Health providers are under growing pressure to modernize their digital services so that it’s easier for patients to access care, providers to coordinate, and programs like Medicaid and Medicare to operate more efficiently. Too often, these modernization efforts fall short. As new tools and platforms are introduced, a consistent theme is emerging: technology alone is not enough. The success of any modernization attempt depends on the strength of the underlying data, the ability to securely share it across systems, and the extent to which it can be put into the hands of both providers and patients.
Focusing on Data
Digital tools are only as good as the data behind them. In March, the Defense Health Agency (DHA) announced a new data strategy that aims to improve the quality, accessibility, and reliability of its data to better serve the leaders, clinicians, and planners responsible for military medical support. The goal is to reduce time spent searching across multiple sources for critical information. The strategy treats data as a central mission asset, since improved data access could provide leaders with a real-time operational view of medical resources such as global blood inventories and available medical beds.
The DHA strategy has five key lines of effort:
Strengthening data roles and responsibilities
Maximizing use of authoritative data sources
Operationalizing data as a product
Building trust through data quality and transparency
Maintaining an enterprise data catalog
The DHA is also expanding data-sharing initiatives with the Department of Veterans Affairs to improve coordination across the federal healthcare system. Like the DHA, several other agencies are increasingly focused on interoperability.
Ensuring Interoperability
Moving health records into digital format is only part of the solution. In order to realize the value of digitization, those records have to be transportable and interoperable across systems. Ensuring interoperability though mandates and regulation is a key focus across the Department of Health and Human Services (HHS).
The Trusted Exchange Framework and Common Agreement (TEFCA) was designed by the HHS Office of the National Coordinator for Health Information Technology as a nationwide policy and technical framework to connect health data networks across the U.S. It provides a common set of rules and technical standards that allow different health information networks to connect and trust each other. While being involved with TEFCA is voluntary, there are currently over 71,000 sites or organizations participating.
Besides this overarching framework, the Centers for Medicare & Medicaid Services (CMS) is leading an API-focused data exchange framework to enable sharing of patient medical records. The goal is to accelerate data sharing at a faster pace than can be achieved through regulations alone.
Improving Patient Access
In addition to ensuring that providers have access to digital records, HHS is also looking for ways to improve patients’ access to their own health data. CMS recently unveiled a Medicare App Library, a centralized directory that gives Medicare beneficiaries access to vetted digital health tools that are integrated with their providers and care.
CMS also recently added modern login options on Medicare.gov based on government-approved credentials, including CLEAR, ID.me, and Login.gov. This eases the login process, allowing users to authenticate using biometrics, just like they do for many other online accounts. Within the first week of the rollout, 25% of users picked one of those new modern credentials and 60% percent of new accounts that have been created using the modern credentials.
States as Innovation Hubs
Outside of the federal government, state health agencies are making key strides in improving health system interoperability and patient access.
Colorado recently released a data-governance focused roadmap for giving patients better access to their health data. To create this roadmap, and reach constituents from urban Denver to remote mountain towns, they held listening sessions in eight languages in locations from urban Denver to remote mountain towns.
A focus on rural areas is critical, as according to the U.S. Department of Agriculture, 146 rural hospitals in the United States closed or stopped providing inpatient services from 2005 to 2023. In 2025, CMS awarded funding to all 50 states to help get the resources and programs in place to keep care accessible across rural areas.
The funding can be used for tech upgrades to modernize rural hospitals and health systems, as well as to establish rural regional centers of excellence, comprehensive data-sharing platforms, and clinically integrated networks. The recently created Office of Rural Health Transformation will oversee the programs and projects being funded.
To stay on top of health IT policy and technology, check out the following resources:
PSC FedHealth Conference (May 21, 2026; Rockville, MD, and virtual) – This event brings senior executives from across industry and government together to discuss critical industry policy and acquisition priorities in civilian and military health.
Health IT Summit 2026 (May 26-27, 2026, Rockville, MD) – With the theme, “Making Progress, Advancing Healthcare Outcomes in an Era of AI,” this event will focus on ensuring the next generation of healthcare is not only technologically advanced, but more accessible and equitable for every American.
Military Health System (MHS) Conference 2026 (May 26-29, 2026; Dallas, TX) – This conference provides a unique venue for knowledge sharing, innovative ideas, discussions of lessons learned, and the introduction of exciting new developments within the Military Health System.
State of the Industry: Healthcare (white paper) – This report provides an in-depth look at the transformative shifts shaping healthcare delivery, innovation, and technology adoption. It explores how digital tools, data analytics, and AI are redefining patient engagement, operational efficiency, and clinical outcomes. The report highlights the challenges facing healthcare leaders—from regulatory pressures to workforce shortages—while showcasing strategies to modernize systems and enhance care equity.
The Role of EHR Integration in Streamlining the Billing Process (white paper) – EHR integration streamlines healthcare billing by linking clinical documentation directly with financial workflows. It reduces errors, strengthens regulatory compliance, accelerates reimbursements, and lowers administrative burden. Integrated systems also improve transparency, support government oversight, enhance patient trust, and promote long-term financial and operational sustainability.