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RHTP state profile · New Jersey

New Jersey Rural Health Transformation Program

New Jersey received $147.3 million in Year 1 of the $50 billion federal Rural Health Transformation Program, 50th of 50 states. The New Jersey Department of Human Services (DHS) runs the program with the Department of Health, which funds five initiatives across 11 counties with rural residents, from rural hospital upgrades and EMS to telehealth and chronic disease programs.

$147.3MYear 1 award, 50th of 50
5Funded initiatives
11 / 21New Jersey counties are in the RHTP target area
DHSNew Jersey Department of Human 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

New Jersey's program at a glance

The award is fixed for the year. Spending moves every quarter, so New Jersey'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$147,250,805, 50th of 50 states
Run byNew Jersey Department of Human Services
Budget Period 1December 29, 2025 to October 30, 2026
Initiatives5
Target counties11 of 21
Spending data through July 31, 2026New Jersey's section of the Year One Report →
Initiatives

What does New Jersey's RHTP fund?

New Jersey's RHTP funds five initiatives across workforce, infrastructure, technology, prevention and chronic disease. DHS leads the program through its Medicaid division, and the Department of Health runs most of the competitive grants. Every funding opportunity maps to one of these five.

01

Workforce Development

Recruits, trains and keeps clinical and non-clinical health care workers who serve rural residents.

02

Infrastructure Development

Stabilizes essential rural providers, including behavioral health clinics (CCBHCs), FQHCs, hospitals and EMS, plus a hub-and-spoke model for University Hospital.

03

Technology Innovation

Telehealth, remote patient monitoring and mobile care that reach people outside clinic walls, including support for the state's Healthcare Innovation Engine.

04

Chronic Disease Control

Data systems, public dashboards and competitive community grants for chronic disease prevention and management.

05

Prevention

Community-level programs that promote and deliver preventive care, from screenings to outreach.

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

Source documents

New Jersey's plan documents

New Jersey's full application is no longer posted online. These documents summarize the plan and list the first-round awards. Read them before responding to a New Jersey solicitation.

Target county (11)Other counties (10)
Eligibility

Which New Jersey counties are eligible for RHTP funding?

New Jersey's plan targets rural residents in 11 of the state's 21 counties: Atlantic, Burlington, Cape May, Cumberland, Hunterdon, Mercer, Monmouth, Ocean, Salem, Sussex and Warren, home to about 1 million rural residents. Seven of them (Atlantic, Cape May, Cumberland, Hunterdon, Salem, Sussex and Warren) meet the state definition of fewer than 500 people per square mile, and the other four qualify through 40 federally designated rural census tracts. Each solicitation states its own geographic requirements, and some limit eligibility to specific tracts within a county.

How to apply

How can New Jersey providers apply for RHTP funding?

New Jersey providers apply through competitive grants (RFAs) from the Department of Health, posted on its Notice of Grant Availability page and submitted through the SAGE grants system. All six Year 1 grant programs have closed, and Year 2 opportunities had not been posted as of early November 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 five, and each RFA lists the specific activities it funds.
  2. Watch for new rounds.Join the NJ RHT listserv and check the Department of Health's Notice of Grant Availability page.
  3. Register in SAGE and SAM.gov.First-time Department of Health applicants need a SAGE account, which can take up to three business days. SAM.gov registration is standard for federally funded grants and contracts.
  4. 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.
  5. Ask the NJ RHT team directly.Email mahs.njrht@dhs.nj.gov.
Federal terms

Four rules that shape every award

Federal terms follow the money down to every New Jersey 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 New Jersey's RHTP funding pay for?

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

Capital and infrastructure20% of award
About $29.5M
Provider payments15% of award
About $22.1M
Administrative costs10% of award
About $14.7M
Rural Tech Catalyst Fund10% or $20M, whichever is less
About $14.7M
Replacing an existing EMR system5% of award
About $7.4M

Provider payments and capital

Provider payments cover services insurance doesn't pay for, quality bonuses and outcome-based payments tied to New Jersey'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

New Jersey's policy commitments carry deadlines

New Jersey committed to four policy actions in its application. Two are done. CMS can reduce or recover funding if the rest slip.

