Solicitation for Input | Louisiana Innovation

Purpose and strategic mission

The Louisiana Department of Health (LDH) and Louisiana Innovation (LA.IO), a division of Louisiana Economic Development (LED), are gathering informal input from organizations or teams with experience designing and operating venture-support models. The goal is to better understand possible approaches for strengthening the pipeline, readiness, rural deployment, and long-term sustainability of companies and other eligible entities participating in Louisiana’s Rural Tech Catalyst Fund (RTCF). RTCF is a state-administered, non-dilutive seed funding initiative under the Rural Health Transformation Program (RHTP) that supports novel, consumer-facing, technology-driven solutions to prevent and manage chronic disease and improve healthcare quality, affordability, or access for rural populations. Input on models that could operate over the long term, including possible sustainability approaches beyond an initial State-funded period, would be especially helpful. No particular organizational or financial structure is being prescribed through this request.

LDH and LED/LA.IO are interested in perspectives from organizations with experience assessing and supporting early-stage companies, scaling technology-enabled solutions, navigating clinical settings, and translating innovations from healthcare – as well as cross-industry technical capabilities, user-experience designs, and operational models – into solutions that improve chronic disease prevention and management for rural communities.

Federal context and planning parameters

Any future RTCF model would need to align with CMS guidance. For purposes of this informal planning discussion, the following parameters may be useful context:

RTCF supports innovative, consumer-facing, technology-driven solutions focused on chronic disease prevention and management for rural populations.
The target product stage is proof-of-concept through minimum viable product. A proof-of-concept should include a functional prototype, evidence of feasibility, and readiness at approximately Technical Readiness Level (TRL) 4 or higher.
Eligible innovation may arise within healthcare or by adapting technology, capabilities, or business models from other industries for rural healthcare use.
Under the current concept, the State would remain responsible for applicant eligibility, award decisions, approved milestone structures, and direct milestone payments to selected applicants.
Additional CMS context is available in the Rural Health Transformation Rural Tech Catalyst Fund Resource Guide.

Working assumptions on term and scale

For discussion purposes only, input may use a one-time funding assumption of up to $1,000,000. A studio could work with a subset of companies selected under RTCF rather than the full cohort. An illustrative planning estimate is an average investment of $500,000 per engaged company to support measurable advancement during a one-year period. These figures are planning assumptions and do not represent a funding commitment.

It would be helpful to receive ideas for a customizable, individualized cost framework rather than a fixed cost-per-company rate. Input could identify a minimum viable scale – the smallest scale at which a model could credibly deliver meaningful outcomes – based on each company’s goals, desired outcomes, and appropriate level of support. Input may also explain how a model could expand if additional resources became available.

Ideas should focus on outcomes that could reasonably be achieved within one year and may include a high-level strategy for continued operation beyond an initial funding period. Possible revenue sources could include equity, carried interest, management or service fees, matched private capital, or other approaches, depending on future legal, federal, and State review.

Program design and approach

LDH and LED/LA.IO are not prescribing fixed tiers, cohort sizes, program durations, or standardized services at this stage. They are interested in learning about flexible technical-assistance mechanisms that could help founders obtain targeted expertise aligned with Louisiana’s rural health priorities and RTCF goals. Input may explore models such as microgrants or service pools and may distinguish individual services from milestone-based packages. It would be helpful to understand the services included, assumptions about company stage and level of support, possible fixed program costs, and how pricing might vary based on company needs rather than solely on the number of participants.

Design intent: The goal would not be to place every founder into the same service package or reward participation in generic activities. A possible model could deliver precise support that strengthens the current RTCF cohort and/or a future pipeline of companies capable of improving rural health outcomes in Louisiana.

Input may identify which services could be available individually and which could be offered as bundles. For each, helpful details could include the deliverable, expected duration, who would do the work, and an illustrative price. If a participating company might pay for a service, please note whether that payment could come from a State award or other capital. Helpful input could address:

How needs could be assessed and translated into a defined deliverable, milestone, budget, and scope.
Eligible service categories, such as product engineering, interoperability, compliance strategy, clinical evidence, reimbursement, manufacturing, contracting, or other stage-specific needs.
How technical-assistance providers could be identified or prequalified, how performance could be monitored, and how access to specialized expertise could be maintained.
How success could be measured through barrier resolution or milestone advancement rather than hours purchased, sessions attended, or activities completed.
What a future operator might need LDH and LED/LA.IO to define or provide, and what the operator could define and manage independently.
How a company’s need for a service could be identified, who might authorize it, and how a future model could address situations in which an operator both recommends and is paid to deliver a service.

