The American Recovery and Reinvestment Act (ARRA) of 2009 impact on Federally-Qualified Health Centers (FQHQ) 2-26-09

Authors: National Council of Urban Indian Health
Publication Year: 2009
Last Updated: 2010-09-29 15:12:21
Journal: NCUIH
Keywords: Legislative Update, NCUIH, National Council of Urban Indian Health, FQHC, Federally Qualified Health Center, ARRA, American Recovery and Re-Investment Act, CHIP, Children's Health Insurance Program

Short Abstract:

While the American Recovery and Reinvestment Act of 2009 does not directly address the reimbursement rates and requirements for Federally-Qualified Health Centers (FQHC), the general health provisions of the bill will have an impact upon FQHCs and FQHC-lookalikes. A number of provisions aimed at protecting and extending Medicaid benefits to the most vulnerable during this recession will have strong impacts upon FQHCs and FQHC-lookalikes as they should preserve the higher FQHC reimbursement rates otherwise threatened by State budget cuts. Changes to reimbursement levels to encourage the adoption for Health Information Technology services have favored rates for FQHCs and FQHC-lookalikes. The American Recovery and Reinvestment Act provides $87 billion for Medicaid to assure necessary health care coverage and incentive payments for meaningful adopters of health information technology and electronic records. FQHC and FQHC-lookalikes, as well as rural health providers, which become meaningful adopters by 2015, will have access to additional incentive payments under Medicaid, Medicare, and CHIP.

Abstract:

While the American Recovery and Reinvestment Act of 2009 does not directly address the reimbursement rates and requirements for Federally-Qualified Health Centers (FQHC), the general health provisions of the bill will have an impact upon FQHCs and FQHC-lookalikes. A number of provisions aimed at protecting and extending Medicaid benefits to the most vulnerable during this recession will have strong impacts upon FQHCs and FQHC-lookalikes as they should preserve the higher FQHC reimbursement rates otherwise threatened by State budget cuts. Changes to reimbursement levels to encourage the adoption for Health Information Technology services have favored rates for FQHCs and FQHC-lookalikes. The American Recovery and Reinvestment Act provides $87 billion for Medicaid to assure necessary health care coverage and incentive payments for meaningful adopters of health information technology and electronic records. FQHC and FQHC-lookalikes, as well as rural health providers, which become meaningful adopters by 2015, will have access to additional incentive payments under Medicaid, Medicare, and CHIP.

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