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Safety Net Activities of Independent Rural Health Clinics

Funder: Office of Rural Health Policy (ORHP)
Research center: Maine Rural Health Research Center
Phone: 207.780.4513
Lead researcher: John A. Gale, MS , 207.228.8246, jgale@usm.maine.edu
Project funded: September 2007
Project completed:August 2010
Topics: Federally Qualified Health Centers (FQHCs)
Rural Health Clinics (RHCs)

Rural Health Clinics (RHCs) have become an important part of the rural health care infrastructure. As of March 31, 2006, 3,673 RHCs were providing a wide range of primary care services to the rural residents of 46 states. Of this number, 2,000 are independent RHCs. The patient populations served by these RHCs include a high proportion of rural elderly and poor through the Medicare and Medicaid programs (Gale and Coburn, 2003). In addition, RHCs are increasingly looked upon as belonging to a class of providers that comprise the health care safety net (Gaston, 1997, Buto, 1997, Gage, 2000, Hartley and Gale, 2003), based on the requirement that they be located in rural areas that are designated as underserved.

As defined by the Institute of Medicine (IOM), safety net providers "organize and deliver a significant level of health care and other health-related services to uninsured, Medicaid, and other vulnerable populations" (Lewin and Altman,2000). The IOM further identified a subset of the safety net known as "core safety net providers" that have a legal mandate or explicit mission to offer services to patients regardless of their ability to pay and whose patient mix includes a substantial proportion of uninsured, Medicaid, and other vulnerable individuals. The authors did not include RHCs in their list of core safety net providers. This project will explore the ways in which independent RHCs serve as part of the safety net. Through analysis of RHC cost reports and a national telephone survey, the safety net functions of independent RHCs will be identified and assessed. Findings will be disseminated to federal, state and local rural health officials and stakeholders.

Publications

  • Are Rural Health Clinics Part of the Rural Safety Net? (Policy Brief)
    Author(s): David Hartley, John Gale, Al Leighton, Stuart Bratesman
    Date: 09 / 2010
    Key Findings: 86% of independent RHCs offer free care, sliding fee scales, or both; 97% were currently accepting new Medicaid/SCHIP patients; RHCs' patient mix has a higher proportion of Medicaid/SCHIP patients in counties not served by a federally funded Community Health Center (CHC). Lacking the grant funds and federal technical assistance provided to CHCs to build service capacity, few RHCs have had the resources to expand their scope of services. The Affordable Care Act has made it clear that partnering with CHCs is an option for RHCs that find themselves serving safety net populations. More study is needed laying out the details of such arrangements, the reimbursement and governance implications, and the relative advantages and disadvantages from the perspectives of the CHC, the RHC, the physician, and especially, the patient.
  • Safety Net Activities of Independent Rural Health Clinics
    Author(s): David Hartley, John Gale, Al Leighton, Stuart Bratesman
    Report Number: Working Paper # 44
    Date: 09 / 2010
    Rural Health Clinics (RHCs) are an important part of the rural health care infrastructure, providing a wide range of primary care services to the rural residents of 45 states. Since RHCs are located in underserved rural areas and serve vulnerable populations, many consider them safety net providers. In this paper we explore whether and to what extent independent RHCs are serving a safety net role, or have the capacity to serve that role.