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Hospitals and Federally Qualified Health Center (FQHC) Partnerships
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There are numerous opportunities to establish successful partnerships and collaborative arrangements between hospitals and FQHCs. In light of the constantly evolving healthcare delivery landscape, FQHCs and hospitals must stay flexible, innovative, and responsive to ongoing changes. Large health systems find it beneficial to engage FQHCs as key partners in care, serving both as a local strategy (hospital and single FQHC) and a system-wide approach (typically involving multiple hospitals and several FQHCs).


A Safe Harbor for FQHC arrangements under the Anti-Kickback Statute protects certain arrangements involving goods, items, services, donations, and loans provided by entities to FQHCs that may otherwise not be allowed under the statute.

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FQHCs are uniquely positioned as experts in delivering comprehensive care to underserved patients

By offering primary care services to communities that frequently face significant barriers to access due to socio-economic factors, partnerships can help alleviate the burden of avoidable or unnecessary emergency department visits and hospital stays. Successful strategies for these partnerships can focus on:

  • Managing the health of Medicaid, Medicare, uninsured, and other vulnerable populations within a more financially sustainable model.

  • Coordinating care through integrated clinical management.

  • Providing access to specialty care.

  • Increasing access to primary care for targeted communities.

  • Developing overall health and social value for the community.

Doctor and Patient

What is A Federally Qualified Health Center (FQHC)

Federally Qualified Health Centers (FQHCs) are important safety net providers that provide comprehensive outpatient primary care and support services to underserved populations in the United States. Defined by Medicare and Medicaid statutes, FQHC’s include the following types of organizations:

 

  1. Organizations that receive grants under Section 330 of the Public Health Services Act, which created the Health Center Program.

  2. Clinics meeting HRSA certification requirements (i.e. FQHC -Look-Alikes).

  3. Outpatient facilities operated by tribal or urban Indian organizations.

 

FQHC’s and FQHC Look-Alikes received enhanced payments for Medicaid and Medicare services. 

What is a Community Health Center

The Health Resources and Services Administration’s (HRSA’s) Bureau of Primary Health Care (BPHC) Health Center Program funds, in part, nearly 1,400 Health Centers across the country.  These Health Centers provide access to primary care for over 31 million people, most living within underserved communities, at over 15,500 locations.  

 

Health Centers are mostly non-profit organizations, although approximately 7% are associated with a governmental entity.  They operate in urban, metropolitan, and remote areas and provide services regardless of one’s ability to pay.  These Health Centers offer various services, including preventative care, dental, mental health, substance abuse, and enabling services. By integrating these services, Health Centers play a crucial role in improving health outcomes and addressing health disparities. Patients can access these services regardless of their ability to pay, as they must offer sliding fee discounts based on income, eliminating any financial barrier to care. All Health Centers must meet strict federal standards for quality and patient satisfaction.  

 

Health Center Look-Alikes (LAs) are certified by HRSA and must meet all the requirements of the Health Center Program without receiving a 330 grant. The following table highlights the benefits of an FQHC and LA operating under the Health Center Program:

Doctor's Appointment

Health Center Look-Alikes (LAs) are certified by HRSA and must meet all the requirements of the Health Center Program without receiving a 330 grant. The following table highlights the benefits of an FQHC and LA operating under the Health Center Program:

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