*Urban counties with physicians placed at a Federally Qualified Health Center (FQHC).

*Urban counties with physicians placed at a Federally Qualified Health Center (FQHC).

The economic impact is derived from the placement of 510 physicians through Rural Health Education and Services (RHES) programs who have practiced in rural communities between 1992 and 2023. To estimate the financial contributions of these physicians, we used three economic impact formulas*
published in research reports by the National Center for Rural Health Works. These formulas provide a standardized approach to assess the economic significance of physicians working in rural areas.

The economic impact is driven by labor income – wages, salaries and benefits – that’s derived from the clinic and local hospital as a result of a full-time practicing physician. Using these benchmark numbers, we calculated the years of service provided by physicians placed through RHES programs. As of December 2023, the number of physicians still practicing in the original organization they were placed through RHES was 245.

The wages and salaries paid to clinic and hospital staff circulate within the local economy as employees spend on goods and services. Additionally, the clinic and hospital themselves purchase supplies and services from local businesses, further stimulating economic activity, according to the studies.

The economic activity driven by health care services, including clinic and hospital spending, generates tax revenues that support local government functions and community services. In many rural areas, health care jobs make up a significant percentage of total employment, with hospitals often being the second-largest employer after local school systems.

The value of a placement depends on its duration and timing. Longer placements have greater financial impact, and the economic conditions of the specific years also affect valuation. Short-term placements are prorated and valued as a fraction of a full year, resulting in lower overall impact. For example, a placement that spans a ten-year period from 1993 to 2003 would yield a different financial impact compared to a similar ten-year period from 2003 to 2013, due to changes in economic conditions, such as inflation.

No, this analysis focuses exclusively on the economic contributions of physicians. Other health care professionals—such as advanced practice providers and allied health care professionals—play a vital role in local economies. However, their economic impact has not been included in this assessment. RHES’ services are designed to assist Kansas communities in recruiting and retaining physicians, dentists, pharmacists, physician assistants, APRNs, nurses, dental hygienists, allied health professionals, and behavioral health professionals. As academic research provides more insights into the contributions of these professionals, we will update our findings accordingly.

The formulas and methodologies referenced in this analysis are widely utilized, including in the 3RNET annual report submitted to the Federal Office of Rural Health Policy. 3RNET is a national non-profit resource for health professionals seeking careers in rural and underserved communities that partners with state agencies, and these reports offer valuable benchmarks for assessing the economic significance of rural health care providers.

RHES leadership has made significant strategic investments in the department’s future to meet the needs of our rural and urban underserved partners. These strategies include expanding the Kansas Recruitment and Retention Center (KRRC), which connects qualified candidates with health care organizations across the state. Operating with the understanding that a successful placement must be a good fit for both sides, KRRC recruiters nurture a pipeline of mission-minded candidates and partner with more than 80 organizations in rural and urban underserved communities.

RHES manages the Kansas Bridging Plan (KBP), a loan forgiveness program that encourages physicians to practice in Kansas upon completion of their residency training. KBP was expanded in 2017 to include psychiatry residents as eligible loan recipients and in 2023 for OB-GYN residents.

RHES oversees the Kansas Locum Tenens program that provides temporary coverage to address physician and specialist shortages across Kansas. In addition, Leadership & Development Training enhances the state’s workforce through tailored training for all employees or specific groups. RHES also hosts the annual Kansas Career Opportunities (KCO) Health Care Career Fair, where future health care providers network with representatives of health care organizations across Kansas.

*Sources:

Economic Impact of a Rural Primary Care Physician and the Potential Health Dollars Lost to Out-Migrating Health Services, authored by Fred C. Eilrich, Gerald A. Doeksen, and Cheryl F. St. Clair, and published by the National Center for Rural Health Works at Oklahoma State University’s Cooperative Extension Service. 2007

Estimate the Economic Impact of a Rural Primary Care Physician, authored by Fred C. Eilrich, Gerald A. Doeksen, and Cheryl F. St. Clair, and published by the National Center for Rural Health Works at Oklahoma State University’s Cooperative Extension Service. 2016

Estimate the Economic Impact of a Rural Primary Care Physician, authored by Ann K. Peton, Gerald A. Doeksen, and Ryan Hutchinson, and published by the National Center for Rural Health Works. 2019