NYSDOH Announces up to $204 Million in Funding for State Health Transformation Program II Projects

The New York State Department of Health (DOH) Office of Primary Care and Health Systems Management and the Dormitory Authority of the State of New York (DASNY) have announced the availability of funds through the Statewide Health Care Facility Transformation Program (SHCFTP) II. Up to $204 million in grant funding is available through this Request for Applications (RFA), of which at least $47 million is available for community-based providers.

Grant funding is expected to be for capital projects, which may include, but are not limited to:

  • The planning or design of the acquisition, construction, demolition, replacement, major repair or renovation of a fixed asset or assets, including the preparation and review of plans and specifications including engineering and other services;
  • Construction costs; 
  • Renovation costs; 
  • Asset acquisitions; 
  • Equipment costs; and,
  • Consultant fees and other expenditures associated with the preparation of Certificate of Need (CON) applications required for the proposed establishment action, construction activity or service expansion (so long as the costs are incurred in connection with original construction and not an ownership transfer).

Approximately $123 million of the $204 million available to be awarded in SHCFTP II may be awarded for non-capital projects or other eligible expenses, which may include:

  • Debt restructuring, including costs to reduce, retire or refinance long-term liabilities such as mortgage, bank loans, capital leases and other liabilities, payments of debt service for such long-term liabilities, and costs for restructuring including professional fees, penalties, and interest; and,
  • Start-up operating expenses directly connected to the project for which funding is sought under this RFA.


Eligible applicants for this RFA include:

  • A legally existing organization and capable of entering a binding Master Grant Contract (MGC) with DOH; and, 
  • Be one of the following:
    • General hospitals licensed under Article 28;
    • Residential health care facilities licensed under Article 28;
      • Community-based providers, which for purposes of this RFA include:
      • Diagnostic and treatment centers, certified or licensed under Article 28;
      • Mental health clinics, certified or licensed under Article 31;
      • Alcohol and substance abuse treatment clinics, certified or licensed under Article 32;
      • Primary care providers; and,
      • Home care providers, certified or licensed under Article 36.

Eligible applicants can submit a single or multiple funding applications, but must assign priority to each application.

Priority will be given to projects that were not awarded a grant in response to the RFA for the SHCFTP I. Projects cannot receive awards under both this RFA and either the Kings County Health Care Transformation Program, or the Oneida County Health Care Transformation Program.

Important Dates and Additional Information:

Applicant Webinar:                                                     January 31, 2018

Questions Due:                                                              February 9, 2018

Questions, Answers and Updates Posted:       On or about February 21, 2019

Letter of Interest Due:                                                February 23, 2018

Applications Due:                                                          March 14, 2018 by 4:00 p.m. (EST)

Estimated Contract Start Date:                             July 6, 2018

The RFA may be accessed here>>

We will be monitoring this initiative and providing updates as further information becomes available. For more information, or if we can assist you in understanding, development or submission of an application, please contact:

Deborah Lynch, RN, LNHA, Principal

Anna Rizzo, Principal

Or by phone at (212) 697-3000