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<classification authority="sudocs">GA 1.13:HEHS-97-24</classification>
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 <subject>Community health services</subject>
 <subject>Health resources utilization</subject>
 <subject>Health centers</subject>
 <subject>Medical services rates</subject>
 <subject>Eligibility criteria</subject>
 <subject>Economically depressed areas</subject>
 <subject>Health care programs</subject>
 <subject>Health care cost control</subject>
 <identifier>HHS Health Professional Shortage Area System</identifier>
 <identifier>HHS Rural Health Clinic Services Program</identifier>
 <identifier>Medicare Program</identifier>
 <identifier>Medicaid Program</identifier>
 <identifier>Alabama</identifier>
 <identifier>Kansas</identifier>
 <identifier>New Hampshire</identifier>
 <identifier>Washington</identifier>
 <identifier>Florida</identifier>
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<titleInfo>
 <title>Rural Health Clinics: Rising Program Expenditures Not Focused on Improving Care in Isolated Areas</title>
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<abstract>Pursuant to a congressional request, GAO reviewed the Rural Health
Clinic (RHC) Program, focusing on: (1) whether the RHC program is
serving a Medicare and Medicaid population that would otherwise have
difficulty obtaining primary care; (2) whether there are controls in
place to ensure that costs claimed for reimbursement are reasonable and
to target the cost-reimbursement benefit of the program to clinics
needing it for financial viability.&lt;p/&gt;GAO found that: (1) the RHC program is generally not focused on serving
Medicare and Medicaid populations having difficulty obtaining primary
care in isolated rural areas; (2) the additional Medicare and Medicaid
payments provided to RHCs increasingly benefit well-staffed, financially
viable clinics in suburban areas that already have extensive health care
delivery systems in place; (3) most RHCs are conversions of existing
physician practices that generally do not need or use the benefits under
the program to enlarge the size of the practice or take other actions to
expand care provided to underserved portions of the area&apos;s population;
(4) contributing to this problem are the extraordinarily high
reimbursements that RHC providers receive for each patient visit for
Medicare and Medicaid services at many clinics, the program&apos;s broad
eligibility criteria, and the requirement that the Health Care Financing
Administration (HCFA) reimburse all RHCs at cost, even if they are
already financially viable; (5) HCFA is not using its authority to set
maximum payment limits for nearly half of the RHCs that are operated as
a part of a hospital or other facility or implementing screens necessary
to determine whether claimed costs at independent or facility-based RHCs
are reasonable; and (6) once certified, RHCs remain eligible for cost
reimbursement indefinitely, even if the area they serve no longer
qualifies as rural or underserved.</abstract>
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<identifier type="preferred citation">GAO/HEHS-97-24</identifier>
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<note>Letter Report</note>
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 <searchTitle>GAO/HEHS-97-24; Rural Health Clinics: Rising Program Expenditures Not Focused on Improving Care in Isolated Areas;
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<subject>
 <topic>Community health services</topic>
 <topic>Health resources utilization</topic>
 <topic>Health centers</topic>
 <topic>Medical services rates</topic>
 <topic>Eligibility criteria</topic>
 <topic>Economically depressed areas</topic>
 <topic>Health care programs</topic>
 <topic>Health care cost control</topic>
 <topic>HHS Health Professional Shortage Area System</topic>
 <topic>HHS Rural Health Clinic Services Program</topic>
 <topic>Medicare Program</topic>
 <topic>Medicaid Program</topic>
 <topic>Alabama</topic>
 <topic>Kansas</topic>
 <topic>New Hampshire</topic>
 <topic>Washington</topic>
 <topic>Florida</topic>
</subject>
<relatedItem type="isReferencedBy">
 <titleInfo>
  <title>United States Public Law 210 (95th Congress)</title>
</titleInfo>
 <identifier type="public law citation">Public Law 95-210</identifier>
</relatedItem>
<relatedItem type="isReferencedBy">
 <titleInfo>
  <title>United States Public Law 239 (101st Congress)</title>
</titleInfo>
 <identifier type="public law citation">Public Law 101-239</identifier>
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