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HHS to distribute $25b to Medicaid, safety-net providers

The federal Department of Health and Human Services has announced plans to distribute another $25 billion in funding to healthcare providers, with an emphasis on helping facilities that serve low-income patients (Source: “HHS to distribute $25B for Medicaid, safety-net providers,” MedCity News, June 9).

The agency will distribute $15 billion to providers that participate in Medicaid and CHIP programs, and another $10 billion to safety-net hospitals.

The funds are intended to help hundreds of thousands of Medicaid providers that did not receive funding through the general distribution that went out to providers in April and May. For example, community health centers, which provide healthcare services to low-income patients, and speech therapists and physical therapists that primarily serve children with disabilities were not included in the initial distributions of funding.

Safety-net hospitals, which provide a significant proportion of care to uninsured and low-income patients, will be able to receive between $5 million and $50 million. HHS said it plans to distribute the funds to hospitals this week.