Rush Calls for HHS To Protect Funding for Safety Net Hospitals

WASHINGTON — Today, U.S. Representative Bobby L. Rush (D-Ill.) sent a letter to Department of Health and Human Services (HHS) Secretary Alex Azar expressing his strong opposition to the Department’s recent change in the definition of “lost revenue” under their Post-Payment Notice of Reporting Requirements.  This change could have devastating impacts on safety-net hospitals in Illinois and around the country by potentially requiring hospitals to return funding allocated to them through the Provider Relief Fund.  These funds have been essential to the financial solvency of hospitals during the COVID-19 pandemic.

“I have heard from safety net hospitals, both in and around my district, that are being devastated by the increased costs and declining revenues resulting from the COVID-19 pandemic.  It is estimated that Illinois hospitals have lost $1.4 billion in the early stages of the COVID-19 pandemic,” said Rep. Rush.  “As safety net hospitals commit to herculean efforts to respond to the current public health emergency, it is unconscionable that this much-needed funding could be taken from them.  Safety net hospitals serve the very communities who are most affected by the pandemic, and as such, it is our duty to ensure they have the resources they need.”

Congress allocated $175 million to the Provider Relief Fund to ease the burden of hospitals and other healthcare providers due to falling revenues and increased expenses due to COVID-19. In his letter, Rep. Rush urges HHS to reinstate the definition of lost revenue included in earlier guidance, which defines lost revenue as “any revenue that [providers] lost due to coronavirus,” as opposed to the September 19 definition of “a negative change in year-over-year net patient care operating income.”

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