Allowable Investments Search Tool

Identifying allowable investments for a SHIP-eligible hospital does not have to be a daunting task! This search tool created by SHIP-TA through the Federal Office of Rural Health Policy helps state coordinators and hospitals navigate the possibilities.
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7 results found

Contractors, Consulting, and Reviews

Unallowable

Updated January 2023

(Excluding HCAHPS and Chargemaster Review)

Contractor and consulting fees, services, and payments (recurring or one-time) are unallowable. This includes contracting for a consultant to review current operations under an approved SHIP category. 

Some unallowable expenses include but are not limited to: 

Architecture Designs Outside Employee Contracts Retainer Fees
Program Evaluation/Consulting Vendor Consultation Alterations and Renovations

Note: It is understood that some companies providing "training" in an approved SHIP category may refer to themselves as a consultant or contractor. Please e-mail SHIP-TA@ruralcenter.org if clarification is needed.

Unallowable investment

HCAHPS Surveys

Allowable
Value-Based Purchasing (VBP) Investment

Updated October 2024

Hospital Consumer Assessment of Healthcare Providers and Systems (HCAHPS) surveys completed for inpatient services are an allowable use of SHIP funds. Beginning in January 2025, collections of HCAHPS will be allowed via web-based platforms. 

NOTE: Currently, HCAHPS is the only allowable SHIP survey. Costs associated with conducting other types of CAHPS or non-HCAHPS surveys and assessments (including overhead, fees, payments, contractors, etc.) are unallowable. This category is consistently under review, and we encourage SHIP Coordinators to email SHIP-TA@ruralcenter.org and copy your PO with questions or concerns.

Allowable investment

Medicare Beneficiary Quality Improvement Project (MBQIP)

PO Pre-Approval
Value-Based Purchasing (VBP) Investment

Updated September 2023

Allowable MBQIP activities include vendor fees for HCAHPS surveys.

Note: This category is consistently under review, and we encourage SHIP Coordinators to email SHIP-TA@ruralcenter.org and copy your SHIP Project Officer with questions or concerns.

See also: HCAHPS Surveys, Surveys and Assessments

Requires project officer pre-approval.

Patient Safety (Training)

Allowable
Value-Based Purchasing (VBP) Investment

Updated January 2023

Costs for patient safety training to address performance issues related to Value-Based Program initiatives are allowable.

Examples may be training on recommendations, protocols, or information regarding best practices for patient safety and the quality of health care delivery or training on preserving confidentiality. According to the Agency of Healthcare Research and Quality (AHRQ), "safety" reduces the risk of harm and injury. Additionally, "quality" suggests striving for excellence and value. 

Examples of allowable costs include but are not limited to: 

Quality Reporting Data Collection Related Training or Software HCAHPS Data Collection Process Related Training Efficiency or Quality Improvement Training in Support of VBP Related Initiatives
Provider-Based Clinic Quality Measures Training Active Shooter Training (Non-medical Response)  

Note: Patient healthcare safety, security, and equipment that aids in treating a patient may also increase patient safety. The three are not the same, and direct patient care and hospital security measures are unallowable even if those measures increase patient safety measurements.

Allowable investment

Subscription (Definition)

Definition
Payment Bundling (PB)/Prospective Payment System (PPS)

Definition

Accountable Care Organization (ACO)

Payment Bundling (PB)/Prospective Payment System (PPS)

Value-Based Purchasing (VBP) Investment

Updated  February 2025

A subscription is defined as an arrangement to continually receive services for a preset price. Subscription services solely in support of SHIP-approved categories such as ICD software are allowable.

Generally, subscriptions for software are allowable. See the table below or email SHIP-TA@ruralcenter.org and copy your PO with questions or concerns.

Please note that subscriptions to ongoing or on-demand training (at-will training) are unallowable expenses. Subscriptions that "happen to include" a SHIP-approved expenditure should be avoided. Subscriptions must be purchased and used for the SHIP-approved category. 

Examples of allowable expenses include but are not limited to:

SHIP Quality Reporting (inc. MBQIP core measures)HCAHPSQuality Improvement Training
Telehealth Software/Platforms (Excluding Provider Fees)Disease RegistriesPopulation Health Databases
ACO Subscriptions or FeesICD-10/11 Software Subscriptions Cybersecurity and/or IT security software
HIPAA ComplianceInteroperability softwareProvider Databases for Care Coordination
Data Collection (e.g. intake software or SDOH screening for Quality Improvement and/or Care Coordination)EMR/EHRPrice Transparency software
S-10 Cost Reporting softwareHIPAA-compliant web and video conferencing platforms exclusively for telehealth 

Note: A common example is ICD Software. Whereas a hospital purchased one program that could be downloaded to multiple computers (or server accessed), many ICD companies have now moved to cloud-based subscription services where the hospital pays a "per user" license. This specific example would be allowable under "Payment Bundling, A: ICD-10 Software."

This card is a definition to help users understand the application of SHIP spending categories and expenses. Definitions found in the SHIP Allowable Investment Search Tool may not be the same as the Federal Government's (or departments within) definition.

 

 

Definition

Subscriptions

Allowable
Accountable Care Organization (ACO)
Payment Bundling (PB)/Prospective Payment System (PPS)
Value-Based Purchasing (VBP) Investment

Allowable

Accountable Care Organization (ACO)

Payment Bundling (PB)/Prospective Payment System (PPS)

Value-Based Purchasing (VBP) Investment

Updated February 2025

Subscriptions for products that provide critical services are becoming more prevalent in rural hospitals. 

Generally, subscriptions for software are allowable. Please see the table below or email SHIP-TA@ruralcenter.org and copy your PO with questions or concerns.

Examples of allowable expenses include but are not limited to:

SHIP Quality Reporting (inc. MBQIP core measures)HCAHPSQuality Improvement Training
Telehealth Platforms (Excluding Provider Fees)Disease RegistriesPopulation Health Databases
ACO Subscriptions or FeesICD-10/11 Software Subscriptions Cybersecurity and/or IT security software
HIPAA ComplianceInteroperability softwareProvider Databases for Care Coordination
Data Collection (e.g. intake software or SDOH screening for Quality Improvement and/or Care Coordination)EMR/EHRPrice Transparency software
S-10 Cost Reporting softwareHIPAA-compliant web and video conferencing platforms exclusively for telehealth 

Note: A common example is ICD Software. Whereas a hospital purchased one program that could be downloaded to multiple computers (or server accessed), many ICD companies have now moved to cloud-based subscription services where the hospital pays a "per user" license. This specific example would be allowable under "Payment Bundling, A: ICD-10 Software."

Allowable investment

Surveys and Assessments (Excluding HCAHPS)

Unallowable

Updated January 2023

Costs associated with conducting surveys and assessments (including overhead, fees, payments, contractors, etc.) are unallowable.

Some unallowable examples include but are not limited to:

Community Health Needs Assessment(s) (CHNA) Outpatient Surveys EDCAHPS
Hospital Finance Assessments Mock Audits (Including RHCs)  

Note: This category is consistently under review, and we encourage SHIP Coordinators to email SHIP-TA@ruralcenter.org and copy your PO with questions or concerns. 

 

Unallowable investment