Two Important HHS Provider Relief Fund Updates - New Funds Available and Reporting Deadline Grace Period

Published in Government Relations on September 17, 2021

The Department of Health and Human Services (HHS) has announced 2 important updates (https://www.hhs.gov/about/news/2021/09/10/hhs-announces-the-availability-of-25-point-5-billion-in-covid-19-provider-funding.html) regarding the HHS Provider Relief Fund (PRF).

  1. An additional $25.5B in funding will be made available to eligible providers beginning September 29th. The funding will be available through 2 different source. $8.5B dollars will be made available through the American Rescue Plan, and an additional $17B has been added to create Phase 4 of the PRF. This additional $25.5B will be made available to providers who continue to experience pandemic related expenses and/or lost revenues. According to HHS Secretary Xavier Becerra, 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." According to the HHS website, “Phase 4 payments will be based on providers' lost revenues and expenditures between July 1, 2020, and March 31, 2021. As part of the Biden-Harris Administration's ongoing commitment to equity, and to support providers with the most need, PRF Phase 4 will reimburse smaller providers—who tend to operate on thin margins and often serve vulnerable or isolated communities—for their lost revenues and COVID-19 expenses at a higher rate compared to larger providers. PRF Phase 4 will also include bonus payments for providers who serve Medicaid, CHIP, and/or Medicare patients, who tend to be lower income and have greater and more complex medical needs. HRSA will price these bonus payments at the generally higher Medicare rates to ensure equity for those serving low-income children, pregnant women, people with disabilities, and seniors.” While the new funding is available through 2 separate sources, HHS has said that providers will be able to apply for both programs via one application. HRSA will use existing Medicaid, CHIP and Medicare claims data in calculating payments. Again, the application portal will open on September 29, 2021. To help ensure that these provider relief funds are used for patient care, PRF recipients will be required to notify the HHS Secretary of any merger with, or acquisition of, another health care provider during the period in which they can use the payments. Providers who report a merger or acquisition may be more likely to be audited to confirm their funds were used for coronavirus-related costs.
  1. An extension of the September 30th deadline for the first reporting window. Because of the challenges which providers continue to face as a result of some natural disasters as well as the Delta variant of COVID-19, HHS has announced a 60-day grace period to help providers come into compliance with the reporting requirements of the PRF. Providers who are required to report in this first reporting window, which has a deadline of September 30th, are still encouraged to do all they can to meet that September 30th deadline. However, should they fail to meet that deadline, they will be granted that additional 60 days. While the deadlines to use funds and the Reporting Time Period will not change, HHS will not initiate collection activities or other enforcement actions for noncompliant providers until after the 60 day grace period has passed.

TAGS

  1. hhs
  2. phe
  3. vgm government

From Our Experts

H.R. 5555 Gets Amended and Passes Energy and Commerce Committee thumbnail H.R. 5555 Gets Amended and Passes Energy and Commerce Committee On Wednesday, Dec. 6, The House Energy and Commerce Committee approved an amended version of H.R. 5555. The amended version of this bill extends the 75/25 blended rate in non-rural, non-CBAs through 2024 but does not include the 90/10 blended rate adjustment for suppliers in former CBAs. A Note from the SVP, Mike A Note from the SVP, Mike "Ike" Isaacson: November 2023 I hope this newsletter finds you healthy, happy, and focused on finishing out a great year! As many of you may have read, I have begun to focus more on our advocacy efforts and ensuring that VGM is here to support you in the legislative and regulatory aspects of your business. I know firsthand that some of you are dialed into the advocacy world, while others may not view these activities as an important part of your business. In our current government climate, I implore you to re-evaluate your a H.R. 5555 Gets Approved By Health Subcommittee thumbnail H.R. 5555 Gets Approved By Health Subcommittee On Wednesday, Nov. 15, the Health Subcommittee convened the health markup. The DMEPOS Relief Act of 2023 (H.R. 5555) was included in the discussion and approved. H.R. 5555 will now move on to the Energy and Commerce committee for consideration in the next few weeks. Important HME Legislation Being Discussed By Health Subcommittee on Wednesday thumbnail Important HME Legislation Being Discussed By Health Subcommittee on Wednesday On Wednesday, Nov. 15, the Health Subcommittee of the House Energy and Commerce Committee is set to meet and discuss important legislation. Included in this session will be H.R. 5555, DMEPOS Relief Act of 2023. This bill, led by Rep. Miller-Meeks (IA) and Rep. Tonko (NY) provides much-needed reimbursement relief. Read the full public memo here. Ronda Vlog: CGM News - Update On the 90 Days Billable on January 1, 2024 thumbnail Ronda Vlog: CGM News - Update On the 90 Days Billable on January 1, 2024 Be sure to listen to this important video update from Ronda Buhrmester on the upcoming change on how to bill a 90-day supply for CGMs. VGM's Ike Isaacson Gets 'Revved Up' thumbnail VGM's Ike Isaacson Gets 'Revved Up' WATERLOO, Iowa – A singular focus and a singular voice: That's what it takes to get the HME industry's message across to both lawmakers and regulators, says Mike “Ike” Isaacson, who was recently named senior vice president of government relations at VGM & Associates. A Summary of the Final Rule on the Lymphedema Treatment Act Recently Released by CMS thumbnail A Summary of the Final Rule on the Lymphedema Treatment Act Recently Released by CMS Craig Douglas, VP of Payer Relations, VGM and Associates, has reviewed the document and summarized the important information. Champions of Change Pushing for 55 in 55 Make Moves in Illinois thumbnail Champions of Change Pushing for 55 in 55 Make Moves in Illinois Champions of Change are making a strong start in the push for 55 in 55 (The goal of 55 in 55 is to schedule 55 visits with legislators and/or their staff in 55 days). Yesterday, a room of nearly 20 people gathered at VGM member, Prism Health Care Services in Schaumburg, IL to discuss S. 1294, current DME rates impacted by supply chain, delivery costs, employee costs, inflation, and so much more.