AHCA/NCAL President & CEO Mark Parkinson sent a message to members outlining details in the latest Congressional stimulus package. He notes it’s a mixed bag for the sector with both positive and disappointing provisions.

Read his message:

Dear AHCA/NCAL Member:

Congress passed a $900 billion stimulus package that is a mixed bag for the sector. There is one disappointment, but there are some favorable provisions that will help us as we enter 2021.

The disappointment is that the bill added only a miniscule $3 billion to the Provider Relief Fund. The rationale appears to be that there is still $20 billion left in it from prior stimulus bills and that the new Congress will look at adding additional dollars in early 2021. Nevertheless, it is a disappointment.

On the positive side, the bill does the following:
1. It extends the sequester relief for three more months. This keeps our Medicare rates 2% higher until the end of March of 2021.
2. It provider a much broader definition of revenue and expenses for purposes of attesting for Provider Relief Funds. This is a major relief for many operators.
3. It prevents some Part B Medicare cuts that otherwise would have taken place.
4. It allows providers to deduct the expenses that PPP loans paid for, even if the SBA forgives the PPP loan. This is a major tax advantage.
5. It allows HUD to offer some more favorable conditions on existing HUD loans.

A longer summary of the bill is available here. We recognize that most of our members are operating at a loss and need additional Provider Relief Funds. You can access our press statement that explains that here. We will continue to advocate for additional funds so that you can continue to provide high quality care.
Please let us know if you have any questions. Thanks for all you do.

Sincerely,

Mark Parkinson
President & CEO, AHCA/NCAL