Rural Health Clinics (RHC) and Federally Qualified Health Centers (FQHC) are reimbursed under distinct, clinic-specific payment systems, using standardized all-inclusive rates (AIR) or prospective payment system (PPS), respectively, rather than the traditional fee-for-service structure used by most medical group practices. Both RHCs and FQHCs serve a mix of payors, with a growing population of Medicare beneficiaries.
The Centers for Medicare & Medicaid Services (CMS) released the final 2026 Physician Fee Schedule (PFS) on October 31, 2025. The PFS makes changes to Medicare physician payment and quality reporting program policies that generally take effect January 1, 2026. The PFS includes several important updates that directly affect RHCs and FQHCs.