Key Findings
- Nearly all (93%) of Community Health Centers (CHCs) report that base grant increases would be extremely impactful. In contrast, less than half (45%) of CHCs reported that new access point competition to be extremely impactful. (Exhibit 5).
- Over half (55%) of CHCs report delaying and/or filling open positions in the last 6 months due to finical challenges. (Exhibit 3).
- Most CHCs (86%) report difficulty maintaining competitive salaries as a major challenge due to financial constraints (Exhibit 2a).
Introduction
In 2023, Community Health Centers (CHCs) provided services to 1 in 10 individuals in the United States, utilizing just over $5 billion in Section 330 funding. CHCs are crucial for providing health care to underserved and historically marginalized populations but face challenges due to budget constraints. These constraints make it hard to attract and retain qualified staff, leading to high turnover and staffing shortages, which affects care quality and strains existing staff. CHCs also struggle to maintain services addressing social drivers of health like housing, nutrition, and transportation, which are often cut first, increasing health disparities.
CHCs rely on a variety of funding sources besides the Section 330 grants. One major source is Medicaid and Medicare payments, which cover services provided to enrolled individuals. They also benefit from state and local government grants, which support specific health initiatives and operational needs. Private donations and grants from foundations and corporations further supplement their funding. Lastly, patient fees based on a sliding scale contribute to their revenue.
Acknowledgement
We extend our heartfelt gratitude to all the Community Health Centers (CHCs) that participated in our recent pulse survey. Your thoughtful feedback and insights are invaluable in guiding our efforts to enhance our services and better meet the needs of our community. Thank you for your continued commitment and support.
