Texas Governor Greg Abbott has announced that the state will receive more than $1.4 billion in federal funding over five years to improve rural health care. The funding comes through the Rural Health Transformation Program, which is part of the One Big Beautiful Bill Act. This program will allocate $50 billion nationwide over five years, with Texas receiving $281 million each year—the highest amount for any state.
“Rural Texans across the state will benefit from this historic federal investment. We will strengthen our rural hospitals, expand access to critical mental and physical health care, and help reduce chronic disease through wellness and nutrition initiatives,” said Governor Abbott. “I thank President Trump, Secretary Kennedy, and Administrator Oz for their efforts to improve rural health care for Texans and all Americans.”
The Centers for Medicare & Medicaid Services (CMS) informed the Texas Health and Human Services Commission (HHSC) of the award after Texas submitted its application titled “Rural Texas Strong: Supporting Health and Wellness” in early November.
“We are grateful for the federal government’s investment in increasing access to preventive and lifesaving care for people who live in rural communities across the state,” said HHS Executive Commissioner Cecile Young. “Thanks to the input and partnership of our rural healthcare stakeholders, Texas now has the opportunity for innovative and tailored solutions that will improve health care for current and future generations of Texans.”
The HHSC plans to distribute funds using a competitive process to support projects such as grants aimed at reducing chronic disease through prevention programs, investments in technology to engage patients about their health, deployment of artificial intelligence and telehealth services, recruitment efforts including career development opportunities for rural healthcare workers, improvements in cybersecurity protections, and upgrades to equipment at rural hospitals and clinics.
Eligible applicants include local governments, rural hospitals, federally qualified health centers serving rural areas, behavioral health providers in rural regions, among others. Applications are expected to open in the spring.
More details about how HHSC supports rural hospitals can be found on its official website.
Governor Abbott leads the executive office for Texas’ state government from Austin’s State Insurance Building. His administration has prioritized economic development, job growth—which has reached record levels—and community initiatives statewide according to information available on the official website. Since being elected in 2014, Abbott’s office has focused on issues such as education enhancement, border security efforts like Operation Lone Star, individual liberties protection, parental empowerment in schooling decisions, child sex trafficking prevention initiatives as well as collaboration with businesses on economic expansions.
