Rural Health Transformation Program

The CMS Administrator will consider the following in determining allotments to each state: 

• The percentage of the state’s population that is located in a rural census tract of a metropolitan statistical area (MSA).
• The proportion of rural health facilities (defined below) in the state relative to the number of rural health facilities nationwide.
• The situation of hospitals in the state.
• Any other factors that the CMS Administrator finds appropriate.

 To receive funds, Minnesota will submit one application to CMS for the entire 5-year funding period. This application must outline the state’s proposed Rural Health Transformation Plan. 

The Rural Health Transformation Plan must demonstrate how the state will:

• Improve access to hospitals and other providers for rural residents.
• Improve health care outcomes of rural residents.
• Prioritize use of new and emerging technologies that emphasize prevention and chronic disease management.
• Initiate, foster, and strengthen local and regional strategic partnerships between rural hospitals and other providers to promote quality improvement, increase financial stability, maximize economies of scale, and share best practices.
• Recruit and retain clinicians.
• Prioritize data and technology-driven solutions that help rural providers furnish health care services as close to the patient's home as possible.
• Outline strategies to manage long-term financial solvency and operating models of rural hospitals.
• Identify specific causes that are driving standalone rural hospitals to close, convert, or reduce service lines.

States will be allowed to use funds for 3 or more of the following eligible activities and must outline how these activities will achieve the goals of the transformation plan.  

1. Promoting evidence-based, measurable interventions to improve prevention and chronic disease management. 
2. Providing payments to health care providers for the provision of health care items or services, as specified by the CMS Administrator. 
3. Promoting consumer-facing, technology-driven solutions for the prevention and management of chronic diseases. 
4. Providing training and technical assistance for the development and adoption of technology-enabled solutions that improve care delivery in rural hospitals, including remote monitoring, robotics, artificial intelligence, and other advanced technologies. 
5. Recruiting and retaining clinical workforce talent to rural areas, with commitments to serve rural communities for a minimum of 5 years. 
6. Providing technical assistance, software, and hardware for significant information technology advances designed to improve efficiency, enhance cybersecurity capability development, and improve patient health outcomes. 
7. Assisting rural communities to right size their health care delivery systems by identifying needed preventative, ambulatory, pre-hospital, emergency, acute inpatient care, outpatient care, and post-acute care service lines. 
8. Supporting access to opioid use disorder treatment services, other substance use disorder treatment services, and mental health services. 
9. Developing projects that support innovative models of care that include value-based care arrangements and alternative payment models.
10. Additional uses to promote sustainable access to high quality rural health care services, as determined by the CMS Administrator.

This request is being issued strictly for informational and planning purposes to help the State of Minnesota better assess rural health needs and opportunities, and to gather input on what rural communities need to stay healthy and vibrant. Responding to this request is completely voluntary and does not indicate or imply any intent or commitment by the State of Minnesota to adopt specific ideas, form partnerships, or award funding or future contracts.

The information received through this process will help the State of Minnesota to:

• Inform goals and activities for it's federal application.
• Identify actionable solutions that align with the approved activity areas and goals, and committed partners to help execute the vision.
• Assess the scope and scale of the proposed ideas/interventions and plans to support, sustain, and/or transform activities, with regard to the anticipated expiration of federal funds.
• Begin to lay the foundation to support and build a stronger, more responsive, rural health care system that meets the needs of rural residents.

The State of Minnesota is looking for broad input from all stakeholders to inform the transformation of rural health care. Minnesota welcomes input from all types of rural health consumers, and the public health care providers that include, but is not limited to:

• Rural Hospitals
• Critical Access Hospitals
• Rural health clinics
• Federally qualified health centers
• Community mental health centers
• Independent physician practices
• Public health agencies
• Member and advocacy organizations
• Provider networks
• Rural providers
• All staff of health care organizations
• Health care advocates
• Patients, caregivers, and rural community members
• Community organizations
• Researchers
• Tribes

Preview the questions: Rural Health Transformation Plan - Public Comments (PDF)

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