Frequently Asked Questions: CARES Act Phase 3 Provider Relief Fund General Distribution

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On October, 1, 2020, the U.S. Department of Health and Human Services (HHS) announced the availability of an additional $20 billion in relief funding for providers – including specifically for behavioral health providers and providers that have already received relief payments. The new funding is intended to offset financial losses and changes in operating expenses due to COVID-19. In addition, some providers who were previously ineligible are invited to apply. Applications for the Phase 3 General Distribution are due November 6, 2020.

What is the Phase 3 General Distribution and how is it different from the previous Provider Relief Fund distributions?

The Phase 3 distribution is intended primarily to: (1) expand the scope of providers eligible to receive 2% of annual patient care revenue; and (2) to provide add-on payments to providers for revenue losses and expenses attributable to COVID-19. As noted above, a wide range of providers are eligible for funding under Phase 3, including providers that have already received funding under previous distributions, behavioral healthcare providers and dental providers who do not bill Federal healthcare programs, and those providers who began practicing in 2020...

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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