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Revised Department of Labor FFCRA Guidance, Effective September 16, 2020

Client Alert

In response to attacks on the legality of the Department of Labor’s (“DOL”) Final Rule regarding the Families First Coronavirus Act (“FFCRA” or the “Act”), which took effect in April 2020, the Department of Labor issued new guidance on Friday, September 11th to formally address ongoing questions and concerns related to the COVID-19 legislation.

To recap, on August 3, 2020, a judge out of the Southern District of New York (“SDNY”) issued a decision in State of New York v. U.S. Department of Labor, challenging certain provisions of the DOL’s regulations, including the definition of “health care provider,” certain considerations regarding FFCRA leave eligibility, and employee notice requirements. A more comprehensive overview of the SDNY’s holding can be found here.

Although the SDNY’s decision was not the first legal attack on the FFCRA nor the DOL’s related regulatory provisions, the scrutiny arising from the Federal District Court was enough to prompt the DOL to reevaluate the challenged provisions.

The new DOL Final Rule, which is scheduled to take effect on Wednesday, September 16th, does the following:

  1. Addresses “Healthcare Provider” Definition and Exemption | In its new Final Rule, the DOL redefines who is encompassed within the meaning of “healthcare provider” under the FFCRA to include: (1) traditional healthcare providers under the FMLA, and (2) “other employees who are employed to provide diagnostic services, preventative services, treatment services, and other services that are integrated with and necessary to the provision of patient care.”

    In effect, the DOL Final Rule narrows the original FFCRA definition of “healthcare provider” as well as provides explicit examples of included professions and healthcare entities.

    As a practical matter, this modification will require all healthcare providers who previously invoked the “healthcare provider exemption” to revisit their parameters of use, as some employees may no longer be included within the new definition and exemption. 

  2. Doubles Down on the “Work Availability” Requirement | The DOL rejected the SDNY’s holding that an employer’s ability to provide an employee with work to complete may not be considered relevant in assessing eligibility for FFCRA leave. In other words, the DOL’s original position on this issue remains unchanged — an employee is only entitled to FFCRA leave if the employer has work available for the employee, but the employee cannot perform the work due to one of the six qualifying reasons under the FFCRA.

    As it relates to this requirement, employers should remember that they may not make work unavailable in an effort to deny an FFCRA leave request — this action would constitute impermissible retaliation.

  3. Doubles Down on Intermittent Leave Approval | In response to the SDNY’s challenge asserting that an employee may take intermittent leave without first receiving employer approval, the DOL affirmed its original position which provides that employer approval is required in order to take certain FFCRA leave intermittently. In support of this holding, the DOL reasoned that the FFCRA pre-approval requirement is consistent with longstanding FMLA principles on leave issues as it protects against disruptions in an employer’s business operations.

  4. Modifies Notice and Documentation Requirements | In its holding, the SDNY challenged certain FFCRA leave notice requirements as impracticable for requiring employees to submit notice prior to taking any leave. In its new Final Rule, the DOL agreed. Accordingly, employees are now required to submit notice of FFCRA leave “as soon as practicable.” For employees taking leave as a result of a school or childcare facility closure, this means providing notice in advance. However, for circumstances involving illness, notice and supporting documentation may be provided after leave begins. 

The new DOL Final Rule provides much needed clarification to questions lingering from the April FFCRA enactment and subsequent DOL guidance. With that said, COVID-19 legislation — including the forthcoming updates — are complex in nature and require careful adherence in order to mitigate future liability.

As questions, concerns, and legal guidance continue to evolve with the changing times, it is essential for employers to stay informed. If you need assistance with any issues arising from the COVID-19 pandemic, please contact Bryan Meek at 330.253.5586 or bmeek@bmdllc.com, or feel free to contact any member of BMD's Employment & Labor practice group. 


No Surprises Act Update: The IDR Portal is Open

The No Surprises Act (“NSA”) became effective January 1, 2022, and has been the subject of lawsuits and criticisms since its inception. The goals of the No Surprises Act are to shield patients from surprise medical bills, provide to uninsured and self-pay patients good faith estimates of charges, and create a process to resolve payment disputes over surprise bills, which arise most typically in emergency care settings. We have written about Part I and Part II of the NSA previously. This update concerns the Independent Dispute Resolution (“IDR”) procedure created by Part II but applicable to claims covered by Part I. The Centers for Medicare & Medicaid Services (“CMS”) finally opened the Portal for providers to submit disputes to the IDR process following some updated guidance regarding the arbitration process itself.

Updated FAQs for the No Surprises Act - Good Faith Estimates

The No Surprises Act (“NSA”) became effective January 1, 2022. Meant to protect consumers from surprise medical bills, the new law is good for consumers, but vexatious for health care providers and facilities. One particular source of frustration is the operationalization of the Good Faith Estimate (“GFE”) requirement, governed by Part II of the regulations that implement the NSA. The GFE requirements apply broadly to all healthcare providers and facilities that practice within the scope of their state-issued license.

IMPORTANT PRF UPDATE! HRSA Allows Providers the Opportunity to Correct Missed Period 1 Reporting

Late Wednesday, April 6, HRSA announced that it was going to allow providers with extenuating circumstances that prevented them from preventing a completed Period 1 Report to submit a Request to Report Late Due to Extenuating Circumstances.

Advanced Practice Providers and Telemedicine Start-Up Surge

Throughout the COVID-19 pandemic, we heard a lot about “surges” that happened all over the country regarding the virus. One of the other interesting “surges” we have followed is the “surge” in new healthcare business start-ups, particularly businesses owned by advanced practice providers, such as nurse practitioners, physician assistants, certified nurse midwives, clinical nurse specialists, and certified registered nurse anesthetists (“Advanced Practice Providers” or “APPs”). One of the hottest areas in the healthcare start-up surge has been the creation of practices that are telemedicine focused.

Ohio Department of Health Releases Updated Charge Limits for Medical Records

Under Ohio law, a healthcare provider or medical records company that receives a request for a copy of a patient's medical record may charge an amount in accordance with the limits set forth in Ohio Revised Code Section 3701.741. The allowable amounts are increased or decreased annually by the average percentage of increase or decrease in the consumer price index for all urban consumers, prepared by the United States Department of Labor, Bureau of Labor Statistics, for the immediately preceding calendar year over the calendar year immediately preceding that year, as reported by the Bureau. The Director of the Ohio Department of Health makes this determination and adjusts the amounts accordingly. The list is then published, here.