The Rural Health Transformation Program (RHTP) is designed to increase access to healthcare and advanced medical treatments across rural America, supported by the necessary workforce pipeline to make it happen.
It’s a product of President Donald Trump’s Working Families Tax Cut. In December last year, the Centers for Medicare and Medicaid Services (CMS) announced a $50 billion nationwide initiative to bolster rural health through modernization and expanded access.
For Oklahoma, that means over $223 million is set to be distributed to healthcare providers and academic programs this year – the first of five years. And Oklahoma Health Commissioner Keith Reed says most of the money is ready for disbursement.
“More than 95% has already been obligated, and the remainder is in the final stages,” Reed said.
Overall, the money will flow through the State Health Department to more than two dozen CMS-approved programs across the state (such as Southwestern Oklahoma University's robotic surgery initiative), expanding services including, but not limited to, maternal care, telehealth services and transportation to care centers.
When it comes to oversight, there is a state legislative committee making sure the money is spent properly, established by last year’s House Bill 3975, but both Stitt and Reed said the money is outside the purview of the state budget, meaning lawmakers have a minimal role in deciding how the money is spent.
“We're not going to let the legislature just touch this money,” Stitt said. “The money is going to go through Keith Reed. And Keith Reed is going to distribute that. Offer it up to RFPs across the state.”
By Keith Reed, Stitt means the state health department. RFPs, or requests for proposals, are a standard method of contract bidding. Meaning providers will have to pitch their programs to CMS and be approved, at which point they will make the expenses and be reimbursed by the state health department, which is paid by the federal agency to dole out the money.
But not all approved providers can cover the cost of their programs before they get the money. And that’s where state lawmakers have a larger role to play besides oversight. HB 3975 also established a revolving fund meant to cover costs for struggling providers upfront and allow the state to be reimbursed directly by the federal government.
“So we did account for that and provide some opportunities for maybe some smaller organizations that would need some assistance up front to be able to do that,” Reed said. “But ultimately, the money comes back and goes back into that coffer to pay for it.”
The first year’s disbursement will conclude by the end of this month, he said, adding the public should expect CMS to announce dollar amounts for the second year any time now.
“On October 30th, we will close out year one of this five-year grant and roll directly into year two on October 31st,” Reed said. “CMS will notify us of Oklahoma's second-year award in the coming weeks.”
Year two’s programs will focus on renewals and building momentum, he said.
