Client Alerts, News Articles & Blog Posts

Everything you need to know about BMD and the industry.

CLIENT ALERT: Update on Discrimination

The “#metoo” presence and the recent Kavanaugh confirmation hearings have brought sexual discrimination issues to the forefront of the American mind.  Always an incendiary and confusing topic, it also includes various permutations of issues involving sex, sex stereotyping, sexual orientation, and  transgender  situations.  Employment issues abound, including proper use of restrooms and disciplinary matters. “LBGTQ” are more than mere letters strung together.

Cuyahoga County passed an ordinance recently which applies to all Cuyahoga County cities and townships, making it unlawful for any business to discriminate against any person based on their sexual orientation or gender identity.  A Commission on Human Rights was designated to investigate and rule on complaints.

Similarly, the City of Akron passed an ordinance expanding equal employment for employees working in the city.  Employers are prohibited from discriminating against employees located in the city, as well as businesses that take contracts from the City but are located elsewhere.  Employers with 4 or more individuals are prohibited from discriminating on the basis of the “traditional” bases (such as race, color, religion, etc.), but also on the basis of gender identity or sexual orientation.  The ordinance also created the Akron Civil Rights Commission to receive and investigate complaints.

The Equal Employment Opportunity Commission (“EEOC”) has taken the position that discrimination on the basis of sex includes transgender, sexual identity, and sexual orientation.  The Ohio Civil Rights Commission is the state investigative arm that similarly investigates such complaints (which they often term as a “Charge”).

Ohio is located in the Federal Sixth Circuit.  The Sixth Circuit Court of Appeals recently decided a case involving transgender issues, and also discussed whether a religious belief may play a part in an employer’s decision to terminate an employee.  That case is now on appeal to the United States Supreme Court and, no matter how the Supreme Court rules (and whether or not the Court decides to take the case for review), employer-employee relations will be affected.

Given the currently charged atmosphere, employers should consider a review of their employment practices and handbooks.  In addition, management training should be considered to stay ahead of the trends in this important area. 

If you would like more information, please contact Richard L. Williger at (330) 253-3770 or rlwilliger@bmdllc.com.

 

SBA Releases New Frequently Asked Question (No. 49) - Maturity Dates for PPP Loans

On June 25, 2020 the SBA released a new Frequently Asked Question (No. 49) concerning the maturity dates for PPP Loans as modified by the recently passed Paycheck Protection Program Flexibility Act. All PPP Loans received on or after June 5, 2020, will have a five-year maturity. Any PPP Loan received before June 5, 2020, has a two-year maturity, unless the borrower and lender mutually agree to extend the term of the loan to five years. Businesses should address the maturity issue with their SBA lender and discuss any available change to the loan maturity date.

Top 10 Signs that May Indicate Financial Distress

The business world has been turned upside down with COVID-19 and the financial disruption it has created. Once healthy businesses are taking protective measures to remain viable. The impact of this health and financial crisis has affected nearly all industries in some manner. Being aware of areas or issues where your company is vulnerable is critically important. We have identified ten signs to look for when evaluating whether your company has some degree of financial distress.

HHS Delays Quarterly Reporting for Provider Relief Funds

There is good news for providers that received either (1) General Distributions from the HHS Provider Relief Funds [link to my article], or (2) Targeted Distributions from the HHS Provider Relief Funds [link to Ashley’s article]. HHS reversed its stance requiring quarterly reports for providers that received Provider Relief Funds and PPP loan monies. The initial quarterly reports would have been due by July 10, 2020. However, on June 13, 2020, HHS delayed the quarterly reporting requirement.

July 20 is Important Deadline for HHS Fund Distributions to Medicaid and CHIP Providers

On June 10, 2020, the U.S. Department of Health and Human Services (“HHS”) released details on the distribution of more CARES Act Provider Relief Fund payments. After allocating $50 billion to Medicare providers through its General Distribution fund, HHS has now announced that it will distribute $15 billion to eligible Medicaid and CHIP providers who apply by the deadline through a Targeted Distribution. Applicants must apply through the Enhanced Provider Relief Fund Payment Portal. The application form itself can be found on the HHS website and is due by July 20, 2020.

DOJ Updates Corporate Compliance Plan Guidance

With the passage of the Affordable Care Act in 2010, all healthcare providers were required to adopt and implement a corporate compliance plan. Historically, having an effective corporate compliance plan in place has been key to defending healthcare providers in fraud and abuse actions by Medicare, Medicaid, and commercial payers. Over the past couple of years, the U.S. Department of Justice’s (DOJ) Criminal Division has increased the number of prosecutions against U.S. corporations, including healthcare providers. Earlier this month, the DOJ’s Criminal Division updated its “Evaluation of Corporate Compliance Programs” guidance to educate prosecutors on how a corporate compliance program will be evaluated going forward.