What is the Rural Hospital Flexibility Program?

The concept of bolstering fragile rural services through network development was an underlying goal of the Critical Access Hospital Program, and state activity on behalf of CAHs and network development was funded by Congress in fiscal year 1999. This is a $35 million per year, four-year program of grants to help states implement the CAH initiative. State awards have ranged from $200,000 to $700,000 per state, depending upon need and the likely number of hospital conversions. Most, though not all, of the grantees are state offices of rural health, which are implementing the planning and development phases of the CAH program.

States are required to help local communities and their hospitals decide on the feasibility of CAH status and to provide technical assistance for hospitals that do undertake conversion. States are also required to work with emergency medical systems, hospital associations and other groups in doing so. In addition to these activities, states may use the funds to support communities as they develop or implement health care networks, support expansion of programs to improve and integrate rural emergency medical services into rural health networks, and develop or enhance local health system quality improvement activities.

The federal office administering the state grant program is the Office of Rural Health Policy, Health Resources and Services Administration.

Federal Contacts:
Steve Hirsch
Office of Rural Health Policy
Health Resources and Services Administration
301-443-0835
Email: shirsch@hrsa.gov