stop would have protected Medicaid from 60,000 claims on the basis of primacy alone. Other functions such as plan exclusions prompt pay, and payer compliance with managed care agreements will be tested separately.” Mr. Godoy said “we are certainly pleased with the outcome of this test. It shows that these machines and this software would have protected the taxpayer’s or the stockholders assets better than any commercial insurance company or TPA can do.”

News Release: 2006/04/01. Cleveland, Ohio
Godoy Appointed President of Digital Healthcare

Richard Godoy, 34, was today appointed president of Digital Healthcare. Jay Marshall, the outgoing president, said “Richard’s appointment represents the next phase in a succession plan which I and my fellow co-founders have had in place since the beginning. Richard brings years of project management into the company. Mr. Godoy said “The opportunity to contribute to society by resolving the fiscal integrity of healthcare finance, 18% of GDP, is exceptional. I find myself inheriting a well-designed platform of IP, business relationships, financial relations, and technical preparation to complete this deployment. Digital Healthcare is sole US licensee of various intellectual properties protecting certain business processes that are essential to transforming healthcare finance from a manual process, full of opportunities for error and abuse, to a more-fully-automated means of correctly allocating fiduciary trust funds to their originally-authorized purposes.

News Release: 2005/10/01. Cleveland, Ohio
Getz Appointed Deputy Treasurer of Digital Healthcare

Bob Getz, 53, has joined Digital Healthcare as its Deputy Treasurer. Mr. Getz comes to the company from a highly successful career as co-owner of NAME, a 15-store auto parts store chain in New Jersey. Getz said “I saw centralized directories and business processes transform the auto parts industry, and as a stockholder and new officer of the company, I’m proud to be a part of transforming the primitive state of business transactions in healthcare finance. Pamela Peterson added “I am personally grateful to Bob for coming from retirement in Florida to give Digital Healthcare the benefit of his experience in developing capital, banking relations, and other Treasury functions.”

News Release: 2005/07/20. Cleveland, Ohio
Stroke Sidelines Co-Founder’s at Digital Healthcare

Patrick Lawlor, IP consultant to Digital Healthcare, suffered a stroke early on the morning of the 16th. Jay Marshall, co-founder and president of the company, said “Mr. Lawlor has been a pillar of this new enterprise. Because of proper preparation and steady growth in our professional staff, this event does not affect day-to-day operations, and doesn’t impact the future of the firm. This event will actually reduce his time commitment to training and allow him to focus his energy on IP, which it appears he’ll still be able to do. Syed M. Hussein, the third co-founder of the company, died in 1995. Digital Healthcare is sole US licensee of various intellectual properties protecting certain business processes that are essential to transforming healthcare finance from a manual process, full of opportunities for error and abuse, to a more-fully-automated means of correctly allocating fiduciary trust funds to their originally-authorized purposes.

News Release: 2005/01/01. Cleveland, Ohio
Peterson Appointed Treasurer at Digital Healthcare

Pamela Peterson has been appointed the Treasurer of Digital Healthcare, Inc., effective today. Peterson, 42, comes from a 20-year career experience as an independent business owner. Jay Marshall, president of the company, said “Pamela adds considerable management bench strength and financial skill to our company as it enjoys the growth it deserves as a monitor on the fiscal integrity of health plans nationwide.” Peterson said “Treasury is the key function in all new corporations, and the model we have at Digital Healthcare calls on me to put forward greater communication with our stockholders than is normal for most American corporations. Exceeding the standard of care is standard procedure at Digital Healthcare.” Digital Healthcare is sole US licensee of various intellectual properties protecting certain business processes that are essential to transforming healthcare finance from a manual process, full of opportunities for error and abuse, to a more-fully-automated means of correctly allocating fiduciary trust funds to their originally-authorized purposes.

News Release: 2005/01/01. Cleveland, Ohio
Burton Appointed Secretary at Digital Healthcare

Penny Burton, 66, was today appointed Secretary of Digital Healthcare. Ms. Burton comes from 40 years experience as a business manager, most recently 7 years as CEO of Churchill Group, Ltd, Carbondale, CO. Ms. Burton said “As a small corporation grows and adds stockholders, it is vital to maintain both an accurate record of the equity, and lively communications with the owners. I’m delighted with this appointment, and I look forward to acting as the company’s primary liaison with the people who’ve trusted us to drive this business plan. Jay Marshall, president, said “Ms. Burton replaces two excellent attorneys who have successively served double duty as Secretary and General Counsel. Her appointment allows us to focus the attention on our stockholders that their number deserves, and allows our lawyers to focus on what they do best. We’re grateful for the opportunity to expand the professional talent aimed at these important relationships.

New Release: 2003/03/20. Cleveland, Ohio
Digital Healthcare announces Audit of National COB Cost Analysis

After three years of gathering data, Digital Healthcare has today received the report of its outside auditor, Hausser & Taylor, on the results of the National COB Cost Analysis. The Cost Analysis sought to match eligibility records from the parties contributing eligibility data against one another’s files, to measure for the first time the rate at which the insured population had primary coverage. On average, 20% of beneficiaries were found to have other coverage that was primary to the health plan whose record was tested. The inference to be drawn is that claims paid by those health plans ought not to have been examined or funded until the primary payer had first paid its fair share. The test record consisted of over 20 MM eligibility and hospital admitting records. No known test of comparable extent has ever been performed. Jay Marshall, president of Digital Healthcare said “Hausser and Taylor is one of the nation’s 25-best auditing firms. Their finding that there were no errors in the data they spot-checked satisfies AICPA standards for verification that this result is, in fact as accurate as possible with the data at hand. Had we worked from all the coverage data in the country; that result would only increase.” Failure to avoid claims on the basis of primacy results in the filing of False Claims against the Federally-funded health plans, and a breach of fiduciary duty by corporate health plans.

News Release: 2001/01/01. Cleveland, Ohio
Marshall Appointed President of Digital Healthcare

Digital Healthcare’s common stockholders today voted to appoint Jay Marshall, a former Congressional aide, seasoned business manager, and a founder of the firm to serve as president. Mr. Marshall replaces another founder, Patrick Lawlor, who leaves the company but retains an advisory contract for president Marshall, training duties, and IP duties. Mr. Marshall said “my appointment to the presidency is part of a succession plan intended to rotate the founders, stockholders, and other qualified persons through the statutory officer ships to broaden our bench strength and assure the integrity of these operations. Mr. Lawlor hands me a stable platform to advance the taxpayers’ interests, built under the toughest circumstances I can imagine. We look forward to advancing the cause of fiscal integrity in healthcare finance.”