Can RHTP Funds Be Used for Clinical Training Technology in 2026?

Yes. Here is what the Rural Health Transformation Program's allowable use language says, and what it means for rural health system workforce budgets.

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The Rural Health Transformation Program (RHTP) was enacted July 4, 2025 under H.R. 1. It directs $10 billion per year across all 50 states for five years, administered by CMS, to strengthen rural health systems. Every state submitted a transformation plan. Every state was awarded funding. First-year awards were announced December 29, 2025, averaging $200 million per state. A growing share of that funding is positioned to support RHTP clinical training technology, an option many health systems may not even realize is on the table.

Most of the conversation around RHTP has focused on facilities, telehealth infrastructure, and residency program creation. Those are important investments. But there is a category of allowable use that has barely entered most procurement conversations yet, and it maps directly to the workforce pipeline problem rural health systems are trying to solve.

The allowable use language is already written. The question is whether your RHTP plan includes the infrastructure that moves students from rotations into open positions.

What Are RHTP Allowable Uses Under Workforce Development?

CMS allowable uses under the workforce development category include:

• Recruiting and retaining clinical workforce talent to rural areas

• Training and upskilling the existing healthcare workforce

• Building data systems to track training outcomes

• Providing software and hardware for significant IT advances designed to improve efficiency

That last category is sitting in the law right now, largely unclaimed. Clinical education management technology, which includes rotation scheduling, competency tracking, compliance documentation, and workforce pipeline tools, falls squarely within these allowable uses. Most health systems have not made that connection yet.

Where Is RHTP Money Being Spent in 2026?

First-year state awards averaged $200 million. The money is moving. The majority of it is going toward facilities, telehealth equipment, and new residency slots. Those are visible, defensible line items that are easy to include in a spending plan.

But the workforce pipeline problem does not get solved by adding a telehealth terminal. It gets solved when a health system can see who is being trained in their facilities, how those learners are performing, and how to recruit the best ones before a competing health system does. That infrastructure is fundable right now, and there is still time to build it into how your RHTP dollars get spent.

What Does RHTP Clinical Training Technology Mean in Practice?

Consider a mid-size rural hospital managing 60 to 80 clinical students per semester. In most cases, that work is happening across spreadsheets, email chains, and manual compliance checklists. Pre-arrival requirements fall through the cracks. Preceptor assignments get made the day a rotation starts. Nobody has visibility into which students are excelling until the rotation is already over.

RHTP funds the infrastructure to fix that. Here is how the allowable use language maps:

• Rotation scheduling and pre-arrival compliance tracking = clinical training infrastructure

• Competency-based assessment = data systems to track training outcomes

• Identifying high-performing students and moving them into open positions = workforce recruitment and retention technology

Three distinct RHTP funding categories. One platform.

How Do Health Systems Use RHTP Funds to Build a Workforce Pipeline?

At Whitecoat Learning Platform, we have spent the last several months mapping our platform capabilities directly to RHTP allowable use language and working alongside health systems and program administrators who are actively navigating these spending decisions. We built this to work in both directions.

Academic programs get one system that manages placements, tracks competency, and surfaces the outcomes data accreditation bodies ask for. Health systems get visibility into how their learners are performing before they ever apply for a job. And when a student stands out, the path from rotation to hire is already there.

We call it the Known Learner to Known Hire model. A health system should never have to meet a new hire cold. Every student who rotates through your facility builds a performance record. The ones who stand out should have a direct path into your workforce, without a placement fee.

The question we hear most from health system administrators is not whether clinical education technology qualifies under RHTP. It does. The question is whether their current setup is solving the workforce pipeline problem RHTP was written to address.

Ready to See How the Allowable Use Language Maps to Your Program?

If your health system or academic medical center is working through RHTP allocation decisions, we are happy to walk through the specific allowable use language and how it applies to clinical education management software.

Schedule a conversation with the Whitecoat by reaching out here