
In a time when everything is changing, commitment and reliability are essential. At Draffin Tucker, our team of dedicated experts is staying informed of funding options, healthcare reimbursement changes, regulatory considerations, and all other developments related to COVID-19. We are committed to supporting businesses in the communities we serve by providing timely advice, staffing assistance, and information through education platforms, email alerts, one-on-one conversations, and our online COVID-19 Resource Center.
If you have specific questions on how these resources apply to your organization, please contact a member of our team, visit our COVID-19 Impact Assessment page or send an email to Coronavirus@draffin-tucker.com.
Visit the following organization’s COVID-19 webpage for more resources and information by clicking on their name.
Centers for Medicare and Medicaid Services (CMS)
- 2% Sequestration Suspension – As part of the CARES Act, all healthcare providers receiving Medicare payments will see the 2% sequestration reduction suspended during the period May 1, 2020 to December 31, 2020. Find that information here.
- The sequestration suspension has been extended to March 21, 2021. Find that information here.
- 20% Payment Add-On – As part of the CARES Act, providers being reimbursed under the Medicare hospital Inpatient Prospective Payment System (IPPS) will experience a 20% increase in reimbursement for Medicare fee-for-service patients with a COVID-19 diagnosis code. Find that information here.
- Advance/Accelerated Payments – Hospitals were eligible to receive advance or accelerated payments from the Medicare Program. They were to submit applications for these programs to their Medicare Administrative Contractor (MAC), which are listed below. A fact sheet is located here.
- CMS is not accepting any new applications for the Advance or Accelerated Payment Programs.
- Medicare fee-for-service billing FAQs related to COVID-19 can be found here.
US Department of Health and Human Services (HHS) – CARES Act Provider Relief Fund of $175 billion. Terms and conditions for all distributions can be found here. Distributions to date are:
- $92.5 billion in general distribution (Phases 1-3)
- $22 billion in high impact relief funds
- $11.3 billion in rural provider relief funds
- $14.7 billion in safety net hospital provider relief funds
- Uninsured relief funds (distributed on a per claim basis)
- $7.4 billion for skilled nursing facilities
- $500 million for Tribal Hospitals, Clinics, and Urban Health Centers
Reporting
HHS has released updated post-payment reporting requirements for the Provider Relief Funds (PRF) here. Providers who received PRF payments exceeding $10,000 must first register in the Provider Relief Fund Reporting Portal which can be found here. Prior to registration, providers should review the post-payment reporting requirements and the portal FAQs found here to determine their appropriate Reporting Entity and gather all necessary information.
There is not yet a due date for the registration process. However, registration must be completed before a provider can report on the use of funds. The reporting process has been delayed. The updated timeline for submission of the reports will be communicated when available through email to the email address provided during the registration process. Providers can also monitor the Reporting and Auditing webpage for the latest updates about the PRF Reporting Portal.
Originally the first reporting for funds expended through December 31, 2020 was due by February 15, 2021, but HHS has not established a new deadline yet.
- Recipients with unexpended funds on December 31, 2020 must submit a second and final report no later than July 31, 2021 for the time period January 1, 2020 – June 30, 2021.
These reporting requirements do not apply to the Nursing Home Infection Control distribution or the Rural Health Clinic Testing distribution. See the Reporting and Auditing webpage for more details and information about registration and reporting requirements for these distributions.
These reporting requirements also do not apply to reimbursement from the HRSA Uninsured Program. Additional reporting may be announced in the future for these payments.
Single Audit Auditee Summary
New to Single Audit? Check out this resource – Single Audit Auditee Summary – to learn more about the requirements and how to prepare for a Single Audit.
OMB Compliance Supplement Addendum for Provider Relief Funds and other programs can be found here. This addendum supplements the 2020 OMB 2 CFR 200 Part 200, Appendix XI Compliance Supplement to provide additional guidance for programs with expenditures of COVID-19 awards that the auditor determines are major programs in audits performed under 2 CFR 200 Subpart F.
Health Resources and Services Administration (HRSA) – COVID-19 impact on the 340b program
Federal Communications Commission (FCC) – COVID-19 Telehealth Program
- As of June 25, 2020, the FCC stopped accepting new applications for this program.
Organizations
- Georgia Hospital Association (GHA)
- Hometown Health
- Healthcare Financial Management Association (HFMA)
- National Rural Health Association (NRHA)
- National Association of Community Health Centers
- Key CARES Act provisions affecting CHCs here.
Medicare Administrative Contractors (MACs)
- Palmetto GBA – Palmetto has published accelerated payments FAQs here.
- First Coast Service Options
- Novitas
Visit the following organization’s COVID-19 webpage for more resources and information by clicking on their name.
