Rep Gibbs Announces Children’s Hospital Funding Through CARES Act

July 6, 2020
Press Release

WASHINGTON, DC - Working with the Trump White House and the Department of Health and Human Services (HHS), Congressman Bob Gibbs secured nearly $2 billion in additional federal assistance for children’s hospitals in response to the coronavirus pandemic. Through the CARES Act, HHS provided hospitals and healthcare facilities with funding through the Public Health and Social Services Emergency Fund (PHSSEF). The PHSSEF, though successful in bolstering many hospital systems nationwide, relied on data taking Medicare patients and payments into account. As a result, the targeted allocations formula favored a funding stream rarely utilized by children’s hospitals.

Congressman Gibbs, in coordination with White House Chief of Staff Mark Meadows and HHS Deputy Secretary Eric Hargan, obtained an additional $2 billion in funding for children’s hospitals, many of which have a high percentage of Medicaid patients, through the PHSSEF, correcting an unintentional oversight in the original formulas. Children’s hospitals nationwide continue to play an integral role, with facilities now accepting adult COVID-19 patients while collectively losing $2 billion in monthly revenue.

“I want to thank the White House, Mark Meadows, and HHS for working with me to find a solution that does the right thing by the children’s hospitals that have faced the same financial hardships as other facilities in the wake of the coronavirus outbreak,” said Congressman Bob Gibbs. “Children’s hospitals were forced to cancel the same non-emergent procedures and are community partners in expanding testing and bed capacity for COVID-19 patients. This announcement confirms children’s hospitals will be eligible for additional funding allocations through the CARES Act. I appreciate the efforts of everyone involved in helping me ensure the continued safety and medical care of American children and their families’ peace of mind.”

Nick Lashutka, President of Ohio Children’s Hospital Association also released the following statement:

“Ohio’s children’s hospitals’ 40,000 employees stood at the ready when the COVID-19 pandemic began to serve the healthcare needs of Ohio’s nearly 3 million children, suffering unintended, yet real, financial consequences as a result. While children’s hospitals were inadvertently overlooked in the initial federal funding, Congressman Gibbs strongly advocated with the Trump Administration for our nation’s children, their families and the providers who have the privilege of caring for these children. On behalf of our patients, employees and families, the Ohio Children’s Hospital Association would like to thank Congressman Gibbs and the Department of Health and Human Services for ensuring the availability of critical funding to help make children’s hospitals in Ohio and across the nation whole in this perilous time.”