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RHTP state profile · Indiana

Indiana Rural Health Transformation Program

Indiana received $206.9 million in Year 1 of the $50 billion federal Rural Health Transformation Program, 18th of 50 states. Indiana Health and Family Services (HFS) runs the program, called GROW, through the Indiana Department of Health and the Family and Social Services Administration. It funds 12 initiatives across Indiana's 64 rural counties, from regional grants for eight rural coalitions to care coordination, telehealth and workforce.

$206.9MYear 1 award, 18th of 50
12Funded initiatives
64 / 92Indiana counties are fully rural
HFSIndiana Health and Family Services

Spending data in the RHTP Year One Report covers December 29, 2025 to July 31, 2026, the latest CMS reporting window.

At a glance

Indiana's program at a glance

The award is fixed for the year. Spending moves every quarter, so Indiana's section of the RHTP Year One Report tracks how much was put to work, and with whom, through July 31, 2026. It updates after each CMS data release.

Year 1 award$206,927,896, 18th of 50 states
Run byIndiana Health and Family Services
Budget Period 1December 29, 2025 to October 30, 2026
Initiatives12
Rural counties64 of 92
Spending data through July 31, 2026Indiana's section of the Year One Report →
Initiatives

What does Indiana's RHTP fund?

Indiana's RHTP, branded GROW (Growing Rural Opportunities for Well-being), funds 11 statewide initiatives and one regional grant program. About 60% of the money goes to the regional grants, and the rest to statewide work on care coordination, data, emergency readiness, chronic disease, telehealth and workforce.

01

Growing Care Coordination

A 24/7 Medical Operations Coordination Center for patient transfers, EMS and hospital capacity, plus a study of alternative payment models.

02

Growing Community Connections through Indiana 211

A referral network linking providers, community groups and Indiana 211 to connect rural residents with food, housing and behavioral health help.

03

Growing Improved Patient Outcomes Through Enhanced Interoperability and Technology

Connects rural facilities to the state health information exchange and supports EMR integration, dashboards and EMS data sharing.

04

Growing Pediatric & Obstetric Readiness in Rural Emergency Departments

Assessments, training, equipment and technical assistance so rural hospitals and EMS can handle pediatric and obstetric emergencies.

05

Growing Cardiometabolic Health Standards of Care in Rural Indiana

Regional centers for obesity, diabetes and heart disease care, lifestyle medicine training and a Food is Medicine feasibility study.

06

Growing Access to Hospital Post-Discharge Medications

Meds-to-beds programs so patients leave the hospital with their prescriptions in hand.

07

Growing Specialty Provider Access through Expanded Teleconsult Capabilities

Assesses specialty gaps and builds a teleconsult system for high-need fields such as psychiatry.

08

Growing Telehealth Access and Infrastructure

A feasibility study of rural connectivity and remote monitoring that guides a statewide telehealth system.

09

Growing our Rural Health Paraprofessional Workforce

Rural healthcare academies, community health worker certification and support for employer recruitment and retention.

10

Growing Clinical Training and Readiness

More rural residency positions, physician and preceptor stipends, and rural clinical rotation capacity.

11

Growing our Rural Behavioral Health Workforce

Behavioral health career pathways, scholarships and stipends, peer support training and crisis response workshops.

12

Growing Rural Opportunities for Well-being (GROW) Regional Grants

Annual grants to eight regional coalitions for locally chosen projects in access, technology, workforce, prevention and new care models.

Recipients by initiative are in Indiana's section of the RHTP Year One Report.

Fully rural county (64)Other counties (28)
Eligibility

Which Indiana counties are eligible for RHTP funding?

Indiana's 64 fully rural counties, the ones with a HRSA rural designation, are eligible for RHTP funding, out of the state's 92 counties, and are home to about 1.85 million residents. Nine more counties, partly rural or home to a critical access hospital, can also receive funds directly. Organizations in other counties can take part only if their work serves residents of rural counties.

View the GROW regional map →
How to apply

How can Indiana providers apply for RHTP funding?

Indiana providers get RHTP funding in two ways: through one of eight regional coalitions that apply each year for GROW Regional Grants, or through state grants and contracts for the 11 statewide initiatives. Statewide contracts are posted on the Indiana Department of Administration (IDOA) bid site. Two clinical training grants are open, due November 16, 2026. Providers and vendors don't apply to CMS directly.

