Community Benefit

Free Care Vouchers to Low-Income School Districts

Please Take Note: The information provided does not constitute legal or tax advice. The material is provided for informational/educational purposes only. Please consult with counsel regarding your organization's particular circumstances.

Question: We have two school districts in the community we serve, both in low income areas with high populations of uninsured persons, including migrant workers. We grant each of the districts an unlimited number of free vouchers per month so that when they have a student with a serious illness, injury and whose family has no insurance, they can send them to our Immediate Care Clinic and we treat them for free. This solves the school's need for getting students the immediate health care they need and otherwise wouldn't receive without our help. Should this be reported as charity care, community based clinical services or subsidized care?

Recommendation: We recommend the program you describe be reported as charity care.

(August 2009; updated November 2015)