HHS Announces Availability of Additional $20 Billion Through the Provider Relief Fund

Applications for Phase 3 General Distribution funding will be accepted from October 5, 2020 through November 6, 2020
October 1, 2020

On October 1, 2020, the Department of Health and Human Services (HHS) announced $20 billion in new funding for providers through the Provider Relief Fund (PRF). Under this Phase 3 General Distribution allocation, providers that have already received PRF payments will be invited to apply for additional funding that considers financial losses and changes in operating expenses caused by COVID-19. Some previously ineligible providers will also be eligible for relief payments.

HHS is urging all eligible providers to apply early. Do not wait until the last day or week of the application period. Applying early will help to expedite HHS’s review process and payment calculations, and ultimately accelerate the distribution of all payments. All payment recipients will be required to attest to receiving the Phase 3 General Distribution payment and accept the associated Terms and Conditions.

Eligible providers include:

  • Providers who previously received, rejected, or accepted a General Distribution PRF payment. Providers that 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. This includes Medicare, Medicaid, CHIP, dentists, assisted living facilities and behavioral health providers.

All  submissions will be reviewed to determine if providers have already received a Provider Relief Fund payment equal to approximately 2% of patient care revenue from prior general distributions. Applicants that have not yet received Relief Fund payments of 2% of patient revenue will receive a payment that, when combined with prior payments (if any), equals 2% of patient care revenue.

With the remaining balance of the $20 billion budget, Health Resources and Services Administration (HRSA) will then calculate an equitable add-on payment that considers the following:

  • 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
  • Payments already received through prior PRF distributions.

Learn more.

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