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You are here: Home / Type of Eligible Entity / Organizations / Faith-based Organizations / Small Rural Hospital Improvement Program in Minnesota

Small Rural Hospital Improvement Program in Minnesota

Dated: October 11, 2022

The Minnesota Department of Health has announced Small Rural Hospital Improvement Program to assist eligible hospitals in meeting the costs of implementing data system requirements established under the Medicare Program, including using funds to assist hospitals in participating in improvements in value and quality to health care.

Donor Name: Minnesota Department of Health

State: Minnesota

County: All Counties

Type of Grant: Grant

Deadline (mm/dd/yyyy): 10/24/2022

Grant Size: $13,011

Details:

The Small Rural Hospital Improvement Grant Program (SHIP) supports eligible hospitals in meeting value-based payment and care goals, through purchases of hardware, software and training. SHIP enables small rural hospitals to become or join accountable care organizations (ACOs); to participate in shared savings programs; and to purchase health information technology (hardware and software), equipment, or training to comply with quality improvement activities, such as advancing patient care information, promoting interoperability, and payment bundling. Hospitals can apply for projects under three investment categories,

  • Value-Based Purchasing (VBP)
  • Accountable Care Organizations (ACOs)/Shared Savings
  • Payment Bundling (PB)/Prospective Payment System (PPS)

Funding Priorities

The use of SHIP funds must be prioritized in the following areas:

  • Critical Access Hospitals (CAHs):
    • CAHs must meet MBQIP participation requirements to improve hospital quality outcomes. Non-federal tribal hospitals may use another culturally sensitive federally managed measure of hospital quality outcomes.
    • ICD-11 coding readiness or implementation activities.
    • You may choose either MBQIP or ICD-11, or both.
    • If a CAH has implemented both MBQIP and ICD-11 activities, then that hospital may select a different activity from the SHIP Allowable Investments
  • Non-CAHs:
    • ICD-11 coding readiness and/or implementation activities.
    • If a Prospective Payment System hospital has implemented ICD-11 activities, that hospital may select a different activity from the SHIP Allowable Investments.

Funding Information

For the 2023 program year the estimate maximum award for each hospital is $13,011.

Eligibility Criteria

Eligible small rural hospitals are non-federal, short-term general acute care facilities located in a rural area of the United States and the territories, including faith-based hospitals. They may be for-profit, not-for-profit or tribal organizations.

  • “Eligible small rural hospital” is defined as a non-Federal, short-term general acute hospital that: (i) is located in a rural area as defined in 42 U.S.C1395ww(d) and (ii) has 49 available beds or less, as reported on the hospital’s most recently filed Medicare Cost Report;,
  • “Rural area” is defined as either: (1) located outside of a Metropolitan Statistical Area (MSA); (2) located within a rural census tract of an MSA, as determined under the Goldsmith Modification or the Rural-Urban Commuting Areas (RUCAs) or (3) is being treated as if being located in a rural area pursuant to 42 U.S.C. 1395(d)(8)(E); and,
  • Eligible SHIP hospitals may be for-profit or not-for-profit, including faith-based. Hospitals in U.S. territories as well as tribally operated hospitals under Title I. and V. of P.L. 93-638 are eligible to the extent that such hospitals meet the above criteria.
  • Critical Access Hospitals (CAHs) are rural by definition and qualify for SHIP.

For more information, visit Minnesota Department of Health.

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