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FAQ: $10 Million in Affordable Care Act Funds for Workplace Wellness

FAQ: $10 Million in Affordable Care Act Funds for Workplace Wellness

The U.S. Department of Health and Human Services announced it would be releasing $10 million in Affordable Care Act funds to help create workplace wellness programs on June 23, 2011.  This news certainly peaked the interest of brokers, employers and wellness vendors alike and everyone hit the web to find out more information.  Sifting through all the legal jargon on the official government website (https://www.fbo.gov) can be tedious.  Tri Wellness’ team of experts has investigated the information to help answer the frequently asked questions that are flying around the industry right now.

Q: Why are the funds being released?

A: For comprehensive health programs to address physical activity, nutrition, and tobacco use in the employee population.  The Affordable Care Act of 2010 elevates prevention as a priority providing unprecedented opportunities for health promotion and disease prevention.  Within CDC's National Center for Chronic Disease Prevention and Health Promotion, the Workplace Health Initiative serves as the focal point for worker health. It includes promoting the following public health goals:

  • Creating the standard for what employers should do; and how to measure progress.
  • Increasing the number of employers that provide workplace health promotion programs.
  • Improving the quality of employer's efforts.

Q: Will the funds be released to employers or workplace wellness vendors directly?

A: The funds will be released to workplace wellness vendors (referred to as “contractors” by Health and Human Services, and the Center for Disease Control) who meet the contractor requirements as stated by the HHS and CDC.

Q: When are applications due?

A: Wellness vendors need to submit all required documents on or before August 8, 2011, 4:30 EDT.

Q: How will employers be chosen to participate in the program?

A: Wellness vendors will be required to follow the CDC’s recruitment protocol and choose various employer groups of different sizes, industries, and within 7 different regions (determined by the HHS) across the nation.  Each of the 7 different regions will include 10-15 employers.

Q: What are the size requirements for employers to participate?

A: All size groups will be considered.  Small-size employers are 100 or less full time employees, mid-size employers are 101-250 full time employees, and large-size employers are more than 250 full time employees.

Q: What other requirements besides size are there for employers to be considered?

A: Employers must meet the following requirements:

  • Demonstrate CEO/C-Suite commitment to allow employees to fully participate in wellness initiatives.
  • Cannot currently have in place a workplace health program that consists of a majority of the interventions as described by the HHS and CDC.
  • Only domestic employees and worksites are eligible
  • For employers larger than 500 full time employees, the employer will be required to invest a matching amount of funds equal to those provided by the wellness vendor ($50,000).

Q: Are there specific requirements for the actual wellness program once the vendor has recruited the employers?

A: Yes.  There are specific guidelines that have been established in order for the CDC to evaluate outcomes with a consistent study group.  These guidelines include:

  • Designate vendor a staff member as program manager
  • Establish workplace wellness committee
  • Establish site level champions
  • Establish community linkages and resources
  • Establish specific, measureable goals and objectives for the program

 

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