Program Purpose
The Arizona Rural Hospital Flexibility (Flex) Program, known also as the Arizona Critical Access Hospital Program, provides specialized resources and assistance to small rural hospitals in the state that are seeking or have acquired critical access hospitals designation. With funding assistance from the Office of Rural Health Policy in the Health Resources and Services Administration, the Flex Program is able to provide a variety of initiatives aimed at improving hospital quality and building performance.
Historically, the Medicare reimbursement system has not adequately supported the cost of services provided by small rural hospitals because costs are often volume driven. In contrast with the high volume tertiary centers, small rural hospitals lack the in-patient volume that could benefit revenue cycles. As a result of this national urban-rural reimbursement disparity, in 1997 within the Balanced Budget Act, Congress created the Medicare Rural Hospital Flexibility Program that (1) enables to establishment of critical access hospitals (CAH) as an alternative service hospital, (2) increases reimbursement for Medicare services to critical access hospitals to 101 percent of cost, and (3) provides resources for Flex Programs to assist the state’s small hospitals and emergency medical service programs to improve performance. Check quick links on this page to find out more about the Arizona Flex Program, and the resources and opportunities it brings to Arizona’s small hospitals.
To contact the Arizona Critical Access Hospital Program office please call 520-626-0721.
