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Colorado begins planning major rural health care reform with $200M this year

Lauren “Ren” Smith, an RN at Southwest Memorial Hospital in Cortez, works in the maternity ward June 2021 at the hospital in this archived photo. (Jerry McBride/Durango Herald)
Local representatives Dr. April Randle and Joe Theine join as advisers

A new $50 billion federal rural health program is intended to redesign how health care is delivered in rural communities, including places such as Montezuma County.

As Colorado begins planning how to allocate more than $200 million designated to the state in 2026 alone, the local impacts have not yet been identified. The Four Corners region, however, has two representatives helping guide the decision-making.

April Randle, a rural physician and Cortez city councilwoman, and Joe Theine, CEO of Southwest Health System, joined 13 other representatives from across Colorado last week for the advisory committee’s first planning meeting.

Randle said the funding, under the Rural Health Transformation Program, represents an unprecedented federal commitment to rural health care, focused on how isolated hospitals coordinate and facilitate care, fix inefficiencies, expand technology and invest in the medical workforce.

Other aims include investing in maternal, primary and behavioral health care services, preventive care and emergency medical services.

“That’s one, if not the largest, federal investment in rural health in history ever,” Randle said. She has had a long career as a rural doctor since starting in 1977.

Before Randle retired as medical director for the Basin Clinic in Naturita, she received the Humanitarian Physician of the Year award. Her previous work includes serving in rural Utah, volunteering for an Alaska EMS service and working in urgent care, private practice and rural health clinics.

“Its goal is to redesign some of the systems in rural health that have struggled for years. Some of them are to stabilize rural hospitals, clinics and health work forces. That’s a pretty big package when you think about it,” she said.

The program is complex, with multiple levels of government involved. The federal government created the program and oversees it through the Centers for Medicare & Medicaid Services, while states must design and measure their own initiatives. It involves hospitals, clinics, EMS providers, behavioral health providers and telehealth systems.

The Colorado Department of Health Care Policy and Financing is responsible for developing the state’s plan. Advisory committees made up of rural representatives – such as Randle and Theine – help guide how the funding should be used.

Overall, the program allocates $50 billion, divided into $10 billion for states through 2030. It was passed through House Resolution 1, President Donald Trump’s “One, Big, Beautiful Bill Act,” which became law July 4.

Health care issues rural American face

For rural providers and practitioners who have long dealt with limited resources, Randle emphasized enthusiasm and hope for the scale of the funding.

Rural health systems face several challenges, including long wait times for providers and a lack of specialized care.

Randle noted the difficulties in coordinating care across multiple providers – such as providers “talking to each other” about a patient’s medical record. Financial strains also challenge smaller facilities and clinics. In the rural Southwest, people often travel longer distances for hospital care and face longer emergency response times.

Randle described working part time in Naturita recently. She said it is one of the most remote clinic areas in the United States – comparable to remote areas of Alaska.

Patients at the Naturita clinic face transport times of 1 1/2 to two hours to reach a rural hospital and up to 2 1/2 hours to Grand Junction for higher levels of care.

“If we’ve somebody that’s critical, we have a helicopter pad on the outside of the clinic,” she said.

Funding tied to results

One possible example of an initiative, Randle said, is expanding the use of health care coordinators who help rural patients navigate insurance, providers, schedule care and access specialty services such as diabetes education or nutrition assistance.

“If I have someone that needs a continuous blood glucose monitor that is having trouble qualifying with their insurance, my health care coordinator can say, ‘Let me get on that,’” Randle said. “The idea of having a health care coordinator really makes sense for us.”

Randle said the program is designed with accountability in mind, meaning projects will be evaluated and funding could be discontinued each year if they are ineffective.

“So if we come up with a bad idea and it doesn’t work, funding is going to stop for that year. It’s not just going to be continued, which is kind of what government things you worry about – putting something in place that can’t be sustainable or is not producing,” Randle said.

The work to come

Colorado has received confirmation of its first allocation, about $200.1 million, and formed the 15-member advisory committee. However, the program remains in its early phases, with the committee beginning to review paperwork and proposals.

The committee will evaluate the feasibility of projects and submit plans for federal approval before funding is distributed.

awatson@the‑journal.com