Small Rural Hospital Improvement Program (SHIP) | HRSA 23 033

Opportunity Information: Apply for HRSA 23 033

The Small Rural Hospital Improvement Program (SHIP) is a federal grant opportunity administered by the Health Resources and Services Administration (HRSA) within the U.S. Department of Health and Human Services. It is a discretionary grant (Funding Opportunity Number HRSA 23 033; CFDA 93.301) designed to help eligible small rural hospitals strengthen their ability to succeed under value-based payment models and modern care delivery expectations. In practical terms, SHIP is meant to provide targeted financial support so rural hospitals can make specific, operational improvements that position them to deliver higher-value care while meeting evolving Medicare and broader health system requirements.

At the core of the program is support for concrete investments that directly advance value-based payment and care goals. The funding can be used for purchases such as health information technology and related tools, including hardware and software, as well as training needed to implement and use those tools effectively. The overall emphasis is on enabling rural hospitals to make improvements that affect quality, efficiency, and reporting capabilities, rather than simply expanding services without a clear connection to performance and payment reforms.

SHIP also focuses on helping small rural hospitals participate in larger delivery system reforms that are increasingly important for sustainability. This includes support to become or join a Medicare Shared Savings Program or to participate in Accountable Care Organizations (ACOs), as well as other shared savings arrangements. The intent is to reduce barriers that rural hospitals often face when trying to engage in these models, such as limited resources for the technology, workflows, and staff training needed to coordinate care, track outcomes, and manage population health responsibilities.

Another major area supported by SHIP is quality improvement and compliance activities tied to health IT and payment reforms. The opportunity description highlights investments that help hospitals advance patient care information and promote interoperability, which typically means improving the ability to securely exchange health data across different systems and care settings. The program also references payment bundling, reflecting the shift toward bundled payment approaches where providers are accountable for the cost and quality of an episode of care. Funding can therefore support the equipment, software, and training necessary to participate in these kinds of quality and payment initiatives.

From the published opportunity details, the closing date for applications was November 8, 2022, and HRSA anticipated making about 46 awards. The listing shows an award ceiling of 0, which generally indicates that the maximum award amount was not specified in that particular summary field and would normally be clarified in the full notice of funding opportunity or related program guidance. Eligibility is listed as "Others (see text field entitled Additional Information on Eligibility for clarification)," indicating that eligible applicants are not broadly defined in the summary table and that applicants would need to consult the full announcement to confirm the exact definition of an eligible small rural hospital and any additional applicant requirements.

Overall, SHIP is structured as a practical modernization and readiness program for small rural hospitals. It aims to help them acquire the tools and skills needed to meet performance expectations, connect and share data effectively, and participate in payment and delivery reforms such as ACOs and shared savings programs, all while supporting compliance with quality improvement activities that are increasingly central to reimbursement and long-term financial stability.

• The Department of Health and Human Services, Health Resources and Services Administration in the health sector is offering a public funding opportunity titled "Small Rural Hospital Improvement Program (SHIP)" and is now available to receive applicants.
• Interested and eligible applicants and submit their applications by referencing the CFDA number(s): 93.301.
• This funding opportunity was created on Aug 10, 2022.
• Applicants must submit their applications by Nov 08, 2022. (Agency may still review applications by suitable applicants for the remaining/unused allocated funding in 2026.)
• The number of recipients for this funding is limited to 46 candidate(s).
• Eligible applicants include: Others (see text field entitled Additional Information on Eligibility for clarification).

Apply for HRSA 23 033

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