Medicare Compliance & Reimbursement

If you applied for available American Rescue Plan (ARP) Rural funding this fall, the feds started distributing payments.

Then: Last March, the Biden-Harris Administration earmarked significant funding in the ARP legislation specifically for rural providers and suppliers caring for Medicare, Medicaid, and CHIP beneficiaries during the pandemic (see Medicare Compliance & Reimbursement, Vol. 47, No. 6).

Now: On Nov. 23, the Department of Health and Human Services (HHS) via the Health Resources and Services Administration (HRSA) commenced the distribution of $7.5 billion of ARP funds.

“Health care providers in rural communities have been hit hard by the COVID-19 pandemic, and they continue to experience significant financial hardships,” says HHS Secretary Xavier Becerra in a release. “The infusion of these funds will be critical to ensuring rural communities maintain access to high-quality health care and addressing urgent needs like workforce recruitment and retention.”

The average amount that providers and suppliers will receive is about $170,000 with the payments ranging from $500 to $43 million, HHS says. “More than 40,000 providers in all 50 states, Washington, D.C., and six territories will receive ARP Rural payments.”

Payment amounts were determined from Medicare, Medicaid, and CHIP claims between Jan. 1, 2019 to Sept. 30, 2020. HHS used pre-COVID claims as well as claims submitted during the pandemic for the final numbers.

If you serve at least one rurally-located Medicare, Medicaid, or CHIP beneficiary, you will receive some sort of ARP payment, according to CMS.

Review the HHS update on the distribution, which includes links to a state-by-state breakdown and a provider distribution

Review the HHS update on the distribution, which includes links to a state-by-state breakdown and a provider distribution database, at www.hhs.gov/about/news/2021/11/23/biden-admin-begins-distributing-arp-prf-support-to-providers-impacted-by-pandemic.html.