  1. Match the work to an initiative.Funding only goes to work that fits one of the 12.
  2. Join your regional coalition.Organizations can't apply alone for regional grants. They take part as subrecipients through their region's coalition, which submits one application a year.
  3. Watch for new rounds.Sign up for GROW email updates, check the GROW initiative pages and the IDOA bid site, and submit the vendor interest form.
  4. Register in SAM.gov.It is standard for federally funded grants and contracts.
  5. Plan for federal rules.Grant recipients follow federal grant, reporting and audit rules. A Single Audit applies at $1 million or more in federal spending a year.
  6. Ask HFS directly.Email GrowRuralHealth@health.in.gov.
Federal terms

Four rules that shape every award

Federal terms follow the money down to every Indiana recipient.

Grants and contracts carry different obligations

A subaward makes your organization a subrecipient that carries out part of the program, with federal reporting and audit requirements. A contract pays for goods or services, with lighter requirements.

New rounds follow CMS budget approval

States can't post funding opportunities until CMS approves their budget, so windows can open months into a budget period.

Workforce incentives need a rural commitment

Recruitment and retention payments require clinicians to commit to serving rural communities for at least five years.

Recipients must disclose the federal funding

Under the Stevens Amendment, websites, social posts and other public materials about a funded project must name the federal funding.

Allowable costs

What can Indiana's RHTP funding pay for?

Indiana's RHTP funding can pay for work on existing facilities, uncovered care, technology and administration, within federal caps on each use. Applied to Indiana's Year 1 award, the maximums are:

Capital and infrastructure20% of award
About $41.4M
Provider payments15% of award
About $31.0M
Administrative costs10% of award
About $20.7M
Rural Tech Catalyst Fund10% or $20M, whichever is less
$20.0M
Replacing an existing EMR system5% of award
About $10.3M

Provider payments and capital

Provider payments cover services insurance doesn't pay for, quality bonuses and outcome-based payments tied to Indiana's plan. They can't raise rates for services providers already bill.

Capital funds go to existing facilities: renovations, accessibility upgrades, HVAC and like-for-like equipment replacement.

Off limits

  • New construction, demolition and major expansions
  • Cosmetic work such as painting, carpet or decor
  • Clinician salaries at facilities that use non-compete clauses
  • Home broadband installation and service
  • Costs already covered by other federal or state funding
Policy commitments

Indiana's policy commitments carry deadlines

Indiana committed to four policy actions in its application. Three are done. Its SNAP restriction on soft drinks and candy was already approved by USDA before it applied and took effect January 1, 2026. CMS can reduce or recover funding if the rest slip.

Governor's Fitness Test

Promote student health with a Governor's Fitness Test and reward program in schools

Executive Order 25-59 signed April 15, 2025
Done

Nutrition education in medical school

Pass a law requiring Indiana medical schools to teach nutrition

HEA 1358 signed March 4, 2026; schools must comply by July 1, 2030
Done

Rural rotation for medical students

Pass a policy requiring Indiana medical students to complete a rural rotation

HEA 1358 signed March 4, 2026; schools must comply by July 1, 2030
Done

Hospital reporting and data sharing

Pass a policy requiring hospitals, inpatient behavioral health facilities and EMS to report to the coordination center and share data

The plan targets Q2 FY2027 to Q1 FY2028
Q1 FY2028

Indiana already belongs to the nurse, physician, physical therapy, psychology, counseling, occupational therapy and audiology and speech-language pathology licensure compacts.

Years 2 to 5
$40B

Future awards depend on progress

Year 1 is not a guaranteed annual amount. CMS plans up to $40 billion more nationwide through 2030 and rescores every state each year on progress, data and policy actions.

Unobligated money leaves the state

Funds not obligated by the end of a budget period can't be obligated later and are redistributed to other states.

Funds can be clawed back

CMS can withhold, reduce or recover money for unallowable costs, unapproved plan changes or missed policy commitments. States get 90 days to fix a violation, and most decisions can't be appealed.

Oversight is growing

CMS's Office of Rural Health Transformation plans site visits in all 50 states in 2026. Audits start in 2027.

Method

Reading Indiana's spending data

Use the numbers in Indiana's section of the RHTP Year One Report to understand direction and pace, not as an audit.

Put to work is not paid out

Obligated money is signed to a contract or grant. Cash reaches recipients later.

Through July 31, 2026 only

The data covers December 29, 2025 to July 31, 2026, as Indiana reported it to CMS. Commitments made after July 31, 2026 are not counted yet.

Recipients sit inside line items

The CMS report has no recipient column. Search Indiana's line item descriptions by name.

Quarterly refresh

CMS updates the data after each quarterly state report, starting with the November 30, 2026 filing.

