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Medicare Providers Who Did Not Apply For Round 2 Of The $50B General Distribution Will Get A Second Chance To Apply

In April of this year, many providers received HHS Provider Relief Fund payments from CMS (via United Healthcare). These funds were sent or deposited in their accounts automatically, without any request or application required. This automatic payment was considered Round 1 of the $50B General Distribution, and came from an initial $30B pool of funds. Those providers who received those initial automatic payments were then eligible to apply for additional funding from the remaining $20B of the $50B General Distribution -  but they HAD to apply for that funding. Many providers missed that window to apply for that much needed funding, or didn’t realize it was open or was required since the first payment came automatically. Whatever the reason, those providers who missed that window the first time around (that application window closed in June) will now have the opportunity to submit that application again. The application window will reopen next week, the week of Aug. 10, and will remain open until August 28th. HHS has posted the following statement on their website here: https://www.hhs.gov/about/news/2020/07/31/hhs-extends-application-deadline-for-medicaid-providers-and-plans-to-reopen-portal-to-certain-medicare-providers.html

Second Chance for Certain Medicare Providers

Starting the week of August 10, HHS will allow Medicare providers who missed the opportunity to apply for additional funding from the $20 billion portion of the $50 billion Phase 1 Medicare General Distribution. In April, to expedite providers getting money as quickly as possible, as they faced the financial hardships stemming from suspended elective procedures and other COVID-19 related impacts, HHS, utilizing the Centers for Medicare and Medicare Services (CMS) payment information, distributed $30 billion directly to Medicare providers proportionate to their share of 2019 Medicare fee-for-service reimbursements. This was part one of the $50 billion Phase 1 Medicare General Distribution which sought to offer providers financial relief equal to 2 percent of their annual revenues. Providers that do not submit comprehensive cost reports with CMS were asked to submit revenue information to a portal to receive the balance of their 2 percent payment of General Distribution funds. Some providers, including many Medicaid, CHIP, and dental providers with low Medicare revenues, did not complete an application by the deadline for this additional $20 billion round of funding. HHS, in its principle of ensuring fairness in the administration of the Provider Relief Fund program, is now giving those eligible providers another opportunity to apply for additional funding. They will have until August 28, 2020, to complete an application to be considered for the balance of their additional funding up to 2 percent of their annual patient revenues.