Epic’s $62M contract at University of Illinois could be voided

A state board in Illinois has recommended voiding a seven-year, $62 million contract for Epic to implement a new electronic health record (EHR) system at University of Illinois Hospital and Health Sciences System in Chicago, finding some merit for Cerner’s claims that there was conflict of interest with the firm hired to evaluate the bids.

The Procurement Policy Board voted 3-0 to refer the matter to the Illinois Executive Ethics Commission. The state’s Chief Procurement Office for Higher Education had months ago rejected the challenge to the contract by Cerner, which alleged Impact Advisors unfairly favored Epic in its evaluation because it had represented the health IT giant on similar projects.

“Something's wrong here,” board member Bill Black said at its April 17 meeting, according to the Champaign News-Gazette. “I'm not completely comfortable saying there is a conflict of interest, but there certainly may be, and perhaps a hearing before the executive ethics commission could shine more light on this matter than what we're able to do.”

If the ethics commission determines there was a conflict of interest, the deal would be voided.

Cerner has been aggressive in contesting the contract. Its attorney, Mara Georges, alleged in a report from NBC Chicago that not only was Cerner’s bid for the project lower than Epic, but Epic’s bid didn’t account for up to $100 million in other implementation costs.

“I smell a rat here,” Georges told NBC Chicago in March.

In a statement, Epic spokesperson Meghan Roh told HealthExec: “UI Health has previously used both Epic and Cerner and they chose Epic for their system-wide EHR. We believe that organizations have a right to choose the solution they feel best meets their needs. It’s unfortunate that a case of sour grapes is preventing that from happening.”

""
John Gregory, Senior Writer

John joined TriMed in 2016, focusing on healthcare policy and regulation. After graduating from Columbia College Chicago, he worked at FM News Chicago and Rivet News Radio, and worked on the state government and politics beat for the Illinois Radio Network. Outside of work, you may find him adding to his never-ending graphic novel collection.

Trimed Popup
Trimed Popup