LCCHC applying for Payroll Protection Program and Centers for Medicaid Services Loan
Information released by Lake Chelan Community Hospital and Clinics
Lake Chelan Community Hospital and Clinics (LCCHC) like many other businesses have been greatly affected financially by the effects of COVID-19. In recent weeks, Lake Chelan Hospital has had to make severe reductions and changes in the way safe care is provided to the Lake Chelan Valley amid the current COVID Pandemic.
Because the community is also following state and federal guidelines to stay home, LCCHC has experienced a major reduction in outpatient services like physical therapy, routine doctor visits, cancelation and postponement of elective surgeries, and the temporary closure of the Sanctuary alcohol and drug inpatient rehabilitation unit.
The safety of the community, patients and staff at LCCHC continues to be priority, however, the financial strain on rural hospitals all over the country have been impactful. On April 9, 2020 the hospital Board of Commissioners voted to approve a resolution for Small Business Administration funding. The Payroll Protection Program (PPP) through the SBA is available on a first come, first served basis for business that have 400 or less employees and as a business are being affected by the COVID-19 pandemic. The Payroll Protection Program is part of the 3-trillion dollars pandemic relief program. This will help LCCHC continue to meet payroll and keep staff employed and more importantly, continuing to be a healthcare resource for the Lake Chelan Valley. Approximately 75-80 percent of the loan will be forgiven by the government as its primary use is for the PPP. The other 20-25 percent of the funding that LCCHC receives will be set aside for a potential government payback. The total dollars that LCCHC could receive under the loan provisions is just over three million dollars.
LCCH continues to receive payment for services provided, including reimbursement from the Centers for Medicaid Services at a rate of 99% though with the recent pause to Medicare sequester cuts due to the coronavirus pandemic, reimbursement from CMS is at 101 percent. Additionally, the Board of Commissioners approved an interest free prepayment loan offered by the CMS that could bring an additional four million dollars. The prepayment loan advance would be for services to Medicare patients and payment would be made back to CMS through Medicare patient visits.
LCCH continues to see patients in a variety of new ways through phone appointments, telehealth (video) appointments, and as needed face-to-face appointments for the safety of patients and staff. The staff at Lake Chelan Community Hospital and Lake Chelan Clinic want the community to know that they are working harder than ever to provide the Lake Chelan Valley community the safest healthcare experience during these extraordinary times. Be safe and be well.
