TUE AM News: UW Health, Epic issue report with AI recommendations for policymakers; Baldwin touting bill that would add new regulations for private equity in health care

July 30, 2024

— UW Health and Epic say policymakers should provide “targeted investment and support” to ensure AI in health care benefits rural communities and other underserved areas.

The Madison health care system and Verona-based electronic health records business yesterday released a report on how AI should be regulated, drawing from a summit they held last month in Washington, D.C. The roundtable event had more than 25 participants including those representing health systems, the offices of federal lawmakers and the U.S. Department of Health and Human Services.

The report includes a number of recommendations for lawmakers and federal officials, including offering incentives to encourage broader adoption of AI technologies in “under-resourced” settings, creating registries for AI tools to track their use across different settings and offering open-source access to such tools.

Chero Goswami, chief information and digital officer for UW Health, notes access to technology is already “somewhat divided” between large academic medical centers and rural hospitals across the country.

“So how do we ensure that, while a one-size-fits-all may not be possible, we don’t further the digital divide, as the term goes, and ensure that the rural hospitals also have access and can afford the access to these technologies,” he said in remarks provided by the health care system.

As artificial intelligence becomes more widespread in health care, Goswami emphasizes the importance of transparency in how it’s being used.

“It is to protect the interests of patients,” he said, referring to the goal of issuing this report. “Most of us, even in the industry, don’t have a clear understanding right now where AI begins and where AI ends. And without that clarity, we often may up inadvertently causing panic and anxiety to our patients and their families.”

Pediatric care experts at last month’s discussion said child health data is often excluded from AI models, leading to “gaps in AI performance in pediatric radiology” as algorithms trained mainly on adult cases struggle to accurately diagnose and predict outcomes for children.

The report also calls for efforts to foster “local validation” of AI models, noting this will be important for tailoring specific applications to certain patient groups and health care operations. Report authors say this will be “especially critical for widespread adoption outside of major metropolitan areas” and top clinical care sites.

They also argue any new regulations should extend beyond the patient-provider relationship to encompass any interaction involving patient data. They say “regulatory frameworks must adapt” as the health care industry expands beyond the hospital or clinic into telehealth, at-home care and community organizations.

Goswami draws a line between national oversight of AI and local efforts to regulate it, noting patients and communities in Wisconsin are “very different” from those in southern California and New England, for example.

“So we have to manage that balance of local versus national when it comes to passing these regulations,” he said.

See the report.

See recent related stories on Gov. Tony Evers’ AI task force and an AI-focused startup accelerator program.

— U.S. Sen. Tammy Baldwin is touting legislation that would establish new regulations around private equity-owned health care facilities.

The Madison Dem argues private equity firms use the health care system as “just another way to make a quick buck,” resulting in worse care and treatment of health workers.

“Our bill will protect patients and workers, hold private equity firms accountable, and close tax loopholes that benefit the wealthy — ensuring families and communities can get the care they deserve,” she said in a statement.

Provisions of the “Health Over Wealth Act” include: requiring health care facilities owned by private equity to publicly report on debt and executive pay as well as political activities and health care costs; requiring these firms to set up escrow accounts to cover five years of expenses to ensure care continuation; barring these businesses from “stripping assets” from health care entities or otherwise undermining care access, quality or safety, and more.

Under the bill, the U.S. Department of Health and Human Services would be able to revoke private equity firms’ investment licenses for price gouging, understaffing or creating access barriers to care, the release shows.

The legislation would also establish a task force to review private equity and consolidation in health care, with a focus on how market trends “create or exacerbate” disparities in health care.

See the bill text and find more details in the release.

For more of the most relevant health care news, reports on groundbreaking research in Wisconsin, links to top stories and more, sign up today for the free daily Health Care Report from WisPolitics and WisBusiness.com.

Sign up here.

— In the latest edition of “Talking Trade,” Great Dane Pub & Brewing Company co-founder and CEO Rob LoBreglio discusses his experience establishing a craft beer operation in Japan.

“We ended up transplanting the name here, even though it’s in English and we’re in Japan,” LoBreglio told Ken Wasylik in an on-site interview at the Madison company’s brewery in Sendai within the country’s Miyagi Prefecture. “And you know, now I am happy. I was not sure about that decision, but now it seems like people are reacting well to it. It’s becoming somewhat iconic.”

LoBreglio says fundraising for the brewery’s foray into Japan was a challenge in getting the business off the ground, along with the language barrier and regulatory differences.

He also discusses the rise of craft brewing in Japan in recent years.

“About seven or eight years ago, craft beer in Japan was about 1.5% of the market,” he said, noting that now “it’s increased to somewhere between 3% and 4% … No one thinks it’s going to grow to be 15% of the market like in America, but most people believe that it’s going to at least double up to about 7% or 8% of the market.”

Great Dane produces 16 different beers in Sendai, and LoBreglio says the business needs to “make what’s popular” despite his own background as a traditional lager brewer.

“So we’re kind of trying to fill that void between the light lagers and the IPAs, we’re trying to infill a little bit,” he said.

The discussion also explores the Japanese beer market more broadly, as well as some recent high-profile acquisitions and trends LoBreglio is observing.

Talking Trade is hosted by E.M Wasylik Associates Managing Director Ken Wasylik and M.E. Dey & Co. President and Managing Director Sandi Siegel.

Watch the full episode here.

“Talking Trade” is now available in audio form on Apple Podcasts, Google Podcasts and other platforms. Subscribe and find more episodes here.

— Wisconsin farm expenditures for 2023 reached $14.6 billion, marking a $35 million increase over the prior year.

That’s according to the USDA’s latest report detailing agricultural expenditures for the state, which shows spending per farm has increased from about $150,000 in 2018 to $250,000 last year.

The amount farms spent on feed in Wisconsin declined 10% over the year to reach $2.95 billion, but remained the single largest production expense for farmers in the state last year with about 20% of the total.

The second-largest category, farm services, increased 20% over the year to reach $1.98 billion — about 14% of the expenditures total.

See the report.

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