Beginning on Monday, April 13, 2020, Pennsylvania hospitals are able to apply for up to $10 million in low-interest (0.5%), short-term loans under the new loan program announced by Governor Tom Wolf on Friday, April 10th – the Hospital Emergency Loan Program (HELP). The loan package will provide $450 million in financial assistance to Pennsylvania hospitals to help offset the cash flow issues hospitals have experienced due to reduced revenue and increased costs during the COVID-19 pandemic. With this loan package, hospitals can apply for immediate financial support to help with staffing, supplies and preparing for the substantial costs associated with the anticipated influx of COVID-19 patients over the next couple of weeks. The loan package was approved by Pennsylvania State Treasurer Joe Torsella, who said “Hospitals across Pennsylvania should be focused on saving lives, not worrying about how to make ends meet until federal relief funds arrive months from now.”
All Pennsylvania health care facilities that are licensed as hospitals by the Pennsylvania Department of Health and eligible to receive federal grant funding through the federal Coronavirus Aid, Relief, and Economic Security (CARES) Act are eligible to apply for HELP assistance to help offset costs incurred between March 1 and September 1. It is anticipated that hospitals receiving HELP loans will likely be able to use subsequent CARES Act funding to repay their loans once such funding is received.
Applications for HELP are available through the Pennsylvania Department of Community and Economic Development website beginning at 10:00 AM on Monday, April 13 through April 20.
Additional information about the relief available under the CARES Act can be found here: CARES ACT Summary of Health Care Provisions.
