Small Rural Hospital Improvement Grant Program (SHIP)

The SHIP program, supported by the U.S. Department of Health and Human Services, Health Resources and Services Administration's Federal Office of Rural Health Policy, aims to assist eligible small rural hospitals with 49 or fewer available beds in meeting the costs associated with implementing data system requirements established under the Medicare Program. This includes funding to help hospitals participate in improvements in value and quality to healthcare, such as Accountable Care Organizations (ACOs), Payment Bundling/Prospective Payment System (PPS), and Value-Based Purchasing Programs (VBP). The program is administered by the Alabama Department of Public Health through a cooperative agreement with the Alabama Hospital Association. It encourages hospitals to fully implement and publicly report to the Hospital Consumer Assessment of Healthcare Providers and Systems (HCAHPS) and to Hospital Compare. Participating hospitals must also implement International Classification of Disease (ICD-10) Coding Systems. Funding supports achieving HCAHPS and ICD-10 goals, as well as objectives for value-based payment and care, including purchases of hardware, software, and training.