Lays out rural health transformation program funding application focused on expanding access, lowering costs, and growing Delaware’s healthcare workforce

WILMINGTON — Today, Governor Matt Meyer announced that the State of Delaware completed and submitted an application last week for up to $1 billion from the Rural Health Transformation Program, compiling 15 critical projects, programs, and initiatives that will dramatically expand healthcare access, lower costs, and increase the medical workforce in rural Kent and Sussex counties. The main objective is to improve health outcomes for rural residents, who make up nearly 40 percent of the state’s population.

“Delawareans have access to some of the best healthcare on the globe, yet insurance is still too expensive, with prices set to skyrocket for thousands of families in weeks,” Governor Matt Meyer said. “Primary care appointments are still too limited, and emergency room wait times are too long,” said Governor Meyer. “That’s why we’re proud to announce a list of proposals that will address our national healthcare crisis right here in Delaware — a generational plan focused on expanding access to care and supporting rural communities from the ground up.

Governor Meyer made the announcement at the Margaret H. Rollins School of Nursing at Beebe Healthcare in Lewes, a key rural healthcare provider in Sussex County, which has been serving the community since 1916. The health care system is in the midst of a 5-year strategic plan that has improved access to health care, especially in rural Sussex County.

Congress appropriated a total of $50 billion to the Rural Health Transformation Program this summer—half of which will be “equally distributed” across states with an approved application, and the other half to be distributed based on technical factors and quality of application. Awards are expected to be received by the end of this year.

Governor Meyer’s application fulfills a key promise from his first State of the State address: bringing a four-year medical school to Delaware, currently one of just three states that do not have a public or private in-state training institution. Establishing a student-to-residency-to-practice pipeline is critical for building a more sustainable and robust workforce dedicated to the state’s rural population.

The proposal also includes funding for two new Hope Center-style facilities, modeled after New Castle County’s successful integrated hub that combines healthcare, employment, and housing services under one roof. The new centers in Kent County and Sussex County will serve as one-stop destinations for stability, connecting families to the care, treatment, and support needed to live healthy, self-sufficient lives.

In addition, the plan prioritizes mobile health units and telehealth innovations to bring care directly to residents who face transportation barriers or live in remote areas. Mobile health pods and clinics will visit schools, libraries, churches, and town centers, while expanded telehealth access and remote monitoring programs will make it easier for patients to connect with healthcare providers anytime, anywhere.

Delaware will award the vast majority of these funds through a competitive application process, prioritizing vendors who demonstrate the strongest ability to deliver measurable results efficiently and cost-effectively.

“Through Governor Meyer’s leadership, we are bringing meaningful new support to our rural communities,” Delaware Health and Social Services Cabinet Secretary Christen Linke Young said. “This application reflects innovative strategies to build the next generation of rural health care leaders and better serve Delaware’s 400,000 rural residents.”

“The Rural Health Transformation Program is a once-in-a-generation opportunity to strengthen Delaware’s entire healthcare workforce—from allied health and support staff to nurses, behavioral health professionals, and physicians,” Neil Hockstein, M.D. Chair of the Delaware Healthcare Commission, said. “These funds will help us invest in the people and technologies needed to deliver high-quality care in every corner of our state. This isn’t just a program; it’s an investment in our future and in a stronger, more resilient health system for every Delawarean.”

“Investing in rural healthcare is key to building a better healthcare system that works for all Delawareans. That begins with laser-focused efforts for our rural communities that support innovation, workforce, access, and more,” President & CEO of the Delaware Healthcare Association Brian Frazee said. “DHA looks forward to our continued collaboration with Governor Meyer and stakeholders across Delaware to turn this plan into reality.”

“We are here at Beebe Healthcare in what could be a momentous day when I think of the future of rural healthcare in Delaware,” Beebe Healthcare President & CEO David A. Tam, MD, MBA, CPHE, FACHE, said. “These projects proposed by Gov. Meyer – many of which Beebe supports and is eager to partner on – create a pathway to permanently change the healthcare delivery landscape and workforce, while improving the health and wellbeing of all residents and caregivers.”

State applications were required to include initiatives that address preventative care, sustainable access, workforce development, innovative care, and tech innovation.

The 15 projects are:

• Delaware Medical School: Funds the selection of a partner to establish Delaware’s first four-year medical school, creating a pipeline of doctors to serve our rural communities.

• Rural “Hope Center” Initiative: Creates new Hope Centers in both Kent County and Sussex County. Modeled after the successful New Castle County center, offering integrated services for housing, healthcare, and employment support.

• Rural Community Health Hubs: Establishes a network of mobile health units and health pods to deploy throughout rural Kent County and Sussex County, eliminating transportation barriers to healthcare by providing convenient care at schools, churches, and town centers.

• Catalyst Fund for Telehealth and Remote Monitoring: Supports tech companies developing remote monitoring tools and wearable health devices for rural residents.

• School-Based Health Centers Expansion Initiative: Expands school-based health centers in southern Delaware to improve children’s access to care, mental health support, and learning outcomes.

• Food is Medicine Infrastructure Initiative: Builds the systems needed to expand Food is Medicine programs, including access to prescriptions, tailored groceries, and nutrition education.

• Medical School Rural Workforce Development Program: Offers financial awards to Delaware medical students who commit to practicing in rural areas after graduation.

• Rural Libraries Health Access Initiative: Extends health and telehealth services at nine rural libraries, providing nearby access to care, internet, and trained professionals.

• Rural Provider and FQHC Value-Based Care Readiness Initiative: Helps rural healthcare providers shift to value-based care through new technology, collaboration, and sustainable payment models.

• Rural Diabetes Wellness Pilot Program: Launches a three-year pilot using care management and continuous glucose monitoring to reduce diabetes costs and improve outcomes.

• Rural Medical Residency Recruitment Program: Provides financial awards and transition support to medical school graduates who train and stay in rural Delaware.

• Training Programs for Clinical Support Roles in Rural Areas: Fund training for nurses, dental professionals, community health workers, and other allied health professionals, and expand rural clinical capacity.

• Rural Health Workforce Education Program: Provides financial awards to healthcare trainees who pledge to serve in rural Delaware communities.

• Healthcare Workforce Data Collection Initiative: Creates a data collection mechanism to track and report on healthcare workforce trends, shortages, and disparities across the state.

• Statewide Health Information Technology Infrastructure for Real-Time Insurance Verification and Prior Authorizations: Builds digital systems linking rural providers, payers, and hospitals to speed up insurance verification and prior authorizations. It will also help to realize the Pre-Authorization Reform Act’s full potential, enacted in Delaware this summer.

For any questions, please email govcomm@delaware.gov.

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