Addressing Rural Healthcare IT Budgets
“How do I keep the lights on?” That’s likely the top priority for rural healthcare IT budgets. These hospitals need to ensure that their critical environment (networks, servers and storage) is up and running, so that their clinical teams can deliver care without disruption.
That can mean, however, that plans to adopt newer technologies or undertake necessary upgrades may be pushed down the line if the budget doesn’t allow for it. Technical debt is an industrywide problem, but for rural health systems that are already under immense financial pressure, aging technology can end up being a hindrance in the long run even if it can offer some savings by pushing the upgrade of 5-year-old network switches to another half-decade.
But this mindset that only considers IT as an expense and not as a building block for a potential revenue-generating project is outdated and can use a good refresh.
RELATED: Rural health systems take on cybersecurity improvements with support.
And while third-party support for end-of-life equipment management can be a stop-gap measure for IT cost savings, the better approach is to build bridges across departments to understand what the needs are so that the IT conversation becomes less about hardware or software in a vacuum and more about how IT is a key part of powering operations.
Ask operational staff what their plans are for 12 months or more. Reframe IT needs as workflow needs: rather than saying “we need to refresh the network,” try “our mobile devices are losing connectivity in this part of the hospital and that slows our patient discharge process,” which will not only improve clinical workflows but also chip away at technical debt.
Having IT work in cooperation with operations and building lasting partnerships between departments are much more effective approaches than just centering IT in isolation. Listen to what operational and clinical staff are planning for, which can help you better identify priorities for the budget and encourage optimization of the tech stack you already have.
Finding Support from Private and Public Resources
Microsoft launched in 2024 its Cybersecurity for Rural Hospitals Program, which includes the participation of more than 550 rural hospitals as of March 2025. Google also has a rural healthcare cybersecurity initiative.
Major electronic health records system vendors such as Epic and MEDITECH offer resources for smaller health systems to leverage their solutions or access a critical industry network. Epic Community Connect, for example, allows smaller hospitals and clinics to partner with a larger health system that uses Epic without all of the associated costs of a self-implementation.
Certain federal funding, such as the Rural Health Care Program, can target IT needs around broadband services and telecommunications. Recently, the Centers for Medicare and Medicaid Services shared more details on how states can apply to receive funding from the Rural Health Transformation Program. Conversations on the impact of newer legislation will be ongoing.
This article is part of HealthTech’s MonITor blog series