We are in the preliminary research phase of other lines of businesses that we can offer as a health center. Is there any HRSA guidance?
Offering other lines of businesses as a health center can be financially rewarding and provide financial viability. The HRSA Program Compliance Manual and Site Visit Protocol (Chapter 15-Financial Management and Accounting Systems, Element E {Documenting the use of non-grant funds}) provides some guidance. During the Operational Site Visit (OSV), questions surrounding the documentation of use of non-grant funds and how the funds were utilized will be asked. Other lines of business do not require HRSA approval and are not subject to the HRSA programmatic requirements.
It is crucial that if the health center conducts other lines of business, costs of such activities must be excluded from the annual budget for the Health Center Program project. The board of directors should be included in the discussion of having other lines of businesses.
If you need further information or additional clarification, you can request this from the HRSA Point of Contact assigned to the health center.
Regulators are no longer satisfied with documentation alone; they want evidence that your compliance program actively prevents, detects, and corrects risk. Investigators expect to see how issues are identified early, investigated thoroughly, corrected effectively, and monitored over time. Boards demand measurable insight, and leadership needs confidence that exposure is managed before it becomes a liability. The standard has shifted from activity to impact.