Eligible dental providers may now apply for Provider Relief Funds, but the deadline to do so, July 24, 2020, is quickly approaching.

On July 10, 2020, the U.S. Department of Health and Human Services (“HHS”) announced an additional $4 billion in relief payments to healthcare providers and, notably, opened its provider portal to dental providers. Eligible dental providers will receive a reimbursement of 2 percent of their reported gross revenue from patient care on their most recent tax filing.

A dental provider must meet all of the following requirements to be eligible:

1. must not have received payment from the initial $50 billion Medicare-focused General Distribution;
2. must not have received payment from the $15 billion Medicaid and CHIP Distribution;
3. must have either (i) filed a federal income tax return for fiscal years 2017, 2018 or 2019 or (ii) be an entity exempt from the requirement to file a federal income tax return;
4. must have provided patient dental care after January 31, 2020;
5. must not have permanently ceased providing patient dental care directly, or indirectly through included subsidiaries; and
6. if the applicant is an individual, have gross receipts or sales from providing patient dental care reported on Form 1040, Schedule C, Line 1, excluding income reported on a W-2 as a (statutory) employee.
   
   

Beyond having to meet all six of the above requirements, dental providers must also not be excluded from participating in Medicare, Medicaid, or other Federal health care programs, or be precluded from receiving payments through Medicare Advantage or Part D.

HHS will use a curated list of dental providers, based on provider tax identification number (“TIN”), collected from third-party sources and HHS datasets to determine initial eligibility. HHS will work with providers not on the curated list to determine if the providers are in fact still eligible for funding, but this process may cause a delay in processing the application.

Providers who receive funding must agree to the Program Terms and Conditions. The Terms and Conditions are consistent with those required under the other Provider Relief Fund distributions, including a certification that the payment will be used only to prevent, prepare for and respond to COVID-19. Once again, the distributions are intended to reimburse the recipient only for healthcare-related expenses or lost revenues attributable to COVID-19. Providers should be aware that HHS may require them to submit financial documentation and records to HHS and that HHS may publicly disclose payments that providers receive. Dental providers will also need to stay up to date on future HHS guidance and ensure continued adherence to the Terms and Conditions to maintain compliance with the applicable requirements.

Eligible dentists may apply through the Enhanced Provider Relief Fund Payment Porta lby July 24, 2020.

If you have questions about the information in this alert, please contact Eric Klein ([email protected] or 248-203-0891) or your Dykema relationship attorney.

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