Senate GOP Bill Provides Additional $25B for Provider Relief Fund

The Republican proposal would also provide liability protections for healthcare providers.

The federal government's Provider Relief Fund would receive a $25 billion infusion, and hospitals would be shielded from COVID-19-related employee lawsuits under a $1.1 trillion bill put forward this week by Senate Republicans.

The stage is now set for what is expected to be a fiery debate with House Democrats, who in May put forward a $3 trillion relief package that differs significantly from the Republican plan.

Mainstream news outlets are already reporting that the Senate bill is in dissary and a nonstarter with House Democrats.

A key fight will center around the money allocated for unemployment relief. Democrats want to maintain the $600 weekly supplemental unemployment payments, while Republicans would reduce that to $200.

Specific to healthcare, in addition to the $25 billion in new funds and liability protections, the Republican proposal would delay from 120 days to 270 days the start of repayments for accelerated Medicare payments, and would extend the repayment period from 12 months to 18 months.

The Democrats' package provides $75 billion for testing, tracing and treatment of the coronavirus, $1 trillion for cash-strapped state and local governments to help pay for first responders, healthcare workers, teachers and other vital employees, and $200 billion for a "Heroes' fund" that provides hazard pay for essential workers who've risked their lives to work during the pandemic.

A big fight is expected over liability protections.

The Democrats' proposal mandates federal protections for vital workers, and shields employees from retribution for reporting workplace safety violations.

The GOP proposal shields healthcare providers from liability for COVID-19-related injuries. Those liability protections would also be extended to doctors, nurses, administrators, and volunteers beginning on Dec. 19, 2019 through the end of the national emergency declaration, or Oct. 1, 2024.

Chip Kahn, president and CEO of the Federation of American Hospitals, said the nation's for-profit hospitals "strongly support Majority Leader (Mitch) McConnell's efforts to protect frontline healthcare workers and hospitals from COVID-19 lawsuit abuse, and appreciate additional resources for the Provider Relief Fund."

However, Kahn complained that the GOP bill "does not sufficiently ease the burden of the Medicare Accelerated and Advance Payment Programs loan repayment."

"It is critical that truly sustainable terms for loan repayment are provided by Congress," he said. "Time is running out for providers, and action is critical before hospitals lose 100% of Medicare fee for service payments. The Federation has been warning of this impending threat."