New York State Department of Health Announces First Rural Health Transformation Program Funding Opportunity

Funding guidance and application materials published on Department's Transforming Rural Healthcare website

At an event today in Broome County, the New York State Department of Health (NYSDOH) highlighted its commitment to strengthening rural healthcare and announced the release of the first funding opportunity available through the Rural Health Transformation Program, aimed at supporting and building sustainable healthcare in New York's rural communities.  The Department published guidance and application materials for the allocated $76.2 million in funding for the Rural Community Health Integration Initiative, a vital part of the Rural Health Transformation Program in New York.  The deadline to submit applications is July 14, 2026.

"The Rural Health Transformation Program is an opportunity to build a community-focused healthcare ecosystem that will improve access to high-quality, coordinated care for New Yorkers who live in rural areas," State Health Commissioner Dr. James McDonald said.  "This initial round of funding is vital to helping rural hospitals and providers build integrative partnerships, deliver coordinated care and improve health outcomes for the communities they serve."

The New York State Department of Health, under the leadership of Governor Hochul, remains committed to strengthening rural healthcare through innovative and strategic investments that will build a resilient and sustainable foundation of healthcare to benefit New Yorkers for generations to come.  The purpose of the Rural Community Health Integration initiative is to establish coordinated rural health partnerships that facilitate comprehensive care coordination and enhance patient access to a wide range of providers across the care continuum, addressing both health and social needs.  This funding is the first of multiple potential funding opportunities through the federal Rural Health Transformation Program.  The Department was awarded $212 million for 2026, the first year of an anticipated 5-year award.  Participation in the program and uptake of currently available funds will support the availability of future funding opportunities in New York, enabling the Department to implement the state's transformative strategy to support the health and well-being of New Yorkers.  Funding through the program will be used to address workforce shortages, invest in technology innovation and cybersecurity in rural hospitals, and to establish regional, integrated networks linking hospitals, Federally Qualified Health Centers, and behavioral health and other healthcare providers.

Olivia Catalano, Director of Public Health for Broome County, said, "Public health partnership is essential in this grant.  Every county should work closely with their county health department to brainstorm, submit the application and work to meet the needs of their community.  Each community has the opportunity to make feasible, measurable, sustainable and transformative changes with this grant.  New York has identified 47 out of 62 counties that are classified as rural in this application and eligible to apply.  Each community has their own unique needs and this grant gives us the opportunity to address them."

Broome County Health Department Medical Director Dr. Lazarus Gehring said, "This is a great idea for rural communities like ours.  We welcome the assistance for sustainability of health structures in our county."

This project is supported by the Centers for Medicare and Medicaid Services (CMS) of the U.S. Department of Health and Human Services (HHS) as part of a financial assistance award totaling $212,058,207.80 in Budget Period 1 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.

Rural Health Transformation Resources:

• Rural Community Health Integration funding guidance (PDF)
• Rural Community Health Integration application (PDF)

Learn more about how New York State is transforming rural healthcare here: Transforming Rural Healthcare in New York.