In a surprise Sunday night announcement, CMS announced it was stopping the
Accelerated and Advance Payments (AAP) program it recently offered as a solution for providers cash-strapped by COVID-19 closures.
In an email announcement, which referred to the program as the "Accelerated Payment Program" and the "Advance Payment Program," and in an
update to the program fact sheet, the agency suggests needful providers look to other CARES Act-related sources, rather than to advances on their expected Medicare payments through the AAP.
"In light of the $175 billion recently appropriated for health care provider relief payments" via other CARES Act provisions, says CMS in its update, the agency is "reevaluating the amounts that will be paid under its Accelerated Payment Program and suspending its Advance Payment Program to Part B suppliers effective immediately" as of April 26.
The AAP made most Part B providers eligible to receive an advance payment on up to three months’ worth of their usual Part B payments, to be paid back to CMS within 120 days of the loan date. The program offered similar benefits to some Part A providers and Part B suppliers.
On April 7, CMS
announced that it had "delivered near $34 billion in the past week to the healthcare providers on the frontlines battling the 2019 Novel Coronavirus (COVID-19) ... through the expansion of the Accelerated and Advance Payment Program to ensure providers and suppliers have the resources needed to combat the pandemic."
In the April 26 update, however, CMS said it would not be "accepting any new applications for the Advance Payment Program, and CMS will be reevaluating all pending and new applications for Accelerated Payments in light of historical direct payments made available through HHS’ Provider Relief Fund."
The agency also reminded providers that the CARES Act Provider Relief Fund "has already released $30 billion to providers, and is in the process of
releasing an additional $20 billion, with more funding anticipated to be released soon."
Watch
Part B News and the
Part B News blog for further developments.