Iowa to distribute $78.6 million to improve rural health care

IOWA, USA — Gov. Kim Reynolds and the Iowa Department of Health and Human Services (HHS) announced Friday they are planning to award more than $78.6 million in funding through the Iowa Healthy Hometowns Project, making the Hawkeye State the first to use its Rural Health Transformation Program funds.

The state’s Healthy Hometowns Project, which is federally funded by the Centers for Medicare & Medicaid Services’ Rural Health Transformation Program, received $209 million for the first year of implementation.

While all 50 states received some amount of money in the federal program’s first year, Iowa is the first to begin putting the money to use.

“These investments represent a major step forward in ensuring that rural Iowans have access to high-quality health care services and providers,” Reynolds said.  “Through Iowa’s Rural Health Transformation Program, Healthy Hometowns, we are building stronger, healthier communities across the state.” 

According to state officials, the first batch of funding is specifically going to the Hometown Connections initiative, which “focuses on building partnerships to restructure health care delivery options for rural communities,” and will be split between two initiatives.

Money will be used to purchase and install medical equipment and support healthcare workforce recruitment. The state says more requests for proposals and subsequent funds distribution will happen over time.

Of the two awarded proposals, the first is getting most of the money, securing an estimated $66,002,161.76.

The award is expected to further support rural hospitals and care centers through the purchase and installation of medical equipment.

Organizations listed here are set to receive things like imaging systems and robotic surgery, along with any needed minor alterations and renovations.

“The goal is to introduce new lines of service not currently available in rural regions and strengthen the sustainability of high-quality healthcare delivery,” a state press release says.

The second proposal that received funding is intended to help healthcare organizations better recruit skilled providers through incentives like recruitment bonuses, relocation assistance and other measures to make rural practice attractive and sustainable.

An estimated $12,600,000.00 will be split among organizations listed here to help recruit professionals like physicians, psychiatrists, advanced practice providers, physician assistants, registered nurses and specialty providers.