The South Dakota Association of Healthcare Organizations (SDAHO) is encouraging members to explore a significant new funding opportunity aimed at strengthening rural health care delivery across the state.
On April 2, 2026, the South Dakota Department of Health released a funding opportunity (26-09RHT-001) on open.sd.gov today that involves Rural Strong Grants to health care providers across the state. Up to $31,750,000 will be awarded for budget period one to eligible providers. Click here for details. You can find the RFP here by clicking on the Event Documents tab and downloading the PDF file.
Eligible providers include hospitals, federally qualified health centers, rural health clinics, Indian Health Services/Tribal 638 clinics, clinics enrolled as physician groups, behavioral health clinics, and dental clinics for Rural Strong Grants. Applicants must be enrolled with Medicaid. Only business entities are eligible to apply. Individual providers are not eligible for grant awards.
Allowable uses of funds are detailed in the RFP, but include:
- Operational and Strategic Planning
- Strategic Partnerships
- Service Line Expansion
- Regional Resources / Hub and Spoke Models
- Care Coordination Infrastructure / Readiness for Value-Based Care
Schedule of Activities (Subject to Change)
|
RFP Publication |
04/02/2026 |
|
Letter of Intent to Respond Due (preferred, not mandatory) |
04/16/2026 |
|
Offeror Questions Due |
04/23/2026 |
|
Responses to Offeror Questions |
05/07/2026 |
|
Request for SFTP (Secured File Transfer Protocol) folder |
05/21/2026 |
|
Proposal Submission |
05/22/2026 |
|
State Request for Additional Information/Clarification |
TBD |
| Anticipated Award Decision/Contract Negotiation On or before |
06/22/2026 |
If your facility is interested in pursuing these funds, please review the RFP carefully for all the requirements, including where to send questions (section 1.11 offeror inquiries).



