HHS Reverts Reporting Requirements for Provider Relief Fund (PRF)
In September, HHS updated new reporting requirements for the Provider Relief Fund that raised concern throughout the healthcare industry. After multiple discussions with the provider community and congress HHS is now amending the guidance change to eliminate the risk of letting any of the $175 billion in PRF go unused. Even though HHS is taking a step back on the requirements created in September, it is not a complete reversal. Below is vital information about the revised reporting.
- HHS will compare revenue from all of 2019 to all of 2020 – a full year-over-year look. If a dip in revenue is discovered, the funds can be kept. If reports show higher revenue than the year prior, the funds may be in jeopardy.
- This can directly affect organizations that grew their revenue in 2020, even if such growth was due to expansion through new facilities/locations or acquisitions.
- Lost revenue will be measured as a change in actual year-over-year revenue from direct patient care.
- Hospitals will still need to report how the money was spent.
HHS’ main goal with the reporting is to restrict some providers from receiving distributions that would enrich or make them more profitable than before the pandemic. If there is any leftover PRF Funding HHS will allocate accordingly to help offset lost patient revenue