What I Need to Know About the HEALTHCARE CONNECT FUND (HCF) The Healthcare Connect Fund (HCF) Program is the newest component of the Rural Health Care (RHC) Program. The program supports health care providers (HCPs) by providing funding for broadband connectivity, including Internet access or equipment, at a 65-percent discount. HCPs have the option of participating in the program as a member of a consortium or as a stand-alone entity. Funding will be available beginning on January 1, 2014, for new applicants. RHC Pilot Program participants may transition to participation in the HCF Program as their sites exhaust funding. This funding will be available beginning July 1, 2013, for Pilot Program consortia. WHAT’S CHANGING? WHAT’S NEW? Although the HCF Program will replace the Internet Access Program as of July 1, 2014, the Telecommunications Program will remain available. HCPs will be able to choose between the two programs based on which best suits their needs. The following elements are unique to the HCF Program: • HCPs can apply as individuals or as part of a consortium. • Support for broadband services, including Internet access, is a flat rate (65-percent discount). • The application and form filing processes are simpler and easier. • Equipment necessary to make broadband services functional is eligible for funding. • Connections to off-site data centers and administrative offices are eligible. • Non-rural HCPs are eligible if participating in a consortium with a majority rural HCPs. • Cloud-based connectivity services are supported. • HCPs can receive support for multi-year commitments for up to three years. Internet Access Support The Internet Access Program, which provides applicants a 25-percent discount off the cost of monthly Internet access, will be replaced by the HCF Program, which provides a 65-percent discount. Although HCPs can continue to participate in the Internet Access Program until the end of Funding Year (FY) 2013 (June 30, 2014), they will be eligible to begin receiving HCF Program discounts starting on January 1, 2014. After July 1, 2014, all HCPs requesting Internet access support must apply for support through the HCF Program. Telecommunications Services Support HCPs can continue to participate in the Telecommunications Program and receive support for telecommunications services based on the urban/rural rate differential. Alternatively, an HCP could decide to participate in the HCF Program, through which support is provided at a flat 65-percent discount. In the HCF Program, applicants can request funding for up to three funding years on a single funding request. The HCP also has the choice to participate as part of a consortium or as an individual HCP. What’s the application process like? The application process will be familiar to existing RHC Program participants. The process includes determining eligibility, submitting a request for services, participating in the competitive bidding process, selecting the most cost-effective bid, starting services, and then invoicing for those services. There are new forms, but there are also fewer forms, and the filing process is entirely online through the new RHC application management system called My Portal. WHERE DO I START? For new applicants, the filing window will open late summer 2013 (for funding starting on January 1, 2014). To prepare, applicants should: • Read the HCF Order (FCC 12-150); • Consider whether to apply as an individual HCP or as a member of a consortium; • Review the eligibility criteria and eligible services; and • Review the new forms and instructions to become familiar with the application process.
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