HRSA's FY 2027 Service Area Competition (HRSA-27-005) offers about $267.8 million across 63 grants for health centers competing to serve announced service areas. With Phase 1 due October 19, 2026, this guide breaks down eligibility, the Patient Target rule, HRSA's scoring framework, key deadlines, and practical steps to strengthen your application.
Through the Health Center Program Service Area Competition (SAC), HRSA funds organizations that provide comprehensive primary and preventive care in announced service areas.
For FY 2027, HRSA-27-005 under Assistance Listing 93.224 offers an expected $267,773,700 across 63 grants. HRSA issued the opportunity on September 18, 2026.
This funding applies specifically to HRSA-27-005, one of the FY 2027 SAC funding rounds. Each announced service area has defined ZIP codes, funding levels, Patient Targets, and population requirements.
Applications are submitted in two phases:
Both deadlines must be met.
Applicants must propose to serve an announced service area and meet Health Center Program eligibility requirements.
Eligible entities include:
There are three application types:
Health Center Program Look-Alikes must apply as new applicants.
The FY 2027 SAC emphasizes comprehensive primary and preventive care, including:
Applicants should connect these services to the needs of the specific population and service area they propose to serve.
Funding varies by service area and is listed in the Service Area Announcement Table (SAAT).
For HRSA-27-005, the anticipated project period begins April 1, 2027.
Eligible health centers may receive a four-year period of performance through March 31, 2031.
New applicants receive a one-year period of performance. Competing continuation applicants with applicable active Health Center Program compliance conditions may also receive a one-year period of performance.
Applicants must propose to serve at least 75% of the Patient Target listed in the SAAT.
For FY 2027, the Patient Target is based on the number of patients served by the currently funded health center in the service area, as reported in 2025 UDS data.
If the proposed Patient Target is below 95%, the maximum federal funding request must be reduced:
| Proposed % of Patient Target | Funding Reduction |
|---|---|
| 95% or more | None |
| 90% to under 95% | 1.25% |
| 85% to under 90% | 2.5% |
| 80% to under 85% | 3.75% |
| 75% to under 80% | 5% |
| Under 75% | Not eligible |
Applicants should use HRSA's current Patient and Budget Calculator and verify the Patient Target and Total Funding in the SAAT before finalizing the budget.
Patient projections should also remain consistent across the budget, staffing plan, Form 1A, and application narrative.
HRSA does not provide a formula for a “winning” application. Applicants should focus on the requirements used to assess eligibility, merit, compliance, organizational risk, and funding decisions.
Strong applications should:
HRSA's Health Center Program Compliance Manual remains an important reference when preparing the application.
The HRSA-27-005 merit-review framework totals 100 points:
| Criterion | Points |
|---|---|
| Need | 10 |
| Response | 15 |
| Collaboration | 10 |
| Impact | 15 |
| Capacity | 15 |
| Governance | 10 |
| Continuity of Care | 15 |
| Support Requested | 10 |
Response, Impact, Capacity, and Continuity of Care together account for 60 of the 100 points.
Applicants should build the narrative around these criteria and ensure supporting documentation reinforces the application.
Additional Funding Priority Points
HRSA also identifies funding priorities that may add points when applicable:
Eligibility varies by application type and compliance status.
Funding-priority points do not guarantee an award, so applicants should review the NOFO carefully to determine which priorities apply.
1. Confirm Registrations
Applicants need active SAM.gov and Grants.gov registrations and access to HRSA's Electronic Handbooks (EHBs) for Phase 2.
SAM.gov registration can take several weeks, so organizations should confirm their status early.
2. Review the SAAT
Confirm your:
3. Use HRSA's Technical-Assistance Resources
Use current FY 2027 SAC FAQs, Patient Target guidance, the Patient and Budget Calculator, compliance resources, and technical-assistance materials.
4. Follow HRSA's Narrative Structure
Use the headings and order required by the NOFO.
Make it easy for reviewers to connect the organization's need, response, partnerships, impact, capacity, governance, continuity-of-care plan, and funding request.
5. Complete Both Submission Phases
Understand the 120-Page Limit
The SAC application has a 120-page limit, but not every form or attachment counts toward it.
The Project Narrative, Budget Narrative, and certain attachments count toward the maximum, while several program-specific forms and required attachments do not.
Attachment 13 does not count toward the page limit and is not part of the merit review.
Applicants should use the NOFO checklist to confirm which components count. Pages exceeding the applicable limit are not reviewed.
Key dates below reflect the opportunity as listed on HRSA's Find Grant Funding page.
| Milestone | Date |
|---|---|
| NOFO issued | September 18, 2026 |
| Phase 1 due | October 19, 2026 |
| Phase 2 due | November 18, 2026 |
| Estimated project start | April 1, 2027 |
| Four-year period ends, if applicable | March 31, 2031 |
Document Unmet Need
Describe service-area boundaries, access barriers, local health care conditions, and the needs of relevant populations. Use local data where possible.
Make the Patient Projection Defensible
If your projection differs from the Patient Target, explain why and ensure it aligns with staffing, capacity, service delivery, and the funding request.
Show Meaningful Partnerships
Attachment 9 should include required collaboration documentation. Explain relevant relationships with Primary Care Associations, Health Center Controlled Networks, health care providers, community organizations, and other partners. Where possible, show how referrals to partners are made, followed up, and closed, not just that the partnerships exist.
Quantify Quality Improvement
Explain how the organization will monitor outcomes such as diabetes and hypertension control, cancer screening, depression screening, and other relevant measures.
Demonstrate Governance Strength
Show how the governing board provides oversight, reviews financial and quality performance, exercises required authorities, and supports accountability.
Prepare for Continuity of Care
Continuity of Care is worth 15 points. Explain how services will continue during the award transition and during emergencies, disasters, workforce disruptions, or other events that could interrupt care.
Review Funding Restrictions
Confirm that proposed costs are allowable under the NOFO and applicable federal requirements before finalizing the budget.
FY 2027 SAC Grant-Readiness Checklist
Before submitting, confirm:
HRSA-27-005 represents approximately $267.8 million in expected funding across 63 grants, but applicants are competing to serve specific announced service areas under defined Health Center Program requirements.
A strong application should demonstrate need, realistic patient projections, organizational capacity, effective governance and collaboration, continuity of care, and appropriate compliance documentation.
Start with the NOFO and SAAT, confirm registrations and deadlines, validate the Patient Target and budget, build the narrative around the merit-review criteria, and keep information consistent throughout the application.
For many health centers, the collaboration and continuity-of-care sections are easier to write when they document and track referral relationships with other providers and community resource organizations.
Show How Your Referral Network Works
GridSocial helps health centers manage closed-loop clinical and social referrals, connecting care teams with other providers and community resource organizations and tracking each referral to completion. That referral history can help support the partnership, impact, and continuity-of-care narratives SAC reviewers evaluate.
Learn how GridSocial supports closed-loop referrals for health centers →
Note: Always verify dates, funding amounts, Patient Targets, page-limit rules, funding reductions, and application requirements against the current HRSA-27-005 NOFO, Service Area Announcement Table, and current HRSA guidance before applying. This article is for informational purposes and is not legal, financial, or grant-writing advice.