GOP Lawmakers Probe HHS Over Alleged Improper Distribution of COVID-19 Funds

Reps. James Comer (R-Ky.) and Nick Langworthy (R-N.Y.) are launching an inquiry into the Department of Health and Human Services (HHS) for allegedly misallocating COVID-19 relief funds that were meant for low-income hospitals.

In a letter (PDF) addressed to HHS Secretary Xavier Becerra on April 11, the GOP lawmakers alleged that despite rural hospitals facing bankruptcies, the HHS awarded billions of taxpayer dollars to highly successful hospitals located in wealthy areas. Hence, the committee has requested HHS provide all relevant documents and communications regarding its decision-making process on hospital funding.

“Instead of helping hospitals mostly in need, nearly $17 billion of COVID-19 relief funds went to hospitals with reported profits of more than $53 billion, while $35 billion went to hospitals that reported a loss of almost $130 billion,” the lawmakers stated. “We request documents and communications to assist the Committee’s oversight of HHS’s administration of COVID-19 relief funds to low-income hospitals.”

The letter mentioned that when Congress approved $178 billion in healthcare funds, they directed HHS to allocate a “significant proportion of the entire fund for providers serving high numbers of low-income patients,” a requirement HHS allegedly failed to meet.