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FCC Adds $198 Million to Strengthen Telehealth for Rural Healthcare Providers

Client Alert

The Federal Communications Commission (“FCC”) has added an additional $198 million in funding to its Rural Health Care Program. These funds will be used to increase broadband services and telecommunications to bolster telehealth/telemedicine services for rural healthcare providers. Funding for rural healthcare providers was initially capped at $605 million in 2020, but the added funds will now allow the FCC to provide over $800 million to eligible providers.

Telehealth, in direct response to the COVID-19 public health emergency, has undergone a massive expansion since March. Telehealth encounters are up exponentially as patients look for a safe, socially distant, option to receive health care services and providers try to keep vital hospital space available for COVID-19 care. Technical barriers, such as the lack of a strong broadband infrastructure, has limited the wide adoption of telehealth in rural areas. The FCC aims to combat the technical limitations, as this funding will help improve technology platforms and internet connectivity, so that patients have expanded access to affordable and efficient care. 

Eligible providers for the Rural Health Care Program include:

  1. post-secondary educational institutions offering health care instruction, teaching hospitals, and medical schools;
  2. community health centers or health centers providing health care to migrants;
  3. local health departments or agencies;
  4. community mental health centers;
  5. not-for-profit hospitals;
  6. rural health clinics;
  7. skilled nursing facilities; and
  8. a combination of health care providers consisting of one or more entities falling into the first seven categories.

Please contact your primary BMD Healthcare & Hospital Law Group attorney if you have any questions regarding the Rural Health Care Program, this additional funding and how to apply for the use of funds, or any other general healthcare questions.


Starting an Advanced Practice Provider Practice

Advanced practice providers (APPs), which includes non-physician providers such as nurse practitioners, physician assistants, and nurse anesthetists, commonly start their own healthcare practices. Practices may provide, for example, service offerings such as primary care, anesthesiology, mental health, and aesthetics (medical spas). However, there are a number of considerations and steps that must be taken for APPs to compliantly function independently.

FTC Increases Targeting of Companies Lacking Cyber Protection

The Federal Trade Commission (FTC) recently released a comprehensive cybersecurity report outlining key findings and recommendations based on emerging threats, trends in data breaches, and strategies for businesses to enhance their cybersecurity posture observed over the last year.

New Federal Medical Conscience Rule and Its Implications

The Department of Health and Human Services Office for Civil Rights issued a Final Rule to clarify protections for healthcare providers who refuse services based on religious or moral beliefs. This includes protection against discrimination for refusing procedures like assisted suicide or abortion. The OCR can receive complaints, conduct investigations, and enforce these protections. Entities are encouraged to update policies accordingly and display a model notice provided by the OCR.

Marijuana Reclassification and APRN/PA Prescribing

Marijuana is expected to be reclassified by the Drug Enforcement Administration (DEA) from a Schedule I controlled substance to a Schedule III controlled substance as a result of efforts by the Biden administration.

Federal Trade Commission Voids Non-Compete Agreements Nationwide

On April 23, 2024, the U.S. Federal Trade Commission (“FTC”) issued its Final Rule containing regulations impacting non-compete agreements across the country for all employees. The Final Rule implements some of the most impactful changes to employment law during this century. The Final Rule will take effect 120 days from its publication in the Federal Register, which we expect to occur within the next few weeks.