Among the health IT (HIT) provisions in the American Recovery and Reinvestment Act, by far the biggest outlays are the electronic health record (EHR) adoption incentives for Medicare and Medicaid providers. While this represents an opportunity for government medical institutions, the timeframes prescribed by the act will challenge some providers.

With final payments distributed in fiscal 2016, providers and hospitals that have not already begun the implementation process will be hard-pressed to get the biggest benefit from the incentives.

"This is a matter of hurry up and wait," said Marc Holland, program director for health care provider research with IDC's Health Industry Insights. To secure stimulus funds, providers and hospitals must shop for an EHR system, buy it, install it and demonstrate "meaningful use." Shopping for and planning an EHR installation can take several months for a small provider and at least 12-24 months for hospitals, said Holland.

However, it's worth it for providers to adopt even if they can't do so in time for the bigger reimbursement amounts because nonadopters will see Medicare payment reductions starting in 2015.