PA licensure compact

Join the PA Licensure Compact

A4328/S3560 signed January 9, 2026
Done

Nurse practitioner scope of practice

Expand the scope of practice for nurse practitioners

S2996/A4052 signed March 30, 2026, allowing experienced advanced practice nurses to practice independently
Done

EMS licensure compact

Join the EMS Personnel Licensure Interstate Compact

A4186 passed the Assembly September 2026; in Senate committee
No date given

SNAP food restriction waiver

Seek a USDA waiver limiting non-nutritious SNAP purchases

Healthy SNAP Act (S941/A2624) introduced January 2026; no USDA waiver approved
No date given

New Jersey already belongs to the nurse, psychology, counseling and physical therapy 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 New Jersey's spending data

Use the numbers in New Jersey'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 New Jersey 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 New Jersey'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 New Jersey announcements

  • DHS and the Department of Health launch the NJ RHT website and announce a Year Two Outlook webinar for August 24.

  • Governor Sherrill announces $83 million in first-round grants for 103 projects, chosen from more than 200 applications across six grant programs.

  • Governor Sherrill signs a law letting experienced advanced practice nurses practice independently in primary and behavioral health care.

  • New Jersey joins the PA Licensure Compact.

  • CMS awards New Jersey $147.3 million for Year 1.

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 9, 2026PA Licensure Compact law signed
  3. Mar 30, 2026Nurse practitioner practice law signed
  4. Jul 31, 2026First-round awards announced; end of the first CMS reporting window; Year One Report spending data runs through this date
  5. Aug 24, 2026Year Two Outlook webinar
  6. Oct 30, 2026Budget Period 1 ends
  7. Nov 30, 2026Quarterly reports due; CMS refreshes funding data
  8. 2030Final year of the five-year program
Implications

What this means

For rural hospitals

Thirteen hospital awards in the first round, mostly $1.2 million to $1.5 million each, went to EHR modernization, virtual nursing, telehealth, imaging and transport. Mobile integrated health and prehospital whole blood programs also drew funding. Watch for the Year 2 Building Rural Hospital Capacity round.

For partners and vendors

New Jersey's largest first-round award, $21.7 million, went to the state's public health institute for outreach, eligibility screening and clinician recruitment, so partnering with funded health systems and intermediaries is one route in. Telehealth, remote monitoring, EHR systems and mobile units are the most active technology lanes. The Department of Health also keeps an RHT vendor resource directory.

For applicants and grantees

Build tracking for the measures New Jersey reports to CMS before an award lands. Subrecipients can't opt out of reporting, and their results feed New Jersey's annual rescoring. RHT grants can't pay for services Medicaid, Medicare or private insurance already cover.

FAQ

New Jersey RHTP FAQs

Who runs New Jersey's Rural Health Transformation Program?

The New Jersey Department of Human Services (DHS) runs New Jersey's Rural Health Transformation Program through its Division of Medical Assistance and Health Services, in partnership with the New Jersey Department of Health, using federal funding from the Centers for Medicare & Medicaid Services (CMS). DHS manages the state's plan and answers questions at mahs.njrht@dhs.nj.gov, and the Department of Health posts most funding opportunities. The program is New Jersey's share of the $50 billion federal Rural Health Transformation Program.

How much RHTP funding did New Jersey receive?

New Jersey received $147,250,805 for Year 1 of the Rural Health Transformation Program, 50th of 50 states. Every state got $100 million in baseline funding, and the rest of New Jersey's award was based on its rural needs, its policy commitments and the strength of its plan. Later years depend on New Jersey's progress.

Can New Jersey RHTP funding pay for construction?

No. RHTP funds can't pay for new construction, demolition or major expansions. Up to 20% of New Jersey's award each year, about $29.5 million in Year 1, can go to work on existing facilities, such as renovations, accessibility upgrades, HVAC replacement and like-for-like equipment replacement.

Can New Jersey 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 New Jersey's plan, up to 15% of the award each year, about $22.1 million in Year 1. They can't raise rates for services providers already bill.

Where can I see how New Jersey is spending its RHTP funding?

The RHTP Year One Report tracks how much of New Jersey'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. The state also posts its own list of first-round awards, the $83 million for 103 projects announced July 31, 2026.

Follow New Jersey'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: DHS, CMS and state-reported RHTP data.