Health Insurance and You!

U.S. Department of Health and Human Services Secretary Kathleen Sebelius announced Monday more than $32 million will be allocated to 7 programs that improve rural health priorities, administered by the office of Rural Health Policy in HHS’ Health Resources and Services Administration (HRSA).

Because rural areas often face a shortage of local providers, these funds aim to provide incentives to provider networks that serve these rural populations. “Funds will be used to recruit and retain rural healthcare professionals and modernize the healthcare infrastructure in rural areas,” said HRS Administrator Mary Wakefield.

The bulk of funds, about $22 million, will go toward the Medicare Rural Hospital Flexibility Program, which supports improvements in healthcare quality in areas served by Critical Access Hospitals; efforts to improve hospitals’ financial and operating performance; and the development of collaborative regional and local delivery systems. With help from this program, at least 1,300 hospitals have converted to critical access status since 1998.

The following programs will receive funds, as well:

• More than $3 million for the Rural Health Workforce Development Program, a one-time pilot program, aimed at recruitment and retention of emerging health professionals in rural communities.
• More than $2 million for the Telehealth Network Grant Program, which allows patients in rural areas to receive health care without traveling far. Telehealth is also used for healthcare administration and distance education.
• More than $1 million for the Telehealth Resources Center Grant Program, which provides technical assistance to help implement cost-effective telehealth programs in remote areas and underserved populations.
• Nearly $1 million for the new Flex Rural Veterans Health Access Program, which provides rural veterans with access to mental health services, among others.
• $770,000 for Frontier Community Health Integration Demonstration Program, to develop and test new models of healthcare delivery services
• $500,000 to Rural Training Track Technical Assistance Demonstration Program, which will analyze RTT program sites and provide technical assistance to increase the number of family medicine physicians that take part in these rural residencies.