Illustrative performance framework

For planning purposes, a strong outcome could be a selected company deploying and using its product in a rural Louisiana setting and reaching a position where it can continue through new investment, earned revenue, procurement, reimbursement, or another viable pathway.

The working assumption is that more intensive support does not necessarily produce better outcomes. Some companies may benefit from sustained engagement, while others may need one well-placed introduction. Suggested targets may account for both and focus on what changed because of the support provided, not only where a company ultimately ended up.

Time-horizon clarification: Suggested near-term measures should be achievable within an illustrative one-year State-funded period. Longer-term indicators – such as site retention, durability of clinical outcomes, company survival, revenue, follow-on capital, and Louisiana presence 12 and 24 months later – could be tracked for learning and evaluation.

Deployment in rural Louisiana: Rural sites live and using the product, patients or users reached, sites retained past the initial pilot period.
Company advancement: Baseline and end-of-term status against goals set at intake, whether technical, clinical, operational, payment, or commercial. Distance moved matters more than the ending position.
Operator contribution: What the operator did to produce each advancement, the level of effort involved, and what the company attributes to that support. Include cases where minimal support produced significant movement.
Path to continuation: Revenue, procurement pathway, payer or provider contract, reimbursement route, follow-on capital, or acquisition interest, with evidence rather than intent.

Sustainability considerations

Input may address two distinct forms of sustainability:

Portfolio-company sustainability: Pathways for supported companies to continue growth through earned revenue, procurement, reimbursement, or follow-on capital.
Program/operator sustainability: A high-level view of how venture-studio infrastructure and technical capacity could continue beyond an initial one-year term and potentially align with the broader five-year RHTP lifecycle. Additional financial or revenue assumptions may be included under Section 10, Item 13.

Helpful background and experience

Organizations sharing input are invited to identify a possible lead organization, partners, and key personnel. Helpful background may include:

Deep experience assessing and supporting early-stage companies and products from proof-of-concept through pilot, revenue, procurement, reimbursement, or follow-on capital.
Experience scaling healthcare companies or technologies, and/or cross-industry technology that could be translated into healthcare.
Rural health, Medicaid, chronic disease, provider-workflow, clinical-validation, reimbursement, and go-to-market expertise.
A founder, provider, payer, investor, and technical-expert network capable of generating qualified deal flow and practical support.
Experience managing state and/or federally funded programs or contracts, cost-based budgets, subrecipient or contractor relationships, milestone documentation, audits, and multiple funding sources.
Ability to staff and operate in Louisiana and to build durable statewide relationships, including in rural communities.

Topics for input

A short overview of the possible model, including its general approach and potential value to the State.
Possible scope of services, including whether the model could include pipeline sourcing, post-selection portfolio support, or both, and an illustrative allocation of resources across each function.
An illustrative first-year implementation plan, including timeline, launch assumptions, key dependencies, and possible sustainability beyond the initial term.
A possible founder-sourcing strategy, if relevant, addressing healthcare, clinical, and cross-industry pipelines.
An individualized company-support approach, including how services and milestones could be adapted to company stage, product type, capacity, and rural implementation needs. Illustrative founder journeys for different stages or product types are welcome.
A possible technical-assistance and company-support model, including illustrative services and potential value or return on investment for participating companies.
Relevant team experience in clinical implementation, reimbursement, technical development, commercialization, and other disciplines. CVs may be included but are not required for this informal input.
An illustrative one-year performance framework, including possible measures, evidence standards, and reporting methods.
An illustrative cost framework tied to company needs and outcomes and anchored to a minimum viable scale. Helpful detail may include how costs and services could expand at higher funding levels and broad assumptions for personnel, partners, technical assistance, travel, systems, administration, and other costs.
Relevant experience. One or two brief examples may describe the organization’s role, a company’s starting stage, support delivered, measurable outcomes, timeline, and lessons learned.
Any financial or programmatic interests that could help the State understand how a future model might manage potential conflicts or overlapping roles.
Possible State support and dependencies, including decisions, resources, data, partnerships, or other assistance that might be needed from LDH and LED/LA.IO.
A possible sustainability and revenue model, including potential revenue sources, an illustrative share of operating costs that could come from non-State sources, and a general path toward that mix. Any contemplated fees paid by participating companies from State awards may be shown separately for planning clarity.

How to share input

LDH contact: Eli Brodsky – Deputy Director, Office of Rural Health and Sustainability
- [email protected]
LED / LA.IO contact: Peter Johnson – Director, Innovation Programs
- [email protected]