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For decades before his passing in 2009, Ted Kennedy of Massachusetts was the US Senate’s patron saint of the Community Health Center program. With Kennedy gone, who would grab the baton? Luckily for our movement - a little-known Independent Senator from Vermont - rose to the challenge, cradling the community health center movement in his mittened hands (sorry, I couldn’t resist).
Health Center Funding Cliff Update
The Healthcare Landscape through a Financial Lens: What's next for CHCs?
Since the 2016 presidential election, the US healthcare industry has been bracing for some significant changes. The Affordable Care Act (ACA), while certainly not perfect, has helped move the US toward universal health coverage. As part of the Obama Administration's healthcare strategy, Community Health Center (CHC) funding was increased and moved under the ACA. This year’s initial ACA replacement proposal, the American Health Care Act (AHCA), was unable to gain traction in Congress and was withdrawn. While the ACA is still the law of the land, it clearly has a target painted on it. Amidst all of this uncertainty, how can health centers plan and prepare for continued financial stability?
340B Mega Guidance Withdrawn and Sent Back to HHS
In a move that should surprise no one, the Office of Information and Regulatory Affairs (OIRA) announced that the 340B Program Omnibus Guidelines, aka the 340B Mega Guidance, was withdrawn on January 30th. The proposed rule, which was released in draft form in August 2015, was widely expected to be finalized last December. As a unit of OMB, OIRA speaks directly for President Trump's executive branch.
Important News: BPHC has released draft Health Center Program Compliance Manual (the Compliance Manual) for public comment.
340B: Program Critical to FQHCs Under Fire
The 340B Program has become an important source of revenue for many Federally Qualified Health Centers. Many fear that without 340B, their programs will not survive. With a draft Mega Guidance under consideration by HRSA and new CMS rules governing Medicaid reimbursement, 340B is going to change. The extent to which this will affect FQHCs is currently a matter of speculation. Meanwhile, in order to understand where this crucial program is likely headed, it is important to know where we are now, and how we got here.
Besides not dying young, one of the advantages of being around for a long time is that you gain perspective.
340B Drug Pricing Program Omnibus Guidance Comments
October 27, 2015 was the last day to submit comments related to the 340B Drug Pricing Program Omnibus Guidance. The proposed changes to the program have the potential to adversely affect health centers and the populations they serve (For a detailed analysis, read our article How the 340B "Mega Guidance" will affect your FQHC or Look-Alike.). Following are our comments:
How the 340B "Mega Guidance" will affect your FQHC or Look-Alike
The Draft 340B Drug Pricing Program “Mega Guidance” is an attempt by HRSA to provide clarification relating to 340B implementation. Our analysis addresses the issues which have the greatest potential to affect FQHC programs. This “Mega Guidance” strongly confirms a number of positive issues relating to the program; however the focus is largely on compliance and abuse prevention. While we support and applaud this effort, in some cases there will likely be potentially detrimental effects to our programs and the patients we serve.
Champion of the Hudson
I recently came across this article about Peekskill, NY resident Rev. Jeannette Phillips, who recently had an FQHC site named in her honor. Hudson River Healthcare, one of the largest and most successful FQHCs in the northeast, serves the Hudson River Valley (where I grew up) near New York City.
Are FQHC controlled Medicaid health plans still the way to go?
About ten years ago, Community Health Center owned and operated Medicaid managed care organizations (MCOs) were all the rage. I spent almost five years during that time working to build a plan in Florida. We were successful, but does this strategy still make sense today? The answer is definitely...maybe.
