HHS Announces New Provider Relief Fund Payments (Phase 4)

HHS Announces New Provider Relief Fund Payments (Phase 4)

$25.5 billion additional dollars will be allocated to healthcare providers who can document revenue loss and expenses associated with the pandemic. These funds will be made available through the American Rescue Plan and Phase 4 of the Provider Relief Fund, and the application process will be combined for both distributions. HHS specifically includes chiropractic physicians in the list of eligible providers.

As a reminder, chiropractic physicians received funds in three phases in 2020 through the Provider Relief Fund (PRF). In fact, some chiropractic physicians in Illinois received as much as $100,000 from the combined PRF distributions last year.

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The announcement by HHS indicated that the applications will be open beginning September 29, 2021, and HHS did not indicate when the application process would end. However, according to more detailed information from HHS, most of the distributions will not occur until all applications are reviewed and compared.

Steps to Prepare for the Application:

Provider Relief Fund Phase 4 Information ($17 billion):

  • $12.75 billion:
    • Based on lost revenues and pandemic related expenses between July 1, 2020 and March 31, 2021.
    • Large providers (typically hospital systems) will receive minimum payments based on percentage of lost revenues and COVID-19 related expenses.
    • Medium providers will receive a base payment plus a supplement.
    • Small providers will receive a base payment plus a larger supplement.
    • Payments will not be greater than revenue losses and pandemic expenses.
  • $4.25 billion:
    • Also based on lost revenues and pandemic related expenses between July 1, 2020, and March 31, 2021.
    • Bonus payments issued based on the “amount and type of services provided to Medicaid, CHIP, and Medicare patients.”

American Rescue Plan Rural Distribution ($8.5 billion):

Other Announcements:

  • HHS released detailed information on how Phase 3 calculations were performed. Providers who submitted a Phase 3 application and believe they received an incorrect payment according to the released information can request a redetermination.
  • Although the ICS still strongly recommends that providers complete by September 30, 2021, their reporting for the first Provider Relief Fund Reporting time period, HHS is allowing a final 60-day grace period for this reporting. If you would like more information about the reporting requirements, you can read this article and view this video.

As more information is released about this plan, the Illinois Chiropractic Society will keep our members up to date.

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ICS Staff

The Illinois Chiropractic Society staff works collaboratively on many topics to bring the most comprehensive and relevant information to our members. We have over 60 years of chiropractic experience and understand the heartbeat of the profession. We all look forward to providing relevant information to our members for years to come.

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