Massachusetts Medical Society: Overview of the American Rescue Plan Act of 2021

Overview of the American Rescue Plan Act of 2021

Congress is set to pass on Wednesday, March 10 a $1.9T COVID-19 relief package, the American Rescue Plan Act of 2021. The package includes several provisions important to physicians and aligned with MMS advocacy efforts, including:

  • $49 billion for testing, contact tracing, and mitigation
  • $15 billion for vaccine distribution and administration (with a specific focus on increasing access in underserved communities)
  • $350 billion in direct, flexible aid to state, county and municipal governments
  • $9.1 billion in public health workforce-related support, including $7.6 billion to hire 100,000 public health workers to support COVID-19 response, $100 million for the Medical Reserve Corps, $800 million for the National Health Service Corps
  • $10 billion to manufacture medical supplies and equipment
  • $7.25 billion toward the small business loan Paycheck Protection Program and $15 billion for Economic Injury Disaster Loan (EIDL) advance grants
  • $8.5 billion to reimburse rural health care providers for health care-related expenses and lost revenues attributable to COVID–19
  • $25 billion to address health disparities and protect vulnerable populations
  • $3.5 billion for behavioral and mental health services
  • $5 billion for food assistance programs and extends a 15% increase in SNAP benefits
  • $7.6 billion to expand internet connectivity
  • $100 million in environmental justice grants to address health outcome disparities from pollution and COVID-19
  • $25 billion toward emergency assistance to renters
  • $39 billion toward a grant programs for childcare and expands the Child and Dependent Care Tax Credit
  • $170 billion for K-12 schools and higher education (for reopening and other improvements)
  • $1,400 stimulus checks to qualifying individuals and $300 weekly unemployment benefits extension
  • Provisions to expand healthcare coverage:
    • $35 billion to make Affordable Care Act (ACA) plan premiums more affordable
    • Reduces health care premiums for low- and middle-income families by increasing the Affordable Care Act’s (ACA) premium tax credits for 2021 and 2022
    • Supports the continuation of employer-based health coverage by subsidizing COBRA coverage at 100% through September
    • Creates health care subsidies for unemployed workers who are ineligible for COBRA
    • Allows states to extend Medicaid and CHIP coverage for women for 12 months postpartum for five years
    • Provides incentives and federal funding for states to expand Medicaid

The bill did not provide additional funding for the Provider Relief Fund or a moratorium on Medicare Sequester cuts (additional MMS priorities)—MMS will continue to advocate for those provisions in future legislation.

Updated March 10, 2021

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