Medicaid and CHIP Dental Providers Now Eligible
The U.S. Department of Health and Human Services (HHS) will now allow dental practices that participate in the Medicaid and CHIP (Children’s Health Insurance Program) program to become eligible for the Provider Relief Program.
The Provider Relief Program was established by the Coronavirus Aid, Relief and Economic Security Act (CARES Act) to reimburse eligible providers for healthcare-related expenses and lost revenues attributable to COVID-19.
HHS’ latest decision now enables dental providers that were previously not eligible for distributions from the $50 billion General Distribution or the Medicaid and CHIP Distribution because their offices were closed for an extended period of time.
Eligible provided that apply for dental distribution could expect to receive 2% of their reported gross revenue from patient care on their most recent filing.
Eligible Dental Providers
To be eligible, here are the core requirements:
- Dental providers must NOT have received payments from the General Distribution (for Medicare providers) or the Medicaid and CHIP Distribution.
- Have filed federal tax income returns for 2017, 2018 and 2019 or be exempt from requirement to file a federal tax return
- Must have provided dental services after January 31, 2020
Yes, there are a couple more requirements.
Like many parts of the CARES Act, this deadlines are ASAP and a moving target.
In this case, the original deadline was July 24, 2020 and it has now been extended to August 3, 2020. We do not know if this will get extended or not. If you would like assistance, please contact one of our Dental Accounting Association members nearest you.
The CARES Act provided $175 billion in relief funds allocated to the Department of Health & Human Services (HHS) to combat the COVID-19 virus and dental practices were not included. Over the past few months, the ADA (American Dental Association) and the AAO (American Association of Orthodontists) have been lobbying for the HHS funds to be made available to dental practices.
In June, a small victory was won and these funds were provided to Medicaid/CHIP dental providers. With continued lobbying efforts, this has now been expanded even further to include all dental providers as of July 10th.
With most dental practices being closed for 6-8 weeks, this additional funding is designed to help with revenues lost and ease the cash flow constraints as PPP and EIDL loans are drawing down.
Not a Loan
This program is a payment of up to 2% of revenues. It is NOT a loan nor a grant. However, you must proceed immediately.
Information You Need
Tax ID number
Most recent tax return
NPI numbers that the practice files claims under
If you would like additional guidance on this government payment or would like to ensure that you have maximized all of the governmental bailout programs designed for dental practices, please contact a Dental Accounting Association in your regional area.
All Dental Accounting Association members are licensed CPAs and specialize in dental practices. Over the past few months, we have become experts at PPP, EIDL and now HHS payments. While this process has been fluid and evolving, our focus is ensuring your success. If you would like to work with a CPA who specializes in dental practices, please call a dental specialist nearby.