Rural healthcare providers are beginning to get new funding opportunities for cybersecurity and technology projects through the federal Rural Health Transformation Program (RHT).
States are in various stages of grantmaking with that money, a task being handled by health and human services agencies. In Idaho, for example, applications for a healthcare infrastructure funding opportunity close Sept. 13, according to a news release from the Idaho Department of Health and Welfare.
Idaho received nearly $186 million for the program’s first year. Of that, about $97 million is available in its Healthcare Infrastructure Support funding opportunity. This funding includes $6 million for cybersecurity needs, such as system updates, AI tools, data protection, training and consulting. Another $21.9 million is available for technology, which could include patient portals, telehealth platforms, remote patient-monitoring systems and peripheral hardware.
The broader funding opportunity is intended to address rural providers’ infrastructure needs like minor building renovations, patient transportation and other healthcare delivery improvements. Eligible applicants for the program include rural clinics, hospitals, long-term care facilities, local public health districts, community providers and tribal organizations.
In all, the RHT will distribute $50 billion to states over five years to strengthen rural healthcare. Congress included the program in the One Big Beautiful Bill Act amid concerns that the law’s Medicaid cuts would harm rural providers. The program is intended to transform rural care, rather than directly replace Medicaid losses, which exceed its funding. Health policy group KFF estimates that the law will reduce federal Medicaid spending in rural areas by at least $137 billion through 2034, which is considerably more than the temporary program provides. Each state may differ in the types of programs it wants to support.
New York, which received $212.1 million for the program’s first year, included technology and cybersecurity among the principal initiatives in the statewide plan, according to its own news release. The state closed its interest form Aug. 31 for rural hospitals that would like cybersecurity assessments as part of the Investments in Technology Innovation and Cybersecurity Enhancements for Rural New York initiative. The form is the first step in working toward cybersecurity enhancements.
Participating hospitals must undergo an assessment to establish a baseline aligned with the National Institute of Standards and Technology’s Cybersecurity Framework 2.0, said Department of Health CISO Thurain Nyunt during a recent webinar. The assessments will help hospitals identify and prioritize security gaps while giving the state a clearer picture of needs shared among rural facilities. The findings will also inform future cybersecurity funding through the RHT program.
The department is considering shared services that could include access to a cyber threat intelligence portal, a common training platform for cybersecurity specialists and incident response assistance. The state also expects to provide support when the assessments identify needs that hospitals cannot address alone.
“Our main goal is we want to make sure we are treating cyber security risk and improving cyber security culture for the entire New York state, so we wanted to understand where we are and we would also like to be working with you and partnering with you throughout the assessment,” Nyunt said.