Announcements

Major Indiana announcements

  • Indiana and CMS announce about $120 million in GROW Regional Grants to eight regional coalitions, from $9.7 million to $20.7 million each, with nearly 200 subrecipients.

  • Governor Braun signs HEA 1358, which requires Indiana medical schools to teach nutrition and require a rural health rotation.

  • Indiana opens applications for GROW Regional Grants, about $120 million a year for eight regional coalitions.

  • Indiana's SNAP restriction on soft drinks and candy takes effect.

  • CMS awards Indiana $206.9 million for Year 1, and Governor Braun launches GROW: Cultivating Rural Health.

Awards announced after July 31, 2026 are not in the CMS spending data yet. They will appear after the next CMS refresh.

Timeline

Key dates

  1. Dec 29, 2025Year 1 award; Budget Period 1 begins
  2. Jan 1, 2026SNAP soft drink and candy restriction takes effect
  3. Mar 2, 2026GROW Regional Grants Request for Funding released
  4. Jul 1, 2026Regional grant applications due
  5. Jul 31, 2026End of the first CMS reporting window; Year One Report spending data runs through this date
  6. Sep 3, 2026Year 1 regional grant awards announced
  7. Oct 30, 2026Budget Period 1 ends
  8. Nov 16, 2026Preceptor and Rural Track and Curriculum Enhancement grant applications due
  9. Nov 30, 2026Quarterly reports due; CMS refreshes funding data
  10. Jul 1, 2030Medical schools must teach nutrition and require a rural rotation
  11. 2030Final year of the five-year program
Implications

What this means

For rural hospitals

Most of Indiana's money flows through the eight regional coalitions, so the coalition and its 13-member regional committee are where projects get chosen. Statewide work also reaches hospitals directly: Meds-to-Beds planning grants went to 43 sites, and the pediatric and obstetric readiness initiative funds emergency department training and equipment.

For partners and vendors

Statewide initiatives buy services through IDOA requests for proposals, such as the Medical Operations Coordination Center and the telehealth landscape assessment. GROW also keeps a public vendor interest form and list. Within regions, primary subrecipients can't pass funds to other subrecipients but can hire contractors, so partnering with a coalition member is one route in.

For applicants and grantees

Build tracking for the measures Indiana reports to CMS before an award lands. Subrecipients can't opt out of reporting, and their results feed Indiana's annual rescoring. Regional coalitions reapply each year, so plan for continuing applications and keep capital work under 20% of a region's award.

FAQ

Indiana RHTP FAQs

Who runs Indiana's Rural Health Transformation Program?

Indiana Health and Family Services (HFS) runs Indiana's Rural Health Transformation Program, called GROW, through the Indiana Department of Health (IDOH) and the Family and Social Services Administration (FSSA), using federal funding from the Centers for Medicare & Medicaid Services (CMS). The two agencies manage the state's plan, post funding opportunities and answer questions at GrowRuralHealth@health.in.gov. The program is Indiana's share of the $50 billion federal Rural Health Transformation Program.

How much RHTP funding did Indiana receive?

Indiana received $206,927,896 for Year 1 of the Rural Health Transformation Program, 18th of 50 states. Every state got $100 million in baseline funding, and the rest of Indiana's award was based on its rural needs, its policy commitments and the strength of its plan. Later years depend on Indiana's progress.

Can Indiana RHTP funding pay for construction?

No. RHTP funds can't pay for new construction, demolition or major expansions. Up to 20% of Indiana's award each year, about $41.4 million in Year 1, can go to work on existing facilities, such as renovations, accessibility upgrades, HVAC replacement and like-for-like equipment replacement. Indiana also caps capital costs at 20% of each region's grant.

Can Indiana providers use RHTP funding to pay for patient care?

Only for care that insurance doesn't already pay for. Provider payments can cover nonreimbursed services, quality bonuses and outcome-based payments tied to Indiana's plan, up to 15% of the award each year, about $31.0 million in Year 1. They can't raise rates for services providers already bill, and Indiana bars RHTP funds for costs Medicare or Medicaid would otherwise pay.

Where can I see how Indiana is spending its RHTP funding?

The RHTP Year One Report tracks how much of Indiana's award was put to work through July 31, 2026, by initiative and recipient, using state-reported data from CMS, and is updated after each CMS data release. Awards announced after July 31, such as about $120 million in GROW Regional Grants in September 2026, will appear after the next CMS refresh.

Follow Indiana's money as it moves

The RHTP Year One Report tracks obligations, initiatives and recipients for all 50 states after each CMS data release.

Last updated: November 5, 2026. Sources: HFS, CMS and state-reported RHTP data.