Rural Hospital Planning & Transition Grant Program – FY2027

Summary

Minnesota Statutes Sec. 144.147 authorizes MDH to award grants to eligible rural hospitals to develop strategic plans that preserve or enhance access to health services, or to implement transition projects based on an existing strategic plan. FY2027 round: an estimated $300,000 across about 10 awards of $25,000-$49,000 (no single grant may exceed $49,000); applicants must certify at least a 50% match from non-state sources, and the local Community Health Board has a 30-day review/comment period. Project dates June 1, 2027 - May 31, 2028. State-funded program (not RHTP-funded); the RFP references RHTP only under Additional Resources.

Eligibility

Non-federal, general acute care hospital in Minnesota that is located in a rural area (as defined in federal Medicare regulations) or in a community with a population of less than 15,000 outside the seven-county metropolitan area, has 50 or fewer beds, and is not for profit.

Requirements Checklist

• Applicants must submit the following: (1) completed application via the ORHPC Online Grants Portal; (2) Governing Board Resolution or board-certified meeting minutes approving the project; (3) budget & budget narrative; (4) demonstration of community support; (5) documentation of a 30-day review/comment period by the local Community Health Board (CHB), including evidence of application sent to CHB and request for CHB comments submitted to MDH by January 12, 2027; (6) conflict of interest disclosure. Applications must address eligible project types: strategic planning (with non-grant-funded needs assessment, feasibility assessment, implementation plan) or transition projects based on a strategic plan. Other requirements include quarterly progress reports, mandatory compliance with Minnesota nondiscrimination laws, and adherence to state grant management and reporting policies.