- Centers for Disease Control (CDC)
- Small Business Administration (SBA)
- United States Federal Reserve– Established a Main Street Lending Program. This program terminated on January 8,2021.
- U.S. Chamber of Commerce – Coronavirus Loan Guide to assist small businesses (under 500 employees)
- U.S. Department of Treasury – assistance for small businesses
- They also published answers to frequently asked questions on the Paycheck Protection Program here.
- Occupational Safety and Health Administration (OSHA)
- FEMA
- GEMA
- Georgia Department of Public Health – COVID-19 statistics for the State of Georgia (daily, by County, etc.)
Visit the following organization’s COVID-19 webpage for more resources and information by clicking on their name.
- Internal Revenue Service (IRS) – Issued numerous alerts and extended filing deadlines for certain returns.
- New tax credits to assist businesses here.
- Georgia Department of Revenue – Extended State filing deadlines as well.
- American Institute of Certified Public Accountants (AICPA) – State-by-state tax filing changes
- The AICPA has posted Tax Filing FAQs here.
Social Security Payroll Tax Deferral
Under the Presidential Memorandum issued on August 8, 2020, the employee’s share of Social Security taxes may be deferred for those employees earning less than $4,000 on a biweekly basis (or the prorated amount for those on other payroll schedules) for payroll occurring between September 1, 2020 through December 31, 2020. These amounts are to be repaid in 2021. On August 12, 2020, Treasury Secretary Steven Mnuchin stated that the program was not mandatory, allowing employers to choose whether they would participate in the deferral program.
On August 28, 2020, the IRS issued Notice 2020-65, which was the first guidance provided for the deferral of employee Social Security taxes.
Under the Notice, the Treasury outlined that the repayment of the deferral would occur through additional withholding from the employee’s payroll during the period January 1, 2021 through April 30, 2021. The Notice also stated that employers should make alternate arrangements with any employee from whom the additional withholding could not be collected. It was also clarified that the $4,000 limit was determined on a payroll-by-payroll basis, and that prior payrolls should not be considered.
While the Memorandum suggested Treasury “explore avenues, including legislation, to eliminate the obligation to pay the taxes deferred…”, no such steps toward forgiveness were outlined in the Notice. Therefore, at this time, it is prudent for employers and employees to plan for the deferred amounts to be repaid in 2021.
Please check back for additional updates. The information above represents a general overview. You should consult your payroll and/or tax advisor prior to making decisions related to this program.
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Client Alerts
- SBA Paycheck Protection Program Loan
- Expansion of the Accelerated and Advance Payments Program
- COVID-19 Payroll Tax and Unemployment Rules
- FASB Votes to Delay Topic 842, Leases for All Not-for-Profits and Private Companies
- Reimbursement for Uninsured COVID-19 Services
- GASB Proposes One-Year Delay to Certain Authoritative Guidance
- COVID-19 Telehealth Funding
- HHS Targeted Relief Fund Data Submission to Help Determine Distribution of Additional CARES Act Funds
- Federal Funding Considerations and Data Capture
- COVID-19 Claims Reimbursement for Testing and Treating Uninsured Patients
- SBA PPP Loan Update: Additional Guidance for Hospital and Healthcare Authorities
- HHS Funds Distribution Requirements
- GASB Delays Certain Authoritative Guidance
- SBA Releases PPP Forgiveness Application and Instructions
- HHS General Distribution Portal Reporting Due June 3, 2020
- HHS High Impact Area Data Request Due June 15, 2020
- GASB Accounting and Financial Reporting Issues Related to the CARES Act
- HHS Safety Net Hospital Distribution
- Impact of SECURE Act and CARES Act on Employee Benefit Plans
- Control and Use of Provider Relief Funds Payments
- HHS Provider Relief Funds Reporting and Single Audit Requirements
- HHS Provider Relief Funds Reporting Requirements
- Nursing Home Quality Incentive Payment Program
- Provider Relief Fund Update: Lost Revenues, Phase 3 Funds, and Single Audit Information
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Presentations
- SBA Paycheck Protection Loan Program: What You Need to Know and Do (April 2, 2020) – Click here for recording.
- Federal Funding Considerations and Data Capture (April 24,2020) – Click here for the recording
- Follow up webinar session Questions and Answers are located here.
- PPP Loan Forgiveness (June 10, 2020) – Click here for recording
- CARES Act – Accounting Considerations and HHS Provider Relief Funding Considerations and Data Capture (June 24, 2020) – Click here for recording.
- Alabama Hospital Association webinar on PPP Loan Forgiveness (June 29,2020) – Click here for recording.
- Draffin Tucker 2020 Virtual Heath Conference (July 22, 2020) – Click here for recording.
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Other Information
- Vizient Southern States “Conversations”
Visit the following organization’s COVID-19 webpage for more resources and information by clicking on their name.