August 10, 2020

Best Practices to Navigate CARES Act Provider Relief Funding and Minimize False Claims Act Exposure

By John Libby, Esq. and Kathleen Wise, Esq., Manatt, Phelps & Phillips LLP, Los Angeles, CA, Allison Orris, Esq., Manatt, Phelps & Phillips, LLP, Washington, DC

Please note that this article contains guidance from the U.S. Department of Health and Human Services (HHS) that is current as of July 31, 2020, but as the HHS guidance is continually shifting, providers should check the HHS website for the latest information.

The Coronavirus Aid, Relief, and Economic Security (CARES) Act, Public Law 116-136, signed into law on March 27, 2020 established a “Provider Relief Fund” as part of a larger Public Health and Social Services Emergency Fund, to be distributed by grants or other payment mechanisms to eligible healthcare providers in order to reimburse providers for healthcare related expenses or lost revenues that are attributable to COVID-19.1 Additional legislation passed in late April supplemented the Provider Relief Fund, bringing the total available to $175 billion.2 The legislation delegated discretion as to how to distribute and administer the funds to the U.S. Department of Health and Human Services (HHS).3

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