On Oct. 1, the Department of Health and Human Services (HHS) announced $20 billion in new funding for providers through Phase 3 of Provider Relief Funding. Under Phase 3 of the General Distribution funding, providers that have already received Provider Relief Funds are invited to apply for additional funding that considers financial losses and changes in operating expenses caused by COVID-19. Previously ineligible providers, including those who began practicing in 2020 and an expanded group of behavioral health providers, are eligible to apply under this new phase of funding.
HHS has already issued over $100 billion through prior distributions of the Provider Relief Fund. For eligible providers, Phase 3 is designed to balance an equitable payment of 2% of annual revenue from patient care for all applicants plus an add-on payment to account for revenue losses and expenses attributable to COVID-19. The add-on payment will consider a provider’s change in operating revenues from patient care, a provider’s change in operating expenses from patient care, including expenses incurred due to COVID-19, and payments already received through previous Provider Relief Fund distributions.
The portal to apply for Phase 3 of the General Distribution is now open. The deadline to apply is Nov. 6.
Visit the HHS website for more information on how to apply.