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With Summer Vacation on the Way, Are Employees Still Entitled to Childcare Leave under EFMLEA?

Distance learning/homeschooling is finally starting to wrap-up for millions of students across America, a perhaps welcomed end for many, and summer vacation will soon begin. Your employees may have questions as to whether they qualify for child care leave under the expanded FMLA (“EFMLEA”), which many employees used over the last few months to receive partial compensation while they were away from work to care for their children. Now, employers with fewer than 500 employees must take note of additional guidance recently published concerning qualification for childcare leave.

Recently, the Department of Labor (“DOL”) provided guidance on this question:

"Can employees take paid leave to care for a child under the EFMLEA or the paid sick leave under the child care provisions of Emergency Paid Sick Leave Act (“EPSLA”) when school is closed for summer vacation?"

The DOL stated no. Paid leave under EFMLEA and EPSLA are not available to provide child care “if the school or child care provider is closed for summer vacation, or any other reason that is not related to COVID-19. However, the employee may be able to take leave if his or her child’s care provider during the summer - a camp or other programs in which the employee’s child is enrolled - is closed or unavailable for a COVID-19 related reason.” Meaning, an employee who requests leave because schools or childcare providers are closing for the summer, is not eligible for the emergency childcare leave. 

If you have any employees who are using the paid childcare leave because they have been unable to work due to homeschooling or home childcare requirements, the employer has been receiving tax credits for those payments. However, once school is no longer in session, the paid childcare leave is no longer applicable, and the employer will not be entitled to credits for any payments. For this reason, the employer needs to stop the childcare payments.

Please also keep this in mind for any childcare leave requests over the summer. A school or daycare that is closed for summer vacation does not qualify for COVID-19 emergency leave. However, employees may still be eligible for childcare leave over the summer if a child’s normal, summer childcare provider is closed for a COVID-19 related reason, such as summer camp closures. 

We recommend that all employers review this issue with any employees who are currently out on emergency childcare leave. As always, please do not hesitate to contact us with any additional questions or concerns.

Bryan Meek is a member of Brennan, Manna & Diamond’s Labor & Employment team and is available to assist you with responding to requests for information and/or appealing unfavorable unemployment decisions. Bryan can be reached at 330.253.5586, or bmeek@bmdllc.com.

Investment Training for the Second and Third Generations

Consider this scenario. Mom and Dad started the business from the ground up. Over the decades it has expanded into a money-making machine. They are able to sell the business and it results in a multimillion-dollar payday for their labors. The excess money has allowed Mom and Dad to invest with various financial advising firms, several fund management groups, and directly with new startups and joint ventures. Their experience has made them savvy investors, with a detailed understanding of how much to invest, when, and where. They cannot justify formation of a full family office with dedicated investors to manage the funds, but Mom and Dad have set up a trust fund for the children to allow these investments to continue to grow over the years. Eventually, Mom and Dad pass. Their children enjoy the fruits of their labors, and, by the time the grandchildren are adults, Mom and Dad's savvy investments are gone.

Provider Relief Funds – Continued Confusion Regarding Reporting Requirements and Lost Revenues

In Fall 2020, HHS issued multiple rounds of guidance and FAQs regarding the reporting requirements for the Provider Relief Funds, the most recently published notice being November 2, 2020 and December 11, 2020. Specifically, the reporting portal for the use of the funds in 2020 was scheduled to open on January 15, 2021. Although there was much speculation as to whether this would occur. And, as of the date of this article, the portal was not opened.

Ohio S.B. 310 Loosens Practice Barrier for Advanced Practice Providers

S.B. 310, signed by Ohio Governor DeWine and effective from December 29, 2020 until May 1, 2021, provides flexibility regarding the regulatorily mandated supervision and collaboration agreements for physician assistants, certified nurse-midwives, clinical nurse specialists and certified nurse practitioners working in a hospital or other health care facility. Originally drafted as a bill to distribute federal COVID funding to local subdivisions, the healthcare related provisions were added to help relieve some of the stresses hospitals and other healthcare facilities are facing during the COVID-19 pandemic.

HHS Issues Opinion Regarding Illegal Attempts by Drug Manufacturers to Deny 340B Discounts under Contract Pharmacy Arrangements

The federal 340B discount drug program is a safety net for many federally qualified health centers, disproportionate share hospitals, and other covered entities. This program allows these providers to obtain discount pricing on drugs which in turn allows the providers to better serve their patient populations and provide their patients with access to vital health care services. Over the years, the 340B program has undergone intense scrutiny, particularly by drug manufacturers who are required by federal law to provide the discounted pricing.

S.B. 263 Protects 340B Covered Entities from Predatory Practices in Ohio

Just before the end of calendar year 2020 and at the end of its two-year legislative session, the Ohio General Assembly passed Senate Bill 263, which prohibits insurance companies and pharmacy benefit managers (“PBMs”) from imposing on 340B Covered Entities discriminatory pricing and other contract terms. This is a win for safety net providers and the people they serve, as 340B savings are crucial to their ability to provide high quality, affordable programs and services to patients.