The federal government IS in healthcare, it is a reality. I would prefer that it not be, but it has been since medicare/medicaid and the VA benefits were established. To try to make me give you reasons why it is, is to blame me personally for an institution that is decades old. The HIPPA guidelines have been in the works for 20 years, they are to be implemented this year. This is apparently only news to you.
I suggest you visit a site called hippainfo.net. It may give you some answers.
Yes and the vast majority of this communication regarding patients is done between the healthcare workers. If the Clinton plan would have gone into effect, the healthcare workers could not communicate hardly at all without getting a signature from you every time. The government could get just about any access and records they want whether they need it or not.
Why is this a federal issue? I don't know. Probably some liberal judge made a decision that made it a federal case because of medicare/medicaid and determined that insurance and HMOs had to follow the same rules as medicare/medicaid, but I don't really know the answer to that question.