Provider Relief Funds UPDATE: $4.9 Billion Released to Skilled Nursing Facilities

Skilled nursing facilities (SNFs) are now receiving additional relief fund dollars from the Department of Health & Human Services (HHS), totaling almost $4.9 billion.  In its press release, HHS stated that the additional relief funds are to help SNFs “combat the devastating effects of this pandemic” because they have “faced unique challenges as their population of high risk seniors are more vulnerable to respiratory pathogens like COVID-19.”  SNFs across the country should be aware of the following details related to the funding.

• Distribution Methodology: HHS is making relief fund distributions to SNFs based on both a fixed basis and variable basis. Each SNF will receive a fixed distribution of $50,000, plus a distribution of $2,500 per bed. All certified SNFs with six or more certified beds are eligible for the targeted distribution.

• Attestation Required: Nursing home recipients must attest that they will only use Provider Relief Fund payments for permissible purposes, as set forth in the Terms and Conditions, and agree to comply with future government audit and reporting requirements.

• Terms and Conditions: The new “Skilled Nursing Facility Relief Fund Payment Terms and Conditions” have been released and are available here. We noted that, compared to other fund terms and conditions, it does not require the fund recipient to certify that it billed Medicare in 2019 and makes specific reference to the Paycheck Protection Program (likely to ensure that recipients know double-dipping between different COVID-19 funds is no permitted, as we have discussed previously).

• State-by-State Breakdown: HHS has published a state-by-state breakdown of the number of payments and total funds made available by the agency. New York and Texas received the most funds, at $394,092,500 and $392,105,000, respectively.

For more information, please contact Hedy S. Rubinger or Alexander B. Foster.