What Is the Rural Health Transformation Program?

The Rural Health Transformation Program (RHTP) is a landmark $50 billion federal initiative created under Section 71401 of the One Big Beautiful Bill Act (Public Law 119-21). Administered by CMS, the program distributes $10 billion annually from FY2026 through FY2030 to all 50 states through cooperative agreements — no state matching funds required.

RHTP is designed to transform rural healthcare by investing in infrastructure, technology, workforce, and care delivery models that create lasting, sustainable improvements for rural communities. Learn more about RHTP on our hub page.

Five Strategic Goals

Goal 1: Enhance Access to CareExpand healthcare services in rural communities, including telehealth, mobile health units, and satellite clinics to reduce travel burdens.
Goal 2: Strengthen the Rural Healthcare WorkforceFund recruitment, retention, training, and pipeline programs for healthcare professionals serving rural areas.
Goal 3: Improve Health OutcomesAddress chronic disease, behavioral health, maternal health, and preventive care to measurably improve rural population health.
Goal 4: Advance Health EquityReduce disparities in healthcare access and outcomes for underserved rural populations including tribal communities.
Goal 5: Foster Technology and InnovationInvest in health IT, interoperability, telehealth, AI, remote patient monitoring, and cybersecurity infrastructure.

Minnesota’s RHTP Program

Program Name
The Minnesota Rural Health Transformation Program
FY2026 Funding
$193,090,618
Lead Agency
Minnesota Department of Health
Program Duration
FY2026 – FY2030 (5 years)

Key Initiatives & Focus Areas

  • Telehealth expansion for northern and western communities
  • Behavioral health integration and substance use treatment
  • Health IT modernization and interoperability
  • Rural workforce recruitment and retention
  • Critical Access Hospital transformation

Unique Aspects of Minnesota’s Program

  • Strong existing rural health infrastructure with extensive Critical Access Hospital network
  • Minnesota e-Health initiative provides solid health IT foundation
  • Significant Native American communities with specific health needs
  • Extreme winter weather creates seasonal access challenges
  • Mayo Clinic proximity creates hub-and-spoke referral opportunities

How Technology Supports RHTP in Minnesota

The Interoperability Challenge

Rural healthcare facilities face significant technology gaps compared to their urban counterparts. Nationally, only 48% of rural hospitals have achieved basic interoperability, compared to 62% of urban hospitals. This data-sharing gap directly impacts care quality, coordination, and outcomes for rural patients.

RHTP’s Strategic Goal 5 specifically targets technology innovation, including a Technology Innovation Catalyst Fund that supports interoperability, telehealth, remote patient monitoring, AI-enabled health tools, and cybersecurity.

How Julota Addresses RHTP Technology Requirements

Julota is a cloud-based SaaS interoperability platform purpose-built for the challenges rural healthcare organizations face. Here’s how Julota supports RHTP goals in Minnesota:

  • FHIR-Native Interoperability: Julota’s platform supports HL7 FHIR APIs and G10 compliance, meeting the interoperability standards required by RHTP and the 21st Century Cures Act. Learn about Julota’s platform.
  • Health Information Exchange Connectivity: Connect rural providers across Minnesota to state and regional HIEs, enabling real-time data sharing that improves care coordination and reduces duplication.
  • Care Coordination & Closed-Loop Referrals: Julota’s closed-loop referral management ensures patients don’t fall through the cracks — critical for rural communities where follow-up can require long-distance travel.
  • MIH-CP & Community Paramedicine Support: Julota’s MIH-CP solution supports the mobile integrated health and community paramedicine models that many states are funding under RHTP.

RHTP Eligibility in Minnesota

RHTP funds flow from CMS to Minnesota through a cooperative agreement. The state then distributes funds to eligible subrecipients through competitive processes.

Eligible Organization Types

  • Critical Access Hospitals (CAHs) — Rural hospitals with 25 or fewer beds
  • Federally Qualified Health Centers (FQHCs) — Community health centers serving underserved populations
  • Rural Health Clinics (RHCs) — Clinics in designated shortage areas
  • Community Behavioral Health Providers — Including Certified Community Behavioral Health Clinics (CCBHCs)
  • Emergency Medical Services (EMS) — Ambulance services and first responders
  • Tribal Health Organizations — Indian Health Service and tribal facilities
  • Local Health Departments — County and regional public health agencies
  • Universities and Training Programs — Workforce development partners

How to Apply

Organizations in Minnesota should contact Minnesota Department of Health for subrecipient application details. Most states distribute RHTP funds through competitive RFP processes that require demonstrating alignment with the state’s approved Rural Health Transformation Plan.

Key compliance requirements include SAM.gov registration, adherence to 2 CFR 200 uniform guidance, and commitment to quarterly and annual reporting on performance metrics and milestones.

Key Questions About RHTP in Minnesota

How much RHTP funding did Minnesota receive?

Minnesota received RHTP funding as part of the FY2026 allocation, reflecting its significant rural population in the northern and western regions of the state.

What is Minnesota's Rural Health Transformation Program?

Minnesota's RHTP builds on the state's strong rural health infrastructure, focusing on telehealth, behavioral health, health IT, workforce development, and Critical Access Hospital transformation.

Who is eligible for RHTP in Minnesota?

Eligible organizations include Critical Access Hospitals, FQHCs, Rural Health Clinics, tribal health facilities, behavioral health providers, EMS agencies, and other rural healthcare organizations.

What technology does Minnesota's RHTP fund?

Minnesota's RHTP supports telehealth systems, remote patient monitoring, EHR modernization, health information exchange connectivity through the Minnesota e-Health framework, and cybersecurity improvements.

How does RHTP support Minnesota's tribal communities?

RHTP funds can support telehealth infrastructure, behavioral health services, workforce development, and health IT modernization at tribal health facilities serving Minnesota's Native American communities.

How can Minnesota providers apply for RHTP?

Minnesota providers should contact the Minnesota Department of Health for RHTP subrecipient application information and eligibility details.

Ready to Build RHTP-Ready Infrastructure in Minnesota?

Julota helps rural healthcare organizations meet RHTP interoperability requirements with a cloud-based platform that connects providers, enables data sharing, and supports care coordination across your community.

Call us: 833-445-1600