First-Year Awards Announced in $50 Billion Rural Health Transformation Program, With All 50 States Funded
The Centers for Medicare & Medicaid Services (CMS) announced in Washington on December 29 that all 50 states will receive awards under the Rural Health Transformation Program, a $50 billion initiative established under the Working Families Tax Cuts legislation (Public Law 119-21) signed by President Trump to strengthen and modernize health care in rural communities. In 2026, first-year awards will average about $200 million per state, ranging from $147 million to $281 million.
Health and Human Services Secretary Robert F. Kennedy, Jr. said more than 60 million Americans living in rural areas have the right to equal access to quality care, and that the historic investment puts local hospitals, clinics and health workers in control of their communities' health care. CMS Administrator Dr. Mehmet Oz said states are stepping forward with bold, creative plans to expand rural access, strengthen their workforces and modernize care.
The program's $50 billion will be allocated to approved states over five years, with $10 billion available each year from 2026 through 2030. Half of the funding is distributed equally among all approved states, and half is allocated based on factors including rurality and rural health system metrics, state policy actions, and the potential impact and scale of proposed initiatives. Texas received the largest first-year award at $281 million, followed by Alaska at $272 million; California will receive $234 million. States will use the funds to expand preventive, primary, maternal and behavioral health services, strengthen rural emergency care, train and recruit rural clinicians, modernize facilities and equipment, and expand telehealth.
Source: U.S. Department of Health and Human Services
Published by GSM · USA (original Chinese edition)
Photo: 图：位于美国华盛顿的美国卫生与公众服务部休伯特·汉弗莱大楼（资料照片）。ajay_suresh 摄，CC BY 2.0，经 Wikimedia Commons；联邦固定图库标准图。 / Photo: The Hubert H. Humphrey Building, headquarters of the U.S. Department of Health and Human Services in Washington (file photo). Photo by ajay_suresh, CC BY 2.0, via Wikimedia Commons
