Article: Understanding the Obstacles & Opportunities Ahead for FQHCs

How taking a strategic approach today can help organizations thrive tomorrow

Federally qualified health centers (FQHCs) have played an increasingly important role in the American healthcare landscape as they now serve more patients than ever before.¹

This article breaks down the challenges, plans, and solutions FQHC leaders can consider moving forward.

TOP HIGHLIGHTS:

Financial Headwind:

• -2.1% average annual operating margin²
• $7B in annual uncompensated care costs¹
  

Operational Complexity:

• 450+ new CMS diagnosis codes
• Uniform Data System Plus (UDS+) requirements

Clinical Care & Staff Shortage

• >70% report clinician shortages³
• Only 25% hear back from other organizations regarding patient outcomes in chronic disease management⁴

FQHC leaders now face a critical decision-making juncture. While some may see it as a daunting uphill battle, others may take it as a newfound opportunity to drive long-term impact.

What's the value of adding an in-house specialty pharmacy with an industry-leading partner?

• Accelerated implementation of value-based initiative
• Best-in-class clinical care for chronic disease management
• Advanced technology with robust outcomes reporting
• High reinvestment potential for long-term financial stability
  
  All to support patients, providers, and organizations alike

Read the full article to see a breakdown of all the latest stats, understand the paths ahead, and learn how your FQHC can continue to serve its patient population for years to come.

References:

¹NACHC statement on House passage of the “One Big Beautiful Bill.” News release. National Association of Community Health Centers. July 3, 2025. Accessed September 24, 2025. https://www.nachc.org/nachc-statement-on-house-passage-of-the-one-big-beautiful-bill/

²NACHC Data Analysis Team; Dr. John W. Hatch Center for Science. Community health centers grew in 2024 but patient access faces a tipping point. NACHC blog. September 8, 2025. Accessed September 24, 2025. https://www.nachc.org/community-health-centers-grew-in-2024-but-patient-access-faces-a-tipping-point/

³Horstman C, Lewis C, Bryan A, Federman S. Community health centers’ progress and challenges in meeting patients’ essential primary care needs. The Commonwealth Fund. August 8, 2024. Accessed September 24, 2025. https://www.commonwealthfund.org/publications/issue-briefs/2024/aug/community-health-centers-meeting-primary-care-needs-2024-FQHC-survey

⁴Horstman C, Lewis C, Bryan A, Federman S. Community health centers’ progress and challenges in meeting patients’ essential primary care needs. The Commonwealth Fund. August 8, 2024. Accessed September 24, 2025. https://www.commonwealthfund.org/publications/issue-briefs/2024/aug/community-health-centers-meeting-primary-care-needs-2024-FQHC-survey