Necessary Deadline Approaches for California Healthcare Employers to Apply for Employee Retention Funds


On June 30, 2022, Governor Gavin Newsom signed laws to stabilize and promote the retention of California’s healthcare workforce in response to the COVID-19 pandemic. This response included the allocation of $1.3 billion for retention funds to physicians and different scientific and non-clinical healthcare employees. California’s Division of Well being Care Providers (“DHCS”) will administer the distribution of these funds via its Hospital and Expert Nursing Facility COVID-19 Employee Retention Fee program (the “WRP”). This system is designed in order that WRP funds will first be made to eligible employers, who then will go via the WRP funds to particular person physicians and different healthcare employees. With a purpose to obtain WRP funds, California employers should register with and supply sure info to DHCS on an expedited timeline.

Eligible employers should register with DHCS by December 21, 2022 so as to obtain WRP funds. Other than particular person, impartial physicians, DHCS has suggested that employees shouldn’t apply straight. As a substitute, eligible employers should be liable for making use of for the retention funds for his or her certified healthcare employees, together with physicians.

Upon registering, DHCS will ask eligible registrants to submit purposes with their staff’ info. DHCS will ship out purposes as early as November 29, 2022, and all purposes are due no later than 5:00 p.m. on December 30, 2022. Given the anticipated quantity of participation in this system and the element concerned within the software, DHCS has inspired all potential WRP members to register and submit all info as quickly as doable.

DHCS expects to situation WRP program funds in January 2023. As described under, the WRP program is predicted to make funds for physicians of as much as $1,000, and non-physician healthcare employees of as much as $1,500 and $1,250 complete for full-time and part-time staff, respectively. If wanted, DHCS might cut back the foregoing cost quantities per employee on a professional rata foundation primarily based on the quantity of requests acquired relative to the appropriated funding for the WRP program.

Which Healthcare Employers are Eligible for WRP?

DHCS offers a glossary that employers can use to find out WRP program eligibility on behalf of their employees. Right here, we spotlight a couple of essential outlined phrases that DHCS makes use of to outline the Lined Entities, Lined Providers Employers, and Doctor Group Entities which can be eligible to take part within the WRP program on behalf of their staff.

  1. Lined Entity” means “an individual or entity that owns or operates a ‘Qualifying Facility’ together with the Regents of the College of California.”
  2. Lined Providers Employersmeans “any particular person or entity who straight employs or workouts management over the wages, hours, or working circumstances of any particular person; and offers on-site providers comparable to clerical, dietary, environmental providers, laundry, safety, engineering, services administration, administrative or billing workers via a contract with the ‘Qualifying Facility’ the place that particular person or entity is the employer of file.”
  3. Doctor Group Entities” means “any authorized entity that contracts with a ‘Qualifying Facility’ to supply doctor providers, together with, however not restricted to, skilled medical companies.”
  4. Different Well being Clinicsmeans these entities that fulfill the requirements of California Well being & Security Code § 1206(l) (i.e., “affiliated, owned, or managed by an individual or entity that owns or operates an acute care hospital . . . and operated by a nonprofit company that conducts medical analysis and offers healthcare to sufferers via a gaggle of 40 or extra physicians and surgeons, who’re impartial contractors representing not lower than 10 board licensed specialties, and never lower than two-thirds of whom observe on a full-time foundation on the clinic”).
  5. Qualifying Amenities” means “acute psychiatric hospitals, common acute care hospitals, expert nursing services, and Different Well being Clinics.

Which Healthcare Staff are Eligible for WRP Funds? How A lot Will They Obtain from WRP?

How Will DHCS Decide Particular person Healthcare Employee and Doctor Eligibility for WRP Funds?

Staff and different physiciansproviding providers in Certified Facilitiesare eligible to take part in WRP (via the purposes made by their employers) in the event that they fulfill both of subsections (i) or (ii) under and fulfill the requirement at subsection (iii) under, that means that they:

(i) had been employed at the least part-time through the qualifying work interval of July 30, 2022 via October 28, 2022; or

(ii) are physicians which can be a part of Doctor Group Entities who supplied on-site providers through the qualifying work interval of July 30, 2022 via October 28, 2022 (whether or not on a part-time or full-time foundation); and

(iii) proceed to be employed by a Lined Entity or are a doctor who continues to supply providers as of November 28, 2022.

What Do “Half-Time” and “Full-Time” Imply for WRP Functions?

Non-physician staff will need to have labored on both “part-time” (i.e., on-site at a Qualifying Facility for 100-399 hours through the qualifying interval) or “full-time” (i.e., at the least 400 hours through the qualifying interval). Be aware that Workers who started working through the qualifying interval are eligible for WRP in the event that they fulfill the 100 hour minimal requirement for being “part-time” even when they didn’t work throughout all the 91-day interval. Additionally if an worker took an accepted depart or participated in a labor dispute/job motion through the qualifying work interval and the worker would in any other case qualify primarily based on hours usually labored on the positioning of a Qualifying Facility, the Lined Entity might attest that the particular person was thought of a full-time or part-time worker on-site throughout that point.

How A lot Will WRP Pay for Physicians?

Physicians who work on-site through the qualifying work interval at a Certified Facility via a contract association between the power and a doctor group are eligible to obtain as much as a $1,000 WRP cost, whether or not or not they had been offering providers on a full-time or part-time foundation.

How A lot Will WRP Pay for Non-Doctor Staff?

The bottom cost for an eligible full-time worker might be $1,000, and for a part-time worker, $750. Nonetheless, an worker who acquired a bonus cost from their employer on or after December 1, 2021, or will obtain a bonus cost earlier than December 31, 2022 (i.e., hazard/bonus pay as a result of pandemic, bonus pay primarily based on monetary or efficiency targets or efficiency sharing applications, or compensation in response to operational wants, comparable to staffing shortages or recruitment wants) can obtain extra matching funds from the WRP program. Particularly, full-time and part-time staff can obtain an additional $500 from WRP (for a complete of $1,500 and $1,250 complete for full-time and part-time staff, respectively).

What Do We Do if We Have A number of Places, Amenities or Entities?

Lined Entities might have a number of “Qualifying Amenities” which can be eligible to take part within the WRP program. DHCS Guidance states that “Qualifying Amenities” which can be half of a giant community, well being system, or medical group ought to register solely as soon as for WRP utilizing info from their largest facility/group (i.e., the one with the biggest variety of employees). If a corporation has a number of affiliated entities, every entity can register and submit separate purposes for the WRP. We suggest evaluating this system steerage for extra particulars.

Last Ideas

The WRP program presents a significant approach for employers to behave on behalf of healthcare employees, together with physicians, to acknowledge and reward their onerous work and dedication through the qualifying interval of the COVID-19 pandemic. DHCS’ steerage means that it anticipates a big quantity of members, and as of November 7, 2022, DHCS had revealed the names of practically 300 Qualifying Amenities, Lined Providers Employers, Unbiased Physicians, and Doctor Entities who had utilized for the WRP program to this point. All employers and physicians who assume they is perhaps eligible to take part ought to act swiftly to register and, if accepted, put together and submit the detailed info that might be wanted to finish DHCS’ software in line with its said timelines.



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