Bipartisan Bill Addresses Distribution Delays in Provider Relief Fund

A group of Representatives have announced the Provider Relief Improvement Act to ensure that the remaining dollars left in the Provider Relief will be distributed to eligible healthcare providers in response to Delta variant surges.

Congress has allocated $178 billion in the Provider Relief Fund through pandemic-related legislation in 2020 and 2021. The Provider Relief Fund was created in part with the Coronavirus Aid, Relief, and Economic Security (CARES) Act to reimburse healthcare providers for expenses related to the ongoing COVID-19 pandemic.

Since its inception, funds have been distributed to assist healthcare providers. However, delays in reimbursement occurred and are related to several issues, including changing guidance, confusing tax information, burdensome restrictions, and intermittent technical problems.

“Frontline caregivers in America’s senior living communities continue to wait for critically needed relief. From the beginning of the pandemic through the first half of this year, assisted living providers have incurred more than $30 billion in expenses and losses due to COVID-19,” James Balda, president and CEO of Argentum, a senior living organization, said in the press release from House Representatives.

The Provider Relief Improvement Act will require HHS to distribute the remaining funds to reimburse eligible healthcare providers for COVID-19 related expenses by March 31, 2022. 

While funds were on hold, frontline health care workers struggled with an increasing amount of violence in the workplace resulting in lower morale, high turnover rates, and added expenses for employers looking to keep their workers safe.

The new bill details that PRF funds can also be used to mitigate the risk of violence at the workplace and increase safety measures. These measures will include the implementation of secure locks, de-escalation training for staff, and installation of panic buttons. 

Additionally, the PRF funds will assist in providing trauma support for personal concerning violence in the workplace. 

“Since the onset of the pandemic, our nation’s healthcare providers have been gripped with significant financial shortfalls as they work tirelessly to mitigate the risk of COVID-19 and address the needs of our communities,” Anthony Gonzalez, Ohio’s 16th District U.S. House of Representative, said in the press release.

“Because of the slow pace of administrative action associated with the Provider Relief Fund (PRF), healthcare providers have had zero access to any funding to directly offset the costs associated with the recent delta variant surge. Our bipartisan bill would give healthcare providers the financial relief they need to continue their delivery of world-class care.”

The Provider Relief Fund Improvement Act will would remove the process of funds going back and forth between the government and providers at quarterly reporting deadlines. 

In addition, the Act will require HHS to reimburse providers any money returned to HHS at the first reporting deadline of June 30, 2021.