The U.S. Department of Health and Human Services on Thursday announced it would be spending another $81.7 million on the nation’s community health centers this year.
“The economic downturn is hurting all of us and when workers lose their jobs, they often lose their health insurance, too,” said HHS Secretary Kathleen Sebelius.
“Community health centers provide essential care for families across the country that do not have insurance or cannot afford the high cost of care,” she said.
Plans call for using $26 million to expand services at 54 federally qualified health centers, or FQHCs, in 25 states, including the Community Health Center of Southeast Kansas in Pittsburg.
“It’s Christmas! It’s the lottery! It’s…everything!” said the center’s executive director, Krista Postai, minutes after learning the center would receive an additional $826,000.
“I cannot tell you how much of a financial relief this is,” Postai said. “If Kathleen Sebelius was here, I’d give her a big hug!”
Prior to becoming HHS secretary, Sebelius was governor of Kansas.
Sebelius indicated the remaining $56 million will be used to increase base-funding grants at more than 1,200 FQHCs, including the 13 in Kansas. The Kansas clinics are expected to divide $513,000 in their 2009 base grants.
“This is good news,” said Cathy Harding, executive director at the Kansas Association for the Medically Underserved, an association representing the state’s safety-net clinics. “It means every FQHC in the state will be getting a bump.”
About one-third of the state’s safety-net clinics, Harding said, are FQHCs.
“What that means is they applied for FQHC status, which is a very difficult process — only about 10 percent qualify on their first application,” she said. “When they do, they’re eligible for what’s called a base grant of about $650,000 a year. Now, they have to apply for it every year, but once they qualify, they almost always get it.”
The announcement coincided with the 100-day anniversary of the American Recovery and Reinvestment Act, which set aside $2 billion for the health centers.
Sebelius noted that HHS was the first federal agency to begin distributing stimulus money.
In March, HHS sent $338 million to the nation’s FQHCs. Kansas’ share: $3.1 million.
To qualify for the additional funding, FQHCs in Kansas will be expected to see more patients and provide service to more uninsured.
“There were some pretty clear strings attached to this money,” Harding said. “The expectation is that they will grow and that they will maintain that growth after the two years and after the funding goes away. So, this isn’t easy money to earn.”
Postai said she doubts Community Health Center of Southeast Kansas will have a hard time meeting the criteria.
“Are you kidding? In the last six months, we’ve gone from 35 percent of our patients being uninsured to 50 percent,” Postai said. “And because of that shift in our payer mix, we’ve been sustaining losses every month. People who’ve always paid their bills can’t because they’ve lost their jobs. People who used to have insurance have been laid off.
“In Pittsburg, the layoffs continue,” she said. “Our unemployment hasn’t peaked yet. I mean, my God, the Taco Bell just closed. That’s how bad it is.”
The Kansas FQHCs and their initial stimulus funding:
• Garden City — United Methodist Mexican American Ministries, $227,219.
• Great Bend — Heart of Kansas Family Health, $178,892.
• Emporia — Flint Hills Community Health Center, $230,400.
• Hays — First Care Clinic, $100,000.
• Hutchinson — PrairieStar Health Center, $234,833.
• Junction City — Konza Prairie Health Center, $234,000.
• Pittsburg — Community Health Center of Southeast Kansas, $335,235.
• Salina — Salina Family Healthcare Center – $187,659.
• Topeka — Shawnee County Health Agency, $201,111.
• Wichita — Center for Health & Wellness, $100,000; GraceMed Health Center, $331,992; Hunter Health Clinic, $567,222.
• Kansas Department of Health and Environment, $179,392.
HHS is expected to award $1.5 billion in capital improvement grants later this summer. Applications are due June 2.
-Dave Ranney is a staff writer for KHI News Service, which specializes in coverage of health issues facing Kansans. He can be reached at dranney@khi.org or at 785-233-5443, ext. 128.