Will You Keep Your Provider Relief Funds?
June 2022 ISSUE June 1, 2022Practice Management Financing
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Congress established the Provider Relief Fund (PRF) under the CARES Act to reimburse health care providers for lost revenue and increased business costs, such as staffing, supplies, PPE, lab, and rent expenses resulting from COVID-19. Almost 76% of our members followed our advice and applied and received PRF funds to help offset their COVID-19 losses.
However, receiving a PRF payment is just the first step in the process. To keep all PRF payments received, you must document that you spent them on approved overhead expenses or lost revenue, and properly report on the use of the funds in a timely manner.
Doctors who received PRF payments exceeding $10,000 between July 1, 2020-December 31, 2020 had until December 31, 2021 to spend those funds, and until March 31, 2022 to submit the report on their usage to the Department of Health and Human Services (HHS). In response to requests from over 30 health care organizations, the Health Resources and Services Administration (HRSA), acting on behalf of HHS, reopened the reporting window through April 22, 2022 for late filings.
While 98% of health care providers complied, HRSA has now contacted over 10,000 providers to recoup amounts that were unspent and/or not timely and properly reported. Providers who fail to return these funds will be barred from any future payments under the PRF.
Practices that received any PRF funds on or after January 1, 2021 should review the following reporting requirements and deadlines applicable to their funds:
- Payments exceeding $10,000 received between January 1, 2021-June 30, 2021: Funds must be used by June 30, 2022, and reports must be filed on or before September 30, 2022.
- Payments exceeding $10,000 received between July 1, 2021-December 31, 2021: Funds must be used on or before December 31, 2022, and reports must be filed on or before March 31, 2023.
If you have questions, contact the HRSA Provider Support Line at 866.569.3522 between 8:00 AM-10:00 PM Central Time, Monday through Friday, or visit HRSA.gov.
The McGill Advisory content Is provided For informational purposes only And does Not constitute legal, accounting, Or other professional advice.
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