A new initiative is redefining how technology startups connect with public sector opportunities. AscendRural, a program of Sourcewell, is introducing a scalable, challenge-based procurement model designed to better serve rural communities. This model creates a better pathway for public agencies to access innovative solutions to their most pressing challenges, while equipping emerging companies with the structure and support needed to sell to public agencies.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20260819747649/en/

AscendRural, a program of Sourcewell, is introducing a scalable, challenge-based procurement model designed to better serve rural communities.

AscendRural, a program of Sourcewell, is introducing a scalable, challenge-based procurement model designed to better serve rural communities.

This initiative builds on the work of AscendRural, which focuses on bridging gaps and building partnerships between rural communities and emerging technology solutions. The program will support the creation of cooperative contracts that are competitively awarded, outcome-driven and available for use by public agencies across jurisdictions facing similar challenges. An RFP was released on Aug. 17.

At the core of the initiative is a problem-based approach to procurement. Rather than prescribing narrow technical requirements, each RFP defines the outcomes a rural community needs to achieve, and invites suppliers to propose creative, scalable approaches.

By engaging with rural leaders nationwide, the program will identify real-world challenges and design procurement processes around those needs. “We’re starting with the problem, not the product,” says Melissa Kjolsing, AscendRural. “That means listening first to the needs of rural organizations, then building a system that invites better, more relevant solutions from tech companies.” The initiative also provides a streamlined mechanism for suppliers and public entities to find and engage with one another.

“Sourcewell strives to drive innovation in the public sector,” said Robb Reid, chief revenue officer, Sourcewell. “We are focused on solving problems for public agencies, and this initiative is another way to do that, by creating marketplaces where innovative companies can directly address real challenges faced by rural community agencies.”

Where permitted by law, agencies can use competitively awarded Sourcewell contracts for solutions tailored to rural needs, such as improving access to care and service delivery, rather than conducting separate solicitation.

Awarded suppliers are supported as they tailor their solutions for rural communities, connecting directly with agencies, and receiving guidance navigating public sector sales. “This is about creating a structure that can scale,” added Kjolsing. “We’re building a marketplace where innovation can move faster – and where rural communities aren’t left behind.”

Following award, AscendRural can help facilitate pilots or demonstration periods between awarded suppliers and public agencies, allowing agencies to test solutions in real-world settings and collect evidence of what works.

“Through structured pilot programs, suppliers can demonstrate their technology in practice, agencies can evaluate real-world performance before committing to long-term contracts and successful solutions can scale without requiring a new, full procurement cycle,” adds Kjolsing. “Our goal is really to create a clear pathway from pilot to long-term contract, reducing barriers while maintaining transparency and rigor. And, rather than selecting a single winner, the program fosters a competitive ecosystem, allowing agencies to choose the solutions that best meet their needs.”

For AscendRural, the initiative represents a strategic evolution and a commitment to advancing innovation in procurement. “There hasn’t historically been a space for these kinds of connections,” adds Kjolsing. “This program creates that space, bringing together startups, rural public agencies and community voices in a way that delivers real value. By combining open, challenge-based procurement with pilot-to-scale pathways, we’re making it possible for innovation to reach rural communities faster and for those solutions to be reused across the country.”

The RFP process is transparent, flexible and accessible:

  • Companies respond to the RFP describing how their solution addresses the challenge, and the outcomes it will deliver for rural communities

  • Proposals are evaluated against published criteria including problem alignment and rural fit

  • Awarded suppliers are awarded a Sourcewell cooperative contract and are eligible to participate in additional AscendRural programs, including its accelerator and potential pilot or demonstration periods with rural agencies. Additional programs are not guaranteed, and some may involve a participation fee.

The first round of challenge-based procurement opportunities is live on the Sourcewell Procurement Portal. Initial contract awards are anticipated in the fall. Companies interested in responding can create a free supplier account at proportal.sourcewell-mn.gov and register for the opportunity to receive the complete solicitation, any addenda, and pre-proposal conference details. Registration is open to any company, at no cost. Rural associations, economic development organizations, accelerators, and state and regional agencies are encouraged to share this opportunity within their networks.

Questions about the solicitation must be submitted through the Sourcewell Procurement Portal at proportal.sourcewell-mn.gov. Solicitation questions cannot be answered outside that process.

AscendRural is a technology-driven innovation hub dedicated to boosting well-being in rural America. Initiated by Sourcewell, it embodies their commitment to helping communities thrive. We bring together local leaders and the innovation community to fund and facilitate technology pilots in rural communities. Our goal is to address accessibility, availability, and affordability issues while accounting for what makes rural communities unique. For more, visit www.ascendrural.org.

Media gallery

About The Author