Small Rural Hospital Improvement Program (SHIP) Grant

Small Rural Hospital Improvement Program (SHIP) Grant

Status: ACTIVE
Funder: Minnesota Department of Health
Amount: Up to US $13,528
Last Updated: December 10, 2025

Summary

The Small Rural Hospital Improvement Program (SHIP) Grant, offered by the Minnesota Department of Health, aims to enhance healthcare quality in eligible small rural hospitals across the U.S. and its territories. With a total funding pool of $1,755,000, MDH plans to award 18 grants ranging from $45,000 to $125,000. This program, which requires no matching funds, supports hospitals in meeting Medicare data system requirements and improving overall healthcare services.

Overview

Small Rural Hospital Improvement Program (SHIP) Grant The Small Rural Hospital Improvement Grant Program (SHIP) is supported by the U.S. Department of Health and Human Services Health Resources and Services Administration’s (HRSA) Federal Office of Rural Health Policy (FORHP). Section 1820(g)(3) of the Social Security Act authorizes SHIP to assist eligible hospitals in meeting the costs of implementing data system requirements established under the Medicare Program, including using funds to assist hospitals in improving health care quality and value. Funding A total of $1,755,000 is available to grant and MDH anticipates awarding 18 grants with an award minimum of $45,000 and an award maximum of $125,000. Funding ORHPC will award equal funding to each eligible hospital based on the total award amount received by the state. FORHP provides an estimated award amount. For the 2026 program year, the estimated maximum award for each hospital is  $13,528. This is an estimate, and the final amount will be determined and announced with the award letters. Match Requirement There is no matching funds requirement for the SHIP grant.

Eligibility

We've imported the main document for this grant to give you an overview. You can learn more about this opportunity by visiting the funder's website. Eligible small rural hospitals are non-federal, short-term general acute care facilities located in rural area of the United States and the territories, including faith-based hospitals. They may be for-profit, not-for-profit or tribal organizations."Eligible small rural hospital" is defined as a non-federal, short-term general acute hospital that: is located in a rural area as defined in 42 U.S.C1395ww(d) and has 49 available beds or fewer, as reported on the hospital's most recently filed Medicare Cost Report; "Rural area" is defined as either: located outside of a Metropolitan Statistical Area (MSA); located within a rural census tract of an MSA, as determined under the Goldsmith Modification or the Rural-Urban Commuting Areas (RUCAs) or is being treated as if being located in a rural area pursuant to 42 U.S.C. 1395(d)(8)(E); and, Eligible SHIP hospitals may be for-profit or not-for-profit, including faith-based. Hospitals in U.S. territories as well as tribally operated hospitals under Title I. and V. of P.L. 93-638 are eligible to the extent that such hospitals meet the above criteria. Critical Access Hospitals (CAHs) are rural by definition and qualify for SHIP.