III 

109TH CONGRESS 

1ST SESSION S. CON. RES. 65 

Recognizing the benefits and importance of federally-qualified health centers 

and their Medicaid prospective payment system. 

IN THE SENATE OF THE UNITED STATES 

NOVEMBER 17, 2005 

Mr. BURR (for himself, Mr. OBAMA, Mr. BINGAMAN, Mr. BOND, Mr. KERRY, 

Mr. SMITH, Mr. SALAZAR, Mr. SCHUMER, Mr. DURBIN, Ms. COLLINS, 

and Ms. SNOWE) submitted the following concurrent resolution; which 

was referred to the Committee on Finance 

CONCURRENT RESOLUTION 

Recognizing the benefits and importance of federally-qualified 

health centers and their Medicaid prospective payment 

system. 

Whereas community, migrant, public housing, and homeless 

health centers form the backbone of the health care safety net of the United States, providing health care to 

nearly 6,000,000 of the 53,000,000 people enrolled in the 

Medicaid Program nationwide; 

Whereas health center patients are more likely than the general population to be enrolled in Medicaid, with 36 percent of all health center patients enrolled in Medicaid 

compared to 12 percent nationally; 
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•SCON 65 IS

Whereas in 1989, Congress established the services of the 

federally-qualified health center (FQHC) program as a 

guaranteed benefit under Medicaid to protect the valuable resources intended to assist health centers in caring 

for the uninsured; 

Whereas health centers have doubled the number of uninsured people served since 1989, a growth rate more than 

twice that of the uninsured population of the United 

States; 

Whereas health centers provided 17 percent of all Medicaid 

and State Health Insurance Program office visits in 

2001; 

Whereas Medicaid on average contributes 36 percent of a 

health center’s budget, with the remainder provided by 

Federal grants, State and local governments, Medicare, 

private contributions, private insurance, and patient fees; 

Whereas the cost of treating health center Medicaid patients 

is 30 to 34 percent less than the cost of treating those 

that receive care elsewhere, and similarly, 26 to 40 percent lower for prescription drug costs, 35 percent lower 

for diabetics, and 20 percent lower for asthmatics; 

Whereas health center Medicaid patients are 22 percent less 

likely to be hospitalized for conditions that were potentially avoidable than those obtaining care elsewhere; 

Whereas a bipartisan majority of Congress in 2000 established a prospective payment system (PPS) to ensure 

that federally-qualified health centers receive sufficient 

Medicaid funding, thereby striking a balance between 

protecting the Federal investment in health centers and 

providing State flexibility in designing the payment system for these centers; 
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•SCON 65 IS

Whereas the prospective payment system has allowed States 

to appropriately predict and budget the cost of health 

center Medicaid expenditures; 

Whereas the prospective payment system has allowed health 

centers to provide and expand primary care services to 

more people in need, while promoting efficient operation 

of and ensuring adequate Medicaid reimbursement for 

these centers; 

Whereas without the assurance of sufficient Medicaid funding 

under the prospective payment system, health centers 

would be forced to cross-subsidize Medicaid underpayments with Federal grant dollars intended to care for the 

uninsured; 

Whereas if the PPS were eliminated or changed, entire communities could be left without any access to primary and 

preventive health care services, thus undoing decades of 

investment by Congress in providing a health care safety 

net; 

Whereas health centers provide cost-effective, high-quality 

health care to the poor of the Nation and the medically 

underserved, including the working poor, the uninsured, 

and many high-risk and vulnerable populations; and 

Whereas health centers act as a vital safety net in the health 

delivery system of the Nation, meeting escalating health 

needs, and reducing health disparities: Now, therefore, be 

it 

1 Resolved by the Senate (the House of Representatives 

2 concurring), That— 

3 (1) it is the sense of Congress that the Med4 icaid prospective payment system for the federally- 
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•SCON 65 IS

1 qualified health center program is critical to ensur2 ing that both Medicaid recipients and the uninsured 

3 population of the Nation have access to quality af4 fordable primary and preventive care services; and 

5 (2) Congress recognizes the critical role of 

6 health centers as an essential source of health care 

7 for millions of Medicaid recipients and uninsured 

8 Americans and supports continuation of the prospec9 tive payment system in helping to maintain this sys10 tem of health care. 

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