Federal funding to bolster rural healthcare on the Western Slope is now officially underway, with millions of dollars being distributed to hospitals and healthcare organizations across the region. The Colorado Department of Health Care Policy and Financing (HCPF) announced on September 28 that 91 recipients statewide would share in the first round of the Rural Health Transformation Program (RHTP), part of a larger $50 billion federal investment. HCPF stated this funding aims to protect access and improve health outcomes for rural Coloradans.
HCPF Executive Director Gretchen Hammer emphasized that "Rural communities know best what they need to build stronger, healthier communities," and that this "historic investment gives rural healthcare providers across Colorado the resources to turn locally driven ideas into action."
Western Slope organizations received significant awards aimed at addressing critical local health needs.
Memorial Regional Health in Craig, serving Moffat County, received $2.18 million. Jennifer Riley, CEO of Memorial Regional Health, said this funding will support a multi-agency consortium, with the hospital acting as a fiscal sponsor and lead organization. This consortium plans to implement initiatives focused on whole-person health and alternative care models across five counties. Additionally, Memorial Regional Health secured separate funding to train emergency department staff on obstetric emergencies, addressing the county’s lack of a specialized labor and delivery unit. The hospital also received funds to enhance its newly launched emergency medical services (EMS) training programs. Riley highlighted the vast size of Moffat County, which is larger than Connecticut, and the challenge of maintaining advanced life support services in the tri-county region. She noted that the funding will help "sustain a really important program" by aiding in local workforce development for EMS.
Southwest of Craig, Pioneers Medical Center in Meeker was awarded $1.2 million for two projects. According to Erika Wyld, Marketing & Public Relations Director for Pioneers Medical Center, one initiative will install a secure automated dispensing system for 24-hour prescription pickup at Meeker Drugs, the area’s only retail pharmacy. The second project expands telehealth and remote patient monitoring capabilities, including fall-alert devices, software for instant vital sign transmission from EMS to the hospital, and a hands-free nurse-call system. Pioneers Medical Center CEO Steve Hannah remarked that for many local residents, the "next healthcare provider is more than 45 miles away over mountain roads," and this award will use technology to bring care closer, create new telehealth jobs in Meeker, and improve communication in emergencies.
Further south, Delta Health earned just over $781,000. Darnell Place-Wise, Public Information Officer for Delta Health, explained that the funds would expand the provider’s cardiovascular service capacity and telehealth access for high-risk, overnight specialty care. The money will also support efforts to prevent, diagnose, and treat chronic disease factors related to the liver and gastrointestinal systems, aiming "to increase patient access in these critical care areas."
Montrose Regional Health received one of the largest awards in western Colorado, totaling more than $3.8 million. Robyn Funk, Grant Writer for Montrose Regional Health, characterized the funding as a "significant investment in the future of rural healthcare in western Colorado." Katie Klossner, Marketing & Public Relations Director for Montrose Regional Health, specified that $2.68 million is dedicated to various whole-person health initiatives, including care coordination, behavioral health integration, a community health worker program, and a rural primary care pipeline. The remaining funds will support building an Interventional Radiology program, other specialty care resources, a virtual scribe initiative, and ongoing regional hospital collaboration.
Health Solutions West, formerly Mind Springs, in Mesa County was also an awardee, though the organization did not provide additional information when contacted.
While awardees generally acknowledge the special opportunity for innovation and capacity building, many expressed concerns about the program’s structure. Several stated that the temporary nature of the funding and spending restrictions contradict the program’s original intent to backfill fiscal impacts from Medicaid changes under last year’s One Big Beautiful Bill Act, or H.R. 1. Jennifer Riley of Memorial Regional Health noted that while Congress intended the money to "help offset some of the losses to Medicaid (and) the hospital provider fees," the program "does not do that" in practice. She added that they were "very wary and reluctant to apply for one-time funding for a program that would require ongoing funding," necessitating strategic planning for sustainable projects.
The disparity between requests and awards highlights these concerns. A total of 112 eligible applications requested over $250 million for 368 projects. However, with only about $170 million available in this first round for grants, 21 applicants were rejected, and nearly 120 projects did not receive funding. Darnell Place-Wise of Delta Health shared that two "similarly critical proposals" from their organization, including a new in-house gynecology service line and an in-house transportation service for Medicaid-eligible and non-emergent riders, estimated at about $800,000, were not approved. Place-Wise stated that Delta Health "will continue to pursue every other avenue to fund these projects."