HHS Allocations of CARES Act Provider Relief Fund

4/26/2020

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Last week HHS made an announcement regarding the remaining funding that was provided to health care providers under the CARES Act through the Provider Relief Fund. See below for a breakdown of funding. 

General Allocations:

  • $50 billion for general distribution to Medicare facilitates impacted by COVID-19, based on 2018 net patient revenue. $30 billion of this funding has already been distributed and was proportionate to providers share of Medicare fee-for-service reimbursements in 2019.
  • The remaining $20 billion of general distribution will be allocated in proportion to a providers’ share of 2018 net patient revenue.
  • A portion of providers will automatically be sent advance payments based off revenue data they submitted to CMS in cost reports, those without adequate data will need to submit a portal opening this week: https://www.hhs.gov/providerrelief
  • There will also be some providers to receive further, separate funding including skilled nursing facilities, dentists and providers that solely take Medicaid.
  • Payments will go out on a weekly rolling basis as information is validated. 

Targeted Allocations:

  • $10 billion for targeted distribution to hospitals in areas that have been particularly impacted by COVID-19.
  • The administration will use data received to distributed targeted funds to areas with the greatest impact from COVID-19 including consideration for those serving a significant disproportionate number of low-income patients. 

Uninsured Populations:

  • A portion of $100 billion of the fund will be used to reimburse healthcare providers, at Medicare rates for COVID-19 related treatment of the uninsured.
  • Any provider who gave treatment for uninsured COVID-19 patients on or after February 4, 2020 can request claims reimbursement through the program at be reimbursed at Medicare rates. More information can be found herecoviduninsuredclaim.hrsa.gov.   

Allocations for Rural Providers:

  • $10 billion for rural health clinics and hospitals, with money distributed as early as this week on the basis of operating expenses. 

Allocation for Indian Health Service:

  • $400 million for Indian Health Service facilitates, distributed on the basis of operating expenses with funds being distributed as soon as this week.