Community health centers deliver comprehensive care to their patients despite balancing tight budgets. They are funded primarily by a combination of Medicaid reimbursements, which are generally lower than those from Medicare and commercial insurance, and federal grant funding, which has not kept up with inflation.⁵ CHCs face persistent funding gaps as revenues and federal funding aren’t enough to cover the costs of care they provide to uninsured patients. Other challenges they face, including the financial and operational impacts of the COVID-19 pandemic, changes in Medicaid enrollment and associated reimbursements, and persistent workforce shortages, have posed threats over the years to daily operations and their long-term sustainability.⁶

This brief draws on findings from the 2024 Commonwealth Fund National Survey of Federally Qualified Health Centers, which engaged CHCs nationally to assess the extent to which they achieve the core functions of primary care — accessibility, comprehensiveness, and coordination — and the barriers they face in doing so.