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Author: UCA Admin/Thursday, April 23, 2020/Categories: Industry News
(Summary provided by Camille Bonta, MHS; Principal, Summit Health Care Consulting, and UCA Policy Consultant)
The Department of Health and Human Services (HHS) has announced how it will disseminate the remainder of the $100 billion Provider Relief Fund established by the Coronavirus Aid, Relief, and Economic Security (CARES) Act enacted on March 27.
HHS has apportioned $50 billion for “general allocation” to Medicare facilities and providers impacted by COVID-19. Distribution will be based on a provider’s 2018 net patient revenue.
What this means is that a provider’s payment will be calculated based on the 2018 revenue data they submit to HHS. From that amount, HHS will subtract the amount a provider already received from the CARES Act Provider Relief Fund between April 10 and April 17 based on their 2019 Medicare fee-for-service reimbursements.
In the announcement HHS states the entire $50 billion general distribution will be “allocated proportional to providers' share of 2018 net patient revenue.”
HHS says additional payments will go out weekly, on a rolling basis, as revenue information is received by HHS and is validated.
HHS opened the portal late Friday (4/24/2020) for providers to submit 2018 revenue information. HHS has also created a users guide to help providers through the process.
Only providers, such as hospitals, with cost reports on file with the Centers for Medicare and Medicaid Services will automatically receive a second distribution of funds. All other providers, including urgent care centers, must use the CARES Provider Relief Fund Payment Portal. According to the portal instructions, only Medicare providers who already automatically received payments through the CARES Act Provider Relief Fund during the first distribution are eligible for receiving additional funds.
These funds are not an advance payment and do not need to be repaid.
Information provided by UCA and Camille Bonta, MHS; Principal, Summit Health Care Consulting, and UCA Policy Consultant. Please note that UCA is making every effort to keep this information current; however, due to the speed that it is coming out, please verify with your financial institution or attorney.
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