What is a Federally Qualified Health Center (FQHC) and what are the benefits?
A FQHC is a community health center that has been designated by the federal government by adhering to regulations pertaining to the scope and quality of health services provided to anyone, regardless of ability to pay. FQHCs serve medically underserved areas with few or no healthcare providers and with many low income and uninsured people. FQHCs are community owned, nonprofit businesses governed by a board of directors comprised of area volunteers.
FQHC is a type of provider defined by the Medicare and Medicaid statutes. FQHCs include all organizations receiving grants under Section 330 of the Public Health Service Act, certain tribal organizations, and FQHC Look-Alikes. Requirements for Indian Health Service funded FQHCs may differ from the requirements for FQHCs receiving Section 330 grants and for FQHC Look-Alikes.
There are many benefits of being an FQHC. For FQHCs that are PHS 330 grant recipients, the biggest benefit is the grant funding. For new starts, funding up to $650,000 can be requested. Other benefits include:
Enhanced Medicare and Medicaid reimbursement
Medical malpractice coverage through the Federal Tort Claims Act
Eligibility to purchase prescription and non-prescription medications for outpatients at reduced cost through the 340B Drug Pricing Program
Access to National Health Service Corps
Access to the Vaccine for Children program
Eligibility for various other federal grants and programs
For more information, download the FQHC Factsheet below.