The SHIP grant program is for small, rural hospitals that are essential access points for Medicare and Medicaid beneficiaries. SHIP allows rural hospitals to keep pace with their urban counterparts in complying with new Medicare and Medicaid programs and policies.
Hospitals can use the money, which amounts to $7,503.80 per hospital, to offset costs related to the implementation of prospective payment systems; to improve data collection activities to facilitate reporting to Hospital Compare; or for activities that support quality improvement or improve care transitions.
To qualify for the program, hospitals must be small (49 staffed beds or less) and rural (located outside of a metropolitan statistical area or located within a rural census tract of a MSA).
The Health Resources and Services Administration at the United States Department of Health and Human Services provides all funding for the Small Hospital Improvement Program.