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Federal Health Centers and COVID-19



April 30, 2020
Federal health centers are outpatient health facilities that are required to be located in Health Professional
Shortage Areas (HPSAs) and are required to provide care to all residents of their service area regardless
of their ability to pay. The health center program is administered by the Health Resoirces and Services
Admini stration (HRSA), within the Department of Health and Human Services, and is authorized in
Section 3'30 of ic Public Health Servicc Act, The program helps to support more than 1,400 comrnlnitxy-
based hocahh centers operating over 12,000 doin.vcr sites across the country. Health centers provide care
to medically underserved populations; they provide care for more than 28 million people annually, or an
average of one in 12 Americans. Given the reach of health centers, they have received supplemental
funding during prior disasters (e.g., bunicanus and disease ouitbrcaks) to provide additional services. This
Insight discusses their role as a health provider to respond to the Coronavirus Disease 2019 (COVID-19)
pandemic and the funding they have received to do so.

Health Centers and Telehealth
Health centers, like other providers, have been using tclehcaflh to provide seni!ces to patients remotely.
As part of the March 13, 2020, presidential disaster declaration, providers have received additional
flexibilities to receive reimbursements for teiclicalth visits provided to Medicare beneficiaries who may
receive services in their homes. The Coronavirus Aid, Relief, and Economic Security Act (CARES Act)
also extended to federally qualified health centers (FQHCs) (the term used by the Medicare and Medicaid
programs to classify health centers) the ability to bill as a distant site for Medicare servicvs. Previously,
FQHCs were only considered to be originating sites (i.e., where the patient was located), so this payment
change allows them to bill for services they provide to Medicare beneficiaries when the provider is
located at the health center but the patient is not.

Health Centers and COVID-19 Care
Heath centers, like other types of facilities, are providing COVID-19 care, but they are also experiencing
financial losses as a result of the pandemic. Specifically, HRSA surveyed its health center grantees to
determine the impact of COVID-19 on their operations. They found that the majority of their respondents
repofted having testing capacite and that more than 45% had walk-up testing. Despite this, health centers
reported closurs and declines in staffing. Health centers also report concerns about declnes i i patient
volurne (ikary 60%) and billions of dollars in Jost rcven.e, and note that though health centers have
received supplemental funding, the projected losses may exceed the amounts received.
                                                                    Congressional Research Service
                                                                    https://crsreports.congress.gov
                                                                                          IN11367

CRS  NSMGHT
Prepared forN Members aisd
Comnmittees of Cor1grcess

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