End-of-Year 2021 Update on HHS Pandemic Aid Funding

November 29, 2021

The U.S. Department of Health and Human Services (HHS) recently began distributing $7.5 billion in American Rescue Plan funding payments to over 40,000 healthcare providers that serve rural Medicaid, Children's Health Insurance Program and Medicare beneficiaries. Distributed to providers across all 50 states, the average payment is approximately $170,700, with payments ranging from $500 to approximately $43 million.

According to the HHS announcement, the funding aims to help "providers keep their doors open, address workforce challenges, and make up for the lost revenues and increased expenses caused by the pandemic." Recipients can utilize these funds toward "salaries, recruitment, or retention; supplies such as N95 or surgical masks; equipment like ventilators or improved filtration systems; capital investments; information technology; and other expenses related to prevent, prepare for, or respond to COVID-19."

In addition, as of the November 10, HHS noted plans to invest a separate $785 million in American Rescue Plan funding toward COVID-19 response and recovery in the hardest-hit and vulnerable population areas, as recommended by the COVID-19 Health Equity Task Force.

"Those funds will support community-based organizations that are continuing to build vaccine confidence across communities of color, rural areas, and low-income populations," Marcella Nunez-Smith, MD, chair of the White House's COVID-19 Health Equity Task Force, said.

A more detailed breakdown of the $785 million includes the following:

• Nearly $240 Million to Expand Public Health Workforce by Creating Pipeline Program for 13,000 Community Health Workers and Paraprofessionals. HHS, through the Health Resources and Services Administration (HRSA), will invest nearly $240 million into a new program focused on education and on-the-job training to build the pipeline of public health workers in the most underserved communities. This will support apprenticeship programs at over 500 healthcare and public health sites nationally.
  
  
• $210 Million to Build Preparedness in Tribal Communities, Support School Nurses in the Bureau of Indian Education, and Expand the Public Health Workforce in the Indian Health Service. The Indian Health Service (IHS) is investing $92 million to hire school nurses who can provide testing, contact tracing, case management, vaccination, and overall school health support to Bureau of Indian Education (BIE) K-12 schools; $67 million to enhance public health capacity and build better emergency preparedness for IHS and Tribal Nations; $45 million to expand loan repayment and support IHS’s ability to recruit and retain highly-skilled health care professionals, in IHS, Tribal, and urban Indian health programs; and $6 million to support core surveillance and epidemiology work for American Indian and Alaska Native populations.
  
  
• $150 Million to Address People with Disabilities and Older Adults in COVID-19 Response and Recovery and Improve their Health and Access to Services Moving Forward. The Administration for Community Living at HHS is investing $150 million for its disability and aging networks to increase the public health workforce with disability and aging expertise and to collaborate with public health systems to support the health and safety of people with disabilities and older adults who are at heightened risk for severe illness from COVID-19, disproportionately experience the effects of social isolation, and need services and supports to maintain independence, particularly during emergencies and disasters.
  
  
• More Than $140 Million to Continue Supporting Community-Based Organizations in High-Touch, Impactful Vaccine Outreach to High-Risk Communities. HRSA will award an additional $66.5 million as part of the community-based organization (CBO) vaccine outreach initiative established in May. HRSA will also invest another $77 million for additional CBOs to hire community workers for vaccine outreach and engage in other efforts to build vaccine confidence.
  
  
• $35 Million to Improve Diversity in the Public Health Workforce and Ensure Better Capacity to Response to the Needs of Underserved Communities. The Centers for Disease Control and Prevention (CDC) is investing $35 million to expand activities in recruitment and pipeline programs to support diversity, equity, and inclusion in public health workforce and increase awareness and interest in public health among underrepresented groups.
  
  

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