Community health centers are crucial for underserved populations, offering care to 31.5 million patients, but impending funding cuts threaten their operation. Data from the NACHC highlights their extensive reach, serving 1 in 11 people. Despite economic benefits, including $85 billion in economic activity and $24 billion in healthcare savings, these centers face a 70% funding cut if federal support expires. Urgent bipartisan action is needed to prevent the potential loss of healthcare access for 7 million patients. President Biden acknowledges their role in promoting health equity.
The essential role of community health centers in enhancing healthcare access for marginalized communities faces a potential setback due to impending funding challenges.
Fresh data provided by the National Association of Community Health Centers (NACHC) vividly illustrates the expansive impact of these centers, which tirelessly bridge the care gap for historically underserved populations such as the homeless, individuals with limited income, and those without health insurance coverage.
During the 2023 National Health Center Week, the NACHC unveiled a compelling statistic: 31.5 million individuals now receive vital healthcare services from community health centers operating across 15,000 diverse locations. In simple terms, this translates to 1 out of every 11 individuals benefiting from community health center services, according to the organization’s report.
Community health centers are identified as non-profit, patient-governed entities committed to delivering comprehensive, top-tier primary healthcare to medically underserved communities in the United States. Their care extends to all individuals, regardless of their financial status or insurance coverage.
These health centers, along with federally-qualified health centers (FQHCs), play a pivotal role in delivering healthcare to marginalized groups, encompassing low-income individuals, ethnic minority communities, and those residing in rural areas – a role validated by the latest data.
Among the key insights provided by this new data:
– Nearly 19% of the 31.5 million patients receiving care at community health centers lack health insurance coverage.
– Approximately 61% possess public insurance, including Medicaid, Medicare, or CHIP.
– Notably, 41% of the patients are residents of rural areas, while 64% belong to racial and ethnic minority groups.
– A significant 90% of the patients at these centers are characterized as low-income.
The holistic impact of community health centers is undeniably far-reaching. These centers serve as the primary healthcare providers for:
– 1 in 5 uninsured individuals,
– 1 in 3 individuals living in poverty,
– 1 in 7 rural residents,
– 1.4 million individuals experiencing homelessness,
– 8.8 million children,
– 400,000 veterans, and
– 3.5 million patients aged 65 and above.
In addition to their impact on public health, these centers bolster the economy. The NACHC data underscores that they generate employment opportunities for 285,000 individuals and contribute $85 billion in economic activity as of 2022. Furthermore, community health centers facilitated $24 billion in savings for the national healthcare system during the same year.
Yet, despite their substantial advantages, community health centers confront an uncertain future. The federal funding that sustains these centers is slated to expire on September 30, 2023. If this deadline passes without renewal, there will be a severe 70% reduction in federal funding.
Expressing concern over this situation, the NACHC highlights that community health centers already function within narrow financial margins. They necessitate consistent and dependable funding to recruit skilled professionals and provide crucial primary care services. These services include behavioral health, dental care, vaccinations, and routine preventive measures – all of which alleviate the strain on hospital emergency rooms.
The NACHC emphasizes the bipartisan consensus on the urgency of passing funding for community health centers. In July 2023, the organization estimated that nearly 7 million patients would lose access to healthcare if these centers were deprived of necessary funds.
During National Health Center Week, President Joe Biden issued a proclamation that underscored the importance of community health centers in advancing the Administration’s mission to rectify health disparities. Biden recognized the role of community health centers in addressing healthcare inequalities in underserved communities.
Undoubtedly, this challenge of community health center funding carries complexities. An assessment conducted by the NACHC in March 2023 reveals that the cost of delivering medical care has outpaced the rate at which government funding has been allocated. While federal funding for community health centers grew by 14% from $5 billion to $5.7 billion since 2015, medical care inflation surged by 25% during the same period. This results in a real-term decrease of 9.3% in federal funding. To remedy this, the NACHC advocates for an increase of $2.1 billion in federal funding to match per-patient spending levels from 2015.
