SD Division of Healthcare Access, Office of Rural Health and Emergency Services · Posted July 22, 2026
Application Due
September 4, 2026
Q&A Deadline
August 4, 2026
The Rural Health Transformation initiative is a statewide effort focused on strengthening rural healthcare systems and improving access to quality care across South Dakota. Through strategic investments, innovative care models, and cross-agency collaboration, Rural Health Transformation is designed to build a more resilient, connected, and sustainable rural health system for communities across the state. The purpose of this RFP is to solicit proposals from qualified healthcare organizations, facilities, and other eligible entities to participate in and support strategies to recruit, deploy, and retain a sustainable rural healthcare workforce across rural, underserved, and frontier communities in South Dakota. Through this RFP, the State intends to fund and partner with multiple entities to implement coordinated, outcomes-driven workforce solutions that address critical staffing needs, improve workforce stability, and expand access to care in rural areas. Rural healthcare systems across the state face persistent and compounding workforce challenges, including provider shortages, high turnover rates, maldistribution of licensed professionals, and increasing reliance on temporary or contract staffing. This initiative addresses these challenges by establishing a coordinated, scalable, outcomes-driven workforce model that accelerates recruitment, improves retention and workforce stability, optimizes workforce distribution, reduces reliance on temporary staffing models, enhances provider experience, and establishes sustainable workforce infrastructure beyond the initial funding period. Selected contractors must implement five-year service commitment agreements for incentive-supported positions and comply with robust reporting requirements for workforce activities and outcomes. Funding cannot be used for new construction, ongoing supplanting of salaries, or projects duplicative of existing RHT-sponsored digital health efforts. Issuing office: Division of Healthcare Access, Office of Rural Health and Emergency Services, SD Department of Health. RFP #26-09RHT-024. Inquiries: Josie Petersen (Josie.Petersen@state.sd.us).
Eligible applicants include licensed healthcare facilities, dental clinics, and healthcare clinics providing healthcare services to rural South Dakota citizens. Urban-based organizations may apply if the proposal clearly demonstrates direct benefits to rural South Dakotans. Standard state procurement eligibility rules apply; offerors must not be debarred, suspended, or proposed for debarment/ineligibility. Contracted or locum tenens providers are not eligible for retention incentives. Providers currently participating in a state loan repayment program with service commitment are not eligible for financial retention incentives under this funding opportunity.
Required attachments
Email submission to Josie.Petersen@state.sd.us; proposals must be signed by an authorized officer and received by the deadline with the subject line: Proposal for RFP #26-09RHT-024. Proposal limited to 50 pages. Cost proposal must be in a separate document.
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Application Prep
Application #: RFP #26-09RHT-024
Reference: 26RFP-26-09RHT-024
Program: Rural Health Transformation Project
Match: Not required (no matching or cost share required)
Performance: Initial contract Oct 1, 2026 – July 31, 2027, with up to three 1-year renewals if funded
Key Dates:
Review Criteria:
Portal: https://postingboard.esmsolutions.com/3444a404-3818-494f-84c5-2a850acd7779/eventDetail/19896
FAQ: https://www.cms.gov/files/document/5-year-service-commitment-fact-sheet.pdf
Budget Range
Contact
Josie Petersen
Josie.Petersen@state.sd.us