HHS announces $25.5 billion in COVID-19 funding for providers
The U.S. Department of Health and Human Services (HHS), through the Health Resources and Services Administration (HRSA), announced that it is making $25.5 billion in new funding available for health care providers impacted by the COVID-19 pandemic.
In a press release, HHS said that the funding will include $8.5 billion in American Rescue Plan (ARP) resources for providers who attend to Medicaid, Children's Health Insurance Program (CHIP) or Medicare patients.
An additional $17 billion will be allocated for Provider Relief Fund (PRF) Phase 4 for a broad range of providers who can document revenue loss and expenses associated with the pandemic.
The combined application process for ARP rural funding and PRF Phase 4 will open on Sep. 29.
"This funding critically helps health care providers who have endured demanding workloads and significant financial strains amidst the pandemic," HHS Secretary Xavier Becerra said. "The funding will be distributed with an eye towards equity, to ensure providers who serve our most vulnerable communities will receive the support they need."
PRF Phase 4 payments will be based on providers' lost revenues and expenditures between July 1, 2020, and March 31, 2021, as specified in the Coronavirus Response and Relief Supplemental Appropriations Act of 2020.
In addition, HRSA will make ARP rural payments to providers based on the amount of Medicaid, CHIP and/or Medicare services they provide to their who live in rural areas as defined by the HHS Federal Office of Rural Health Policy.
Due to challenges providers are dealing with due to recent natural disasters and the COVID-19 Delta variant, HHS also announced a final 60-day grace period designed to help providers comply with PRF Reporting requirements if they fail to meet the Sep. 30, 2021, deadline for the first PRF Reporting Time Period.
More information is available here.