Department of Health and Human Services Announces Rural Health Plan

This week, the Pennsylvania Department of Health and Human Services launched the Rural Health Model, a program designed to help ensure that rural hospitals stay open so that sustainable access to quality health care is available and that jobs stay local.

The Rural Health Model is an alternative payment model, transitioning hospitals from a fee-for-service model to a global budget payment. Instead of hospitals getting paid when someone visits the hospital, they will receive a predictable amount of money. Payment for the global budget will include multiple-payers, including private and public insurers.

Through this change in payment model, the hospitals will be able to transform care locally to better meet the health needs of the community. This includes opportunities to assess items that may traditionally fall outside of the role of the hospital, such as transportation and broadband internet access.

This program means a lot to me and the district. To me, rural has always meant more time and more miles. We need these facilities so that our residents can have access to quality health care—such as emergency services, lab testing, rehab and treatment centers—without having the burden of wasting time and money driving long distances.

In addition to this model, I introduced legislation that would create the Rural Health Redesign Center, which would make a more predictable payment plan and develop a fixed budget to stabilize reimbursements.

To unveil the launch of this program, I joined some of my colleagues and the Department of Health and Human Services at a press conference.

Rep. Pickett was joined at the announcement of the Rural Health Model’s first five participating hospitals by, back row from left, Sen. Lisa Baker, Sara F. Adornato, CEO at Barnes-Kasson County Hospital in Susquehanna Depot, Loren Stone, CEO at Endless Mountains Health Systems in Montrose, Hospital and Health Systems of Pennsylvania President and CEO Andy Carter, and David Hoff, CEO of Wayne Memorial Hospital. Front row: Rep. Tina Pickett, Geisinger Jersey Shore CAO Tammy Anderer and Department of Health Secretary Dr. Rachel Levine.