Il Dept of Healthcare and Family Services

The Rural Health Transformation (RHT) Program was designed to empower states to strengthen rural communities by improving healthcare access, quality, and outcomes through transforming the healthcare delivery ecosystem. Illinois’ Rural Health Transformation Program will support rural communities across the State of Illinois in improving healthcare access, quality, and outcomes by transforming healthcare delivery. This program seeks to reshape healthcare delivery to better align with community needs and improve the sustainability of rural systems of care. Program Year 1 will support Planning Grants for awardees to develop a regionally tailored and data driven transformation plan that identifies delivery system gaps and unmet community needs and outlines strategies to transform service lines, deploy new models of care delivery, and test sustainable VBP (Value-Based Purchasing) methodologies. Planning awards will also be used to establish regional partnerships, participate in technical assistance and build initial infrastructure. Planning Grant awardees may apply for competitive Implementation awards for years 2-5. Implementation awards may be used to implement transformation plans, including supporting service line transformation; developing sustainable, high-quality care models through investment to establish regional partnerships; hiring clinical and non-clinical staff across hospitals and partnership entities to carry out the strategies identified in the transformation plan; and supporting limited capital expenditures for renovations to transition lines of service. All RHT applicants must complete the Euna application. Once the completed application is received and approved, the Illinois Department of Healthcare and Family Services will collaborate with each subaward to complete the grant award process. Note: Stevens Amendment Acknowledgment This funding opportunity is supported by the Centers for Medicare & Medicaid Services (CMS) of the U.S. Department of Health and Human Services (HHS) as part of a financial assistance award totaling $193,418,216.21 with 100 percent funded by CMS/HHS. The contents are those of the author(s) and do not necessarily?represent?the official views of, nor an endorsement, by CMS/HHS, or the U.S. Government.

Section 71401 of Public Law 119-21

N/A

N/A

The Transforming Rural Healthcare Delivery initiative seeks to support innovative care models, strategic partnerships, and targeted investments to stabilize rural hospitals, close access gaps, and build a resilient and sustainable healthcare system for the future. This will be implemented in part by providing transformation funding to hospitals to reshape healthcare delivery to better align with community needs and improve the long-term financial viability of rural hospitals. Transformation funding in Year 1 planning grants will help hospitals develop regionally tailored and data-driven transformation plans.

Yes

As identified in the opportunity.

Other;

Eligible applicants include (must also be registered and in good standing with the State): As identified in the opportunity

The beneficiaries of the Transforming Rural Healthcare Delivery initiative will be residents of rural communities where access to essential health services is limited by geographic isolation, workforce shortages and resource constraints. This initiative will help to ensure all residents of the State of Illinois will have access to high-quality, sustainable care.

Non-competitive

Healthcare

Registration and pre-qualification through the Grant Accountability and Transparency Act (GATA) Grantee Portal is required, www.grants.illinois.gov/portal.

Registration and pre-qualification through the Grant Accountability and Transparency Act (GATA) Grantee Portal, www.grants.illinois.gov/portal.

The potential applicants will be contacted directly by the Department and provided additional information regarding the application requirements and necessary documentation needed to submit a complete application packet. The applicants will be expected to demonstrate how it will spend the funds received and to submit proposals with compelling evidence of impact for direct awards as subrecipients of RHT funds.

The potential applicants will be contacted directly by the Department and provided additional information regarding the application requirements and necessary documentation needed to submit a complete application packet. The applicants will be expected to demonstrate how it will spend the funds received and to submit proposals with compelling evidence of impact for direct awards as subrecipients of RHT funds.

The Department will make direct contact with award recipients. Based on the named grantees in the HFS federal award received, this will not be a competitive grant, and a merit-based review would not be necessary.

As identified in the opportunity.

As identified in the opportunity.

Not applicable.

Grant agreements are contingent upon satisfactory performance and subject to appropriations and receipt of federal funds.

None

Awardees are to use funds for support staff, consulting contracts, and infrastructure payments to support the implementation of the Rural Health Transformation Program, Transforming Rural Healthcare Delivery Initiative related to hospital transformation efforts.

Awardees will be expected to submit progress and financial reports to the Department of Healthcare and Family Services and assist with other HFS reporting needs as applicable. Reports will include but not be limited to: program reports, financial status reports, property inventory, closeout program report, and closeout financial status report. Please reference the funding opportunity, Hospital Reporting Requirements, for additional detail.

Awardees must comply with the audit requirements listed in 2 CFR 200 and Administrative Rule, 44 Illinois Administrative Code 7000.90.

Awardees must maintain for three (3) years from the date of submission of the final expenditure report, adequate books, all financial records and, supporting documents, statistical records, and all other records pertinent to this Award, adequate to comply with 2 CFR 200.334 and 44 Ill. Admin. Code 7000.430(a) and (b).

Award# RHTCMS332055-01-01

Subject to available funding, total RHT Hospital specific funding is estimated at $28,191,393.00 in the first federal Budget Period (January 2026 to October 2026). Funding amounts described here reflect an estimate and are subject to change. Subject to available funding. total RHT-Hospital Transformation (HT) specific funding is estimated at $0 in the current fiscal year (SFY26).

Approximately $290,000 per hospital. If some eligible hospitals do not apply, the award amount among hospitals that do apply will be higher.

As identified in the opportunity.

2 CFR 200 and 2 CFR 300; https://www.cms.gov/priorities/rural-health-transformation-rht-program/overview

Statewide

Illinois Dept of Healthcare and Family Services 201 South Grand Ave E Division of Medical Program Services Springfield, IL 62763-1000

https://hfs.illinois.gov/info/fedresctr/ruralhealthtp.html

Not applicable.

New programming.

None

FY 2027 : $28,191,393