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Providers Can Apply for $20 Billion in New Provider Relief Funding Starting October 5, 2020

Oct 02 2020

On October 1, 2020, the Department of Health and Human Services (“HHS”) announced $20 billion in additional funding for health care providers impacted by the COVID-19 pandemic.[1]  This Phase 3 General distribution plan expands the scope of providers eligible for funding and may enable providers who have already received payments from the Provider Relief Fund to obtain additional funds to help alleviate financial losses and increased operating expenses arising from the public health emergency.  The application process for this funding is only open from October 5, 2020 through November 6, 2020.  Accordingly, the HHS is urging all eligible providers to apply early to help expedite the review process, payment calculations, and distributions of payments.  Providers eligible to apply for distributions in Phase 3 include:

  • Providers who previously received, rejected or accepted a General Distribution Provider Relief Fund payment. Providers who have already received payments of approximately 2% of annual revenue from patient care may submit more information to become eligible for an additional payment.
  • Behavioral Health providers, including those that previously received funding and new providers.
  • Healthcare providers that began practicing January 1, 2020 through March 31, 2020.

The initial application review for Phase 3 will be to ensure that all eligible applicants receive Provider Relief Fund payments totaling approximately 2 percent of annual patient care revenue, taking into account any funds the provider has already received from prior general distributions.  Once this is complete, the Health Resources and Services Administration will calculate equitable add-on payments for all eligible providers that considers the following factors:

  • A provider’s change in operating revenues from patient care;
  • A provider’s change in operating expenses from patient care, including expenses incurred related to coronavirus; and
  • Payments already received through prior Provider Relief Fund distributions.

All payment recipients will be required to attest to receiving the Phase 3 General Distribution payment and accept the associated Terms and Conditions.  The HHS instructions for submitting an application, attesting to payment, and accepting Terms and Conditions are available at https://www.hhs.gov/coronavirus/cares-act-provider-relief-fund/index.html.

[1] https://www.hhs.gov/about/news/2020/10/1/trump-administration-announces-20-billion-in-new-phase-3-provider-relief-funding.html

SHG Attorney Megan Jury is admitted to practice law in Arizona, Colorado, and New Mexico and currently resides in Colorado.

Written by Stotler Hayes · Categorized: COVID-19

Stotler Hayes Group, LLC is a national, boutique law firm focused on optimizing recovery for health care providers through Medicaid, Medicare, private collections, training and education. Our attorneys are licensed in, and represent clients before, federal and state courts and agencies in a majority of states around the country.

In the handful of states where Stotler Hayes Group, LLC does not employ a full-time attorney, referrals are made to local counsel, many of whom we have developed close working relationships with over the years. In those cases, our firm works with local counsel throughout the pendency of the case.

Stotler Hayes Group, LLC,

Principal Office: Pawley’s Island, SC, Phone: 843-235-9871; Fax: 888-497-7390; email: info@stotlerhayes.com

This website is for informational purposes only. Please remember that every case is different. Any result we achieve for one client in one matter does not necessarily indicate similar results can be obtained for other clients.

The attorney responsible for the content of this website is Andrea Kirksey, Esq., Executive Director and General Counsel for Stotler Hayes Group, LLC, 297 Willbrook Boulevard,  Pawley’s Island, South Carolina.

She may be contacted at (843) 235-9871, ext. 1002 or at akirksey@stotlerhayes.com.

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