Small Rural Hospital Improvement Grant Program (SHIP)

The overarching goal of the Kentucky Office of Rural Health (KORH) is to ensure that the Small Hospital Improvement Grant Program (SHIP) is implemented in the most efficient and effective manner possible. In addition, the KORH will assist the small rural hospitals in achieving the purpose and objectives of the grant, improving the quality and access to health care in the rural communities of Kentucky. The Small Rural Hospital Improvement Grant program will provide 38 small rural hospitals in Kentucky funding towards their costs for implementing data systems required to meet requirements established under the Medicare program pursuant to amendments made by the Balanced Budget Act of 1997. Pursuant to Section 1 820(g)(3) of the Social Security Act, these 38 small rural hospitals through the Kentucky Office of Rural Health collaborating with the Kentucky Hospital Research and Education Foundation and networking with the Hospital Association Consortium of Kentucky will use their funds to: 1) Purchase computer software and hardware that relate to quality improvement, performance improvement and patient safety 2) Educate and train staff on computer information systems utilizing technology to improve patient outcomes, or 3) Offset costs related to the implementation of prospective payment systems by updating chargemasters or provide training for staff in billing and coding. Kentucky is the 10th most rural state in the nation, 44 percent of Kentuckian's live in rural counties compared to 17 percent for the United States. The state has a significantly higher than average proportion of the population that is subject to chronic illness and death, and has a higher than average percentage of the uninsured. Only five of Kentucky's 120 counties have per capita incomes above the national average. According to the 2000 Census, 90 percent of the state's population is Caucasian, 7.5 percent is African American and 1.9 percent is of Hispanic/Latino origin.