HIPAA is a law. To reduce ambiguity the government directs it's agencies to issue statements clarifying how new laws will be enforced. Unfortunately, considerable ambiguity still exists in how HIPAA will be enforced. Moreover, with substantial fines, possible jail time, and a whistle blower clause, it is a law to be reckoned with.
Bottom line, if you're not sure if your procedures are compliant switch to something you know is compliant.
D.O.C.S. is a completely HIPAA compliant application.
For more information about HIPPA regulations see http://www.hhs.gov/ocr/privacy/