Even though Massachusetts clearly has been a “hot spot” for COVID-19, the state is next to last in the amount of per-case funding it is receiving from the federal government to fight the pandemic.
The funding formulas that U.S. Health & Human Services has used to distribute the money – as well as the early cutoff dates the government used to assess the number of COVID-19 cases in a state – has meant that the commonwealth’s large surge in cases was not counted fully. Less money flowed to the state at a time when it is needed most.
Based on the funding allocated from the Round 1 and Round 2 of the Provider Relief Fund, as well as the recent COVID-19 High Impact and Rural Healthcare Provider allocations, divided by the number of COVID-19 cases in each state, the commonwealth has the second lowest federal hospital relief funding per COVID-19 case in the nation. Rhode Island is the lowest. The estimated amount distributed to Massachusetts hospitals per COVID-19 case as of May 3 was $15,730, compared to, say, the $617,000 per-case amount given to Montana hospitals.
U.S. HHS’ shortcomings have caught the attention of the state’s congressional delegation. Last Thursday, Massachusetts Representative Richard Neal (D), the chair of the U.S. House Ways & Means Committee, joined with Energy & Commerce Chair Frank Pallone, Jr., (D-N.J.)
to write this letter criticizing HHS’ efforts to date.
“The Administration’s efforts to establish the Provider Relief Fund to date have been at best, a series of missteps, and at worst, a disregard of Congress’ intent for the program,” Neal and Pallone wrote. “… As demonstrated by the Administration’s inability to capture all provider types and to target funding to those who are most in need of assistance, formula-based distribution mechanisms are insufficient to address the crisis in our healthcare system. Moreover, such a distribution mechanism runs counter to Congressional intent and to the program language signed into law, which requires funds to be distributed through an application-based process to reimburse for specific COVID-related expenses and lost revenue.”