Virginia Health Care Foundation

For Immediate Release
October 2, 2026
Contact: Rachel Rees, VHCF CEO
Virginia Health Care Foundation
(804) 828-5804
rrees@vhcf.org

Virginia Takes Another Step in Transforming Rural Health Care
Through Major Technology Investments
VHCF announces first awards under Rural Health Transformation Program

RICHMOND, Va., October 2, 2026 — Rural health care providers across Virginia will soon have new resources to modernize the technology that connects patients, providers, and health information. Today, the Virginia Health Care Foundation (VHCF) announced 25 awards totaling $14.39 million through Virginia’s Rural Health Transformation Program.

The projects reach all six of Virginia’s rural regions, from Southwest Virginia to the Eastern Shore, and are expected to benefit more than 845,000 rural Virginians. They will help hospitals, community health centers, free clinics, independent practices, pharmacies, community services boards, and local agencies secure patient data, modernize electronic health records, strengthen networks, and coordinate care with other providers.

Virginia’s Rural Health Transformation Program is part of a federal initiative to strengthen health care in rural communities. The Office of the Secretary of Health and Human Resources leads the Commonwealth’s effort, with the Virginia Department of Medical Assistance Services (DMAS) managing the program and VHCF administering two initiatives focused on Provider Interoperability and Provider Productivity. These are VHCF’s first awards under the program.

“Rural Virginians deserve the same connected, secure care available anywhere else in the Commonwealth,” said Secretary of Health and Human Resources Marvin B. Figueroa. “These investments will help doctors, nurses, clinics, and hospitals spend less time dealing with outdated systems and more time caring for people. For families, that means a better chance of getting the care they need, when they need it, closer to home.”

“VHCF is honored to help carry out this significant investment in Virginia’s rural health care system,” said Rachel L. Rees, VHCF CEO. “These organizations understand both the challenges facing rural practices and the opportunities technology can create. We are proud to support investments that will make a real difference for these organizations and the communities they serve.”

The following projects were funded in the four categories: improving network capacity, modernizing electronic health records, strengthening cybersecurity, and enabling electronic data exchange:

Improving Network Capacity

• Buchanan General Hospital (Southwest): $382,000 to replace its outdated phone system with a modern, secure system. 

• Eastern Shore Rural Health System (Eastern Shore): $2,000,000 to upgrade its technology network, strengthen login security, and add data analytics capacity for patients in Accomack and Northampton counties.

• Highland Medical Center (Shenandoah Valley): $288,000 to replace aging servers, upgrade security, and add a backup internet connection so outages do not interrupt patient care in Highland County.

• Monroe County Health Center (Shenandoah Valley): $33,000 to upgrade network and dental technology at its Craig Health Center in New Castle, improving imaging and diabetic eye screening for Craig County patients.

• UVA Health Comprehensive Epilepsy Program (Southwest): $84,000 to bring reliable internet to its Wise and Tazewell outreach clinics and equip community health workers with portable internet kits for home visits and telehealth across Southwest Virginia.

• Western Tidewater Community Services Board (Southside): $108,000 to increase internet speed, add backup service across its sites, and connect hospital transition information directly to its electronic health record. 

Modernizing Electronic Health Records

• Buchanan General Hospital (Southwest): $33,000 to move its Tristate Clinic onto the electronic health record system already used by the hospital and its other clinics.

• Northern Neck-Middlesex Free Health Clinic (Northern Neck): $242,000 to optimize its electronic health record, launch a patient portal, and replace aging computers and security equipment.

• Town Center Urgent Care (Southwest): $305,000 to upgrade electronic health record and billing systems across its five rural health clinics.

• Valley Health System (Shenandoah Valley): $1,165,000 to modernize clinical documentation and ordering in its Epic electronic health record system.

• Virginia Pharmacy Association (Statewide): $500,000 to help rural pharmacies adopt electronic health record systems that securely share information with other providers.

Strengthening Cybersecurity

• Community Memorial Hospital–VCU Health (Southside): $56,000 to move critical hospital systems off an outdated, unsupported server, closing a significant security gap.

• The Health Wagon (Southwest): $260,000 to replace aging computers, upgrade network wiring, install new firewalls, and strengthen email and device security at its Wise and Clintwood clinics.

• Tri-Area Community Health (Southside): $179,000 to secure remote work systems, protect accounts and medical devices, and strengthen cyberattack response and recovery.

• Valley Health System (Shenandoah Valley): $835,000 to strengthen cybersecurity across Epic and five other essential systems.

• Virginia Association of Free and Charitable Clinics (Statewide): $525,000 to help 13 rural free clinics identify and address cybersecurity risks through security reviews, testing, hands-on support, and staff training.

• WIN Care Health (Roanoke Valley): $250,000 to add backup internet and generator power, strengthen cybersecurity, and replace faxing with electronic hospital admission and discharge alerts in Floyd County.

Electronic Health Data Exchange:

• Ballad Health (Southwest): $2,000,000 to upgrade the networks and communication tools connecting Norton Community, Lee County, and Lonesome Pine hospitals with its regional command center, expanding telemedicine services.

• Carilion Medical Center (Roanoke Valley): $69,000 to expand real-time emergency department alerts for care team focused on behavioral health and substance use needs.

• Danville Regional Medical Center (Southside): $150,000 to connect independent rural practices with Danville, Martinsville, Wythe County, and Clinch Valley community hospitals to securely share admission information, lab results, and imaging reports.

• Pulaski County Office of Prevention and Recovery (Southwest): $70,000 to launch a shared care coordination system linking the office, community paramedics, and local partner organizations.

• Sentara Health (Statewide): $1,700,000 to extend its data exchange and population health platforms to approximately 38 rural practices.

• UVA Health–Fortify Children’s Health (Statewide): $800,000 to build a statewide pediatric network for secure data exchange and coordinated care, including internet upgrades at 20 sites.

• Virginia Community Healthcare Association (Statewide): $1,500,000 to expand a shared data and population health system to rural community health centers across the Commonwealth.

• Virginia Health Information (Statewide): $856,000 to connect more than 30 rural independent practices and free and charitable clinics to the statewide Health Coordination Network, in partnership with the Virginia Association of Free and Charitable Clinics and the Medical Society of Virginia.

VHCF anticipates announcing the first round of Provider Productivity awards in October 2026 and releasing another request for applications for Provider Interoperability in March 2027.

About the Virginia Health Care Foundation

The Virginia Health Care Foundation is a non-profit public/private partnership with a mission to increase access to primary health care for uninsured and medically underserved Virginians. The Foundation was initiated by the General Assembly and its Joint Commission on Health Care in 1992. Since its inception, it has funded 568 community-based initiatives throughout the Commonwealth and established multiple programs and partnerships. Combined, they have helped more than 950,000 uninsured and medically underserved Virginians obtain the health care they need.

This press release is supported by the Centers for Medicare & Medicaid Services (CMS) of the U.S. Department of Health and Human Services (HHS) as part of a financial assistance award totaling $189,544,888.14 with 100 percent funded by CMS/HHS. The contents are those of the author(s) and do not necessarily represent the official views of, nor an endorsement, by CMS/HHS, or the U.S. Government.