Making Sense of the Economic Recovery Act
for Nonprofits

Colorado's Nonprofit Headquarters for the American Recovery and Reinvestment Act of 2009

Health & Health Care

Health funding & the American Recovery and Reinvestment Act

This summary from the Colorado Department of Health & Human Services gives funding totals for Natioanl Institutes of Health, nutrition programs, community health centers, Medicaid, and IT services to modernize the health care system

TIP: It's important to collaborate to gain access to federal and state funds. Nonprofits must remain active in finding available funds and then proposing services that fulfill their mission statements.

Health Information Technology: ARRA provides $19 billion for Medicare/Medicaid IT incentives over 5 years. Funds will go directly to doctors, hospitals & healthcare providers for electronic health data exchange. The Office of National Coordinator for Health Information Technology (ONCHIT) will provide competitive grants to states for providers. The Colorado Regional Health Information Organization (CORHIO) is the designated state agency to work with ONCHIT.

Prevention & Wellness: ARRA provides $1 billion for wellness & prevention programs. Of this, $300 million is designated for CDC programs (including funding Section 317 immunization programs). $650m will fund clinical and community-based prevention & wellness strategies (including some existing CDC cooperative agreements; it looks as if these funds will be provided through competitive grants. Another $50m will go to states to carry out infection reduction strategies. In Colorado, prevention and wellness funds are being tracked by the Colorado Department of Public Health & Environment.

Primary Care Provider Workforce: includes $500 million for provider training.

Indian Health: a total of $500 million is available, nearly all for capital construction and maintenance, but with $85 million designated for HIT, infrastructure, etc.

Medicaid: ARRA increases the base percent for FMAP funding; Colorado now gets 56.2% instead of 50%. Although estimates vary, Colorado is projected to receive $830 through FMAP. Colorado is also receiving $2.2m in Disproportional Share Hospital, which will help hospitals serving low-income populations.

COBRA Premium Assistance: ARRA provides 65% subsidy from federal government for people who have involuntarily lost their jobs (in the form of a 65% payroll tax deduction for the employer). There are additional eligibility requirements.

Community Health Centers: Colorado will receive $7.5 million for 15 community health centers.

Mental Health: There is no one single funding stream for mental health services. Funding areas include:

  • COBRA coverage.
  • Workforce & vocational programs in the form of tax credits for employers of returning veterans and for disconnected youth.
  • Education, including $65 million through the U.S. Department of Education targeting disadvantaged youth, children with disabilities, etc. There are opportunities to partner to provide services.
  • $12 billion for special education as part of the Individuals with the Disability Act, including $400 million for schools and $500 million for early intervention services.

Substance Abuse: funding includes $2.7 billion in criminal justice for mental and substance abuse programs. Providers can also seek funds in wellness and prevention programs by collaborating with community clinics and other providers. TIP: Develop relationships with CHP.

Additional Resources

U.S. Department of Health and Human Services

Colorado Department of Health Care Policy and Financing

 

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