The U.S. Department of Health and Human Services (HHS) this week will release Provider Relief Fund (PRF) Phase 4 payments to health care providers who have experienced revenue losses and expenses related to the pandemic.
HHS, through the Health Resources and Services Administration (HRSA), announced Tuesday it will distribute approximately $9 billion in PRF payments to health care providers financially impacted by the COVID-19 pandemic, with payments starting later this week.
The average payments announced include $58,000 for small providers, $289,000 for medium providers, and $1.7 million for large providers. More than 69,000 providers across the country will receive the Phase 4 payments. HHS previously announced the payment methodology and application period in September.
“This vital funding will ensure critical health care services are delivered to communities across the country – including to those who are disproportionately impacted by the pandemic and medically-underserved, said HHS Secretary Xavier Becerra in a statement. “We will continue to make health care accessible for everyone who needs it and reach people where they are.”
The agency said approximately 75 percent of the Phase 4 funding will be distributed based on expenses and revenue losses from July 1, 2020 to March 31, 2021. HRSA will reimburse more losses and expenses for smaller providers hit especially hard amid the pandemic. HRSA will distribute 25 percent of the PRF Phase 4 payments as “bonus” payments based on the amount and type of services provided to Medicare, Medicaid, or CHIP patients.
HRSA will make the remainder of PRF Phase 4 payments in 2022.