CHA News

CHA Provides Updates on 2019-21 Hospital Fee Program Payment Schedule

For CFOs

As previously shared in CHA News, following the Centers for Medicare & Medicaid Services (CMS) approval of the Hospital Fee Program, CHA distributes estimated fee and payment schedules to all hospitals. At the time of the 2019-21 approval in February, CHA and the Department of Health Care Services (DHCS) worked closely to finalize a payment schedule, which was distributed to hospitals in April. Since then, hospitals across the state have been preparing for and addressing the COVID-19 pandemic.  

To provide additional financial relief for hospitals during this challenging time, DHCS has agreed to expedite the processing of the July 1, 2019-Dec. 31, 2020, managed care passthrough payment cycle in January 2021. As seen in the example schedule below, this was scheduled for September/October 2021.

Below are the new payment details.  

  • Invoices will be distributed on Dec. 1. 
  • Fees will be due to DHCS on Dec. 21. 
  • Managed care payments will process in January 2021 for the plans. 
  • Plan payments to hospitals over January/February 2021.