How STI/HIV Clinics Can Gain Financial Stability by Becoming FQHCs

When it comes to ensuring long-term success, STI Clinics and HIV Clinics often face an uphill battle. Limited funding, rising operating costs, and growing patient needs can strain even the most mission-driven organizations. But there is a proven path to greater financial sustainability: becoming a Federally Qualified Health Center (FQHC).

At Burrows Consulting, we work with healthcare organizations across the country, including STI/HIV Clinics and Ryan White providers, to navigate this transition. Let’s talk about why converting to an FQHC could be a game changer for your clinic’s future.

1. Access to Section 330 Grant Funding

As an FQHC, your clinic would be eligible for Section 330 grants, which provide reliable, multi-year funding. These grants are designed to support clinics that serve medically underserved communities, exactly the mission of most STI and HIV Clinics. Securing this healthcare funding can mean expanding your services, hiring more staff, and reaching more patients, all without the fear of sudden budget cuts.

2. Enhanced Medicaid and Medicare Reimbursements

Unlike traditional STI Clinics that rely heavily on limited grants, FQHCs receive cost-based reimbursements through Medicaid and Medicare. That means your clinic would get paid based on what it actually costs to deliver care, not just the bare minimum fee-for-service rate. In the world of healthcare grants and healthcare funding, this is one of the smartest ways to build long-term financial health.

3. Eligibility for the 340B Drug Pricing Program

If your clinic dispenses medications like HIV antivirals, PrEP, or STI treatments, the 340B program could save you hundreds of thousands of dollars annually. FQHCs can purchase medications at deeply discounted prices, allowing you to stretch your budget further and reinvest savings directly into patient care.

4. Federal Malpractice Coverage

As a full FQHC, your clinic would qualify for Federal Tort Claims Act (FTCA) coverage, meaning the federal government would cover malpractice insurance costs. For many STI/HIV Clinics, this represents massive operational savings each year.

Bottom Line: Becoming an FQHC opens up a world of financial advantages that STI and HIV Clinics cannot afford to ignore. Stable healthcare funding, better reimbursement rates, 340B savings, and federal malpractice coverage create a financial foundation that empowers you to serve your community better and longer.

If you are serious about securing the future of your STI Clinic, HIV Clinic, or Ryan White-funded program, exploring FQHC conversion is a bold, strategic move. If you need expert healthcare grant writers to walk you through it, we are ready to help.

Works Cited

• Health Resources and Services Administration. “Health Center Program: Impact and Growth.” U.S. Department of Health and Human Services, 2024. https://bphc.hrsa.gov.
• Kaiser Family Foundation. “Community Health Centers: Recent Growth and the Role of the ACA.” 2023. https://www.kff.org.
• Rural Health Information Hub. “Federally Qualified Health Centers (FQHCs).” Accessed 2024. https://www.ruralhealthinfo.org.
• Centers for Disease Control and Prevention (CDC). “Integrating HIV Prevention and Treatment Services.” Accessed 2024. https://www.cdc.gov.
• National Association of Community Health Centers. “The 340B Drug Pricing Program: A Critical Program for Health Centers.” 2023. https://www.nachc.org.