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Custer County authorizes staff to work with hospital district on federal rural health grant; preliminary projection up to $5.3M

Custer County Board of Commissioners · June 17, 2026
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Summary

The board authorized county staff to pursue a joint application with the hospital district for newly released federal rural health funding; a district advisor suggested the county’s share could reach up to $5.3 million over five years, though no funds were accepted and details remain subject to the hospital district's application.

Custer County commissioners on June 17 voted to authorize staff to work with the local hospital district on a joint application for newly released federal rural health funding. Public Health Director Sarah Burlson described the program as a large federal grant intended to transform rural health services and said the county is exploring a joint approach with the special hospital district and its grant coordinator.

Burlson referenced an early, illustrative projection by a district advisor: "Dr. DeWalt predicted potentially up to $5.3 million over 5 years," she said, and noted that figure was a projection rather than a guaranteed award. Commissioners emphasized the county is not accepting funds now; they authorized staff to pursue partnership options and to return with a formal request if the hospital district’s application includes county subawards.

Burlson outlined a conservative initial model that would use county public‑health staff for case management and outreach rather than door‑to‑door services, and suggested the program could start with a pilot cohort and clear inclusion criteria to manage risk and liability. The board approved working with the district to explore the opportunity and asked staff to report back on application status and any required county commitments.