Adena Awarded Federal Relief Funds for Some COVID-19 Losses
Adena Health System is among many hospitals across the nation to receive relief payments from the U.S. Department of Health and Human Services (HHS), to help cover some financial deficits related to COVID-19. Adena Health System has been awarded $7.9 million from the newly-created Provider Relief Fund, and is part of the initial disbursement of the first $30 billion from the Coronavirus Aid, Relief and Economic Security (CARES) Act.
“We are extremely thankful for the relief funding being provided by HHS,” said Adena President and CEO Jeff Graham. “Taking care for our patients, communities and caregivers is Adena’s mission and highest priority. These funds will help to fill a portion of the deficit we have experienced over the past month in preparing to battle COVID-19; as well as the financial losses related to the forced cancellation of elective procedures, coupled with a steep reduction in day-to-day patient visits.”
According to HHS, $1 billion in initial funding is being directed to U.S. hospitals and physician practices, in direct proportion to their share of Medicare fee-for-service (FFS) spending. The portion of funds awarded to each hospital or system is related to the amount of Medicare FFS billed by each last year. In 2019, total Medicare FFS billing for U.S. hospitals and physician practices was $484 billion.
“Our current projections over the next several months as we navigate through the current crisis created by COVID-19, projects Adena is facing a deficit of $50 million or more this year,” Graham added. “I am pleased that these funds are coming to us in the form of a grant, versus a non-forgivable loan as originally released, which helps organizations like Adena stay viable and strong for the communities they serve. Even with this much appreciated funding, Adena must continue to make difficult decisions that require us to continue planned expense reductions in order to manage through this pandemic without sacrificing patient care. Adena is and will always be committed to delivering the medical expertise and compassionate care to meet the health care needs of our communities while operating effectively, efficiently and safely – now and long into the future. I want to be clear, we will not make any reductions that will decrease the level of patient care, or minimize support to Adena’s frontline caregivers.”
The Provider Relief Fund is making direct payments to support hospitals and providers with health care-related expenses or lost revenue attributable to COVID-19, and to ensure uninsured Americans can get testing and treatment for COVID-19.
Graham added, “I want to thank Representatives Steve Stivers and Brad Wenstrup, and U.S. Senator Rob Portman, all of whom have reached out to learn of our needs, and how Adena is managing through the COVID-19 crisis. Each has been a strong advocate for Adena and other rural health systems in the state. I appreciate their compassion, support, and the work they are doing to get the assistance needed to those of us in south central and southern Ohio.”
For more about Adena Health System and its services, visit adena.org.
