Texas and Florida have enacted laws requiring providers and technology vendors to take a closer look at where EHR data is being stored.
State-level data privacy, localization, and security laws are increasingly influencing healthcare data compliance beyond standard HIPAA requirements. In particular, U.S. states Texas and Florida have enacted laws requiring providers and technology vendors to take a closer look at where electronic health records are being stored.
Texas and Florida are among the top three largest states in the U.S. by population, which means understanding these requirements is imperative for healthcare providers, medical billers, and any organization that handles protected health information (PHI) through electronic medical systems.
Understanding the New TX and FL State Legislation
Texas EHR Data Localization Law
Effective January 1, 2026, Texas requires that EHRs containing patient information be physically maintained in the United States or its territories. This requirement represents a significant shift toward mandatory domestic data residency for healthcare information.
Who Is Covered?
The Texas EHR data localization law applies to “covered entities,” as defined in the Texas Health and Safety Code, Chapter 181, which differs from the HIPAA definition. Covered entities are those who engage in the practice of assembling, collecting, analyzing, using, storing, or transmitting protected health information. This includes:
- EHR vendors and healthcare software platforms
- Medical billing and practice management systems
- Third-party vendors with access to or control over EHR storage
- Backup and disaster recovery systems containing EHRs
- Cloud hosting providers storing EHR data
Florida’s Precedent: Already in Effect
Florida supplemented the provisions outlined by HIPAA and set a precedent requiring healthcare providers that use certified electronic health record technology (CEHRT) to ensure that all patient information is physically maintained in the United States, U.S. territories, or Canada.
Florida further requires that licensees, at the time of their application and yearly thereafter, sign an affidavit attesting to their compliance with these requirements.
Why HIPAA Compliance Alone Isn’t Enough Anymore
State legislation—like the laws in Texas and Florida—adds additional, independent obligations that HIPAA does not already address.
The reality is that many healthcare technology vendors may use:
- Offshore data centers
- International customer support teams with system access
- International cloud infrastructure
Texas and Florida reflect a broader shift toward state-driven localization of healthcare data. Practices that proactively align their systems with domestic storage requirements will be better positioned for future regulatory changes by avoiding frantic vendor migrations and potential compliance gaps.
The Provider’s Role in Compliance
Healthcare providers must take an active role in ensuring their vendors meet these requirements. Relying solely on a vendor’s generalized compliance statements may expose providers to compliance gaps and disciplinary action.
When engaging with a vendor, confirm:
- Where is EHR data physically stored?
- Are backups or disaster recovery systems offshore?
- Are data residency commitments documented in writing?
- Can vendors provide compliance attestations when required?
Failure to do so could result in state enforcement action, agency disciplinary action, contractual breaches, or reputational harm.
How RXNT Supports Data Compliance
As states increasingly adopt data localization requirements, healthcare providers are reassessing their technology partners—as they should be.
RXNT’s healthcare data compliance approach aligns with both federal requirements and state-specific EHR storage laws.
RXNT’s Domestic Storage Infrastructure
US-based EHR storage provides the foundation for long-term compliance strategies, and RXNT’s infrastructure is designed specifically for this requirement:
- Patient data is stored exclusively in the United States
- Domestic backup and disaster recovery systems are employed
- Data residency assurances are documented in contracts
RXNT’s America-Based Support Excellence
Our dedicated support teams are also located in the United States. By providing in-house customer support that covers both coasts, we help ensure smooth communication and premium assistance tailored to the unique needs of U.S. healthcare providers.
This means that when you need help, you’re speaking with knowledgeable professionals who understand both the technical aspects of your software and the regulatory environment you operate within.
RXNT is investing in service to improve the reputation of an industry infamous for poor support.
RXNT’s Comprehensive Compliance Design
RXNT’s software solutions are designed to support regulated healthcare environments, including:
- Drummond-certified EHR meeting ONC-HIT requirements
- Surescripts-certified and a five-time award-winning e-prescribing
- DEA-certified for Electronic Prescribing of Controlled Substances
- HIPAA-compliant and certified HealthIT
- Black Book recognition as Leading Integrated EHR–PM Software
Finding a Software Vendor That Prioritizes Compliance
If your current healthcare software vendor can’t clearly articulate where your patient data is stored and provide supporting documentation, it might be time to reevaluate what your practice uses.
RXNT offers compliant, innovative, AI-powered medical office software designed to support both current and evolving regulatory requirements and built for connected care.
Your patients trust you to care for their health and their most sensitive information. Your technology partner should help you fulfill that responsibility with clarity, transparency, and compliance.
Schedule a free, personalized discussion about your needs, your questions, and how RXNT’s US-based healthcare software can help you.
The information on this page relating to your compliance with state or federal regulations is for your general guidance and isn’t legal advice. If you’re unsure of the applicable requirements, consult with a professional about your obligations.
