Over the past month, South Dakota’s Departments of Social Services and Health toured the state to gather input on how to use funding from the Rural Health Transformation Program, which could provide up to $200 million annually to offset Medicaid and Medicare changes over the next five years.
The state’s application outlines four priorities:
- Connecting technology and data
- Advancing the rural healthcare workforce
- Strengthening local healthcare
- Transforming systems for long-term sustainability
A major focus is upgrading technology in smaller facilities, including electronic health records that improve preventative care and provider collaboration.
Although food is excluded as an allowable expense under federal guidelines, Lori Dykstra, CEO of Feeding South Dakota emphasized its importance in healthcare noting “Nutritious meals reduce chronic illness and emergency visits,” she said.
Senior Policy Advisor Laura Ringling said the state expects to begin planning in January once funding is confirmed, likely receiving over $100 million but not the full $200 million. Final allocations are expected by year’s end.






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