The Health Resources and Services Administration (HRSA) today announced that Audubon County Memorial Hospital in Audubon, Iowa, is the 500^th facility to be named a critical access hospital under a program that helps America’s smallest and most vulnerable rural hospitals.

The Critical Access Hospital (CAH) program provides grants to states to help stabilize small hospitals and strengthen the rural health care system. Under the program, Medicare reimburses hospitals with CAH certification all costs for inpatient and outpatient services.  The program fosters the development of rural health networks, strengthens rural emergency medical services providers, and helps improve the quality of care for rural residents.

“This program helps bring the world's best medical care to small hospitals in rural communities,” Health and Human Services Secretary Tommy G. Thompson said.  “It is one piece of our broader strategy for strengthening the quality of care in rural America.  Last year, I created a department-wide HHS Rural Task Force which is finding ways to expand and improve health care and social services in rural America.”

To date, 47 states have implemented programs making it possible for small rural hospitals to become CAHs.

“It’s difficult to maintain hospital staffs and services in many rural areas,” said HRSA Acting Administrator Elizabeth M. Duke.  “This program has rescued many hospitals from financial adversity and even closure.”   

The Iowa State Office of Rural Health received funds from HHS’ Health Resources and Services Administration’s Office of Rural Health Policy to help Audubon make its conversion to a critical access hospital.  The state grants, under the Medicare Rural Hospital Flexibility Program, were established by Congress in 1997 and are due for congressional reauthorization in 2002.

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Note: HRSA press releases are available on the Web at http://www.hrsa.gov/newsroom.