Rural Health Funding Program Received Applications from Every State: CMS
Rural Health Funding Program Received Applications from Every State: CMS
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Rural Health Funding Program Received Applications from Every State: CMS

Lauren Giella 🕒︎ 2025-11-06

Copyright newsweek

Rural Health Funding Program Received Applications from Every State: CMS

All 50 states across the U.S. submitted applications to the $50 billion Rural Health Transformation Program, according to the Centers for Medicare & Medicaid Services (CMS). The application process opened on September 15 and ended Wednesday. Per CMS, the application needed to outline how states would expand access, enhance quality and improve outcomes for patients through “sustainable, state-driven innovation.” Many of the plans outline how states would use the CMS funds to support health care workers through education and retention efforts, improve access by bolstering telehealth capabilities and provide better specialized care. Some governors have also signed their own bills to support rural health care Why It Matters In September, CMS announced the Rural Health Transformation Program, which was authorized by the One Big Beautiful Bill and aims to improve health care access, quality and outcomes by transforming the health care delivery system in rural communities across America. The program allocates $50 billion to approved states over five years, starting in 2026. Half of the funding will be distributed equally to all approved states and the other half will be allocated by CMS based on factors like rural population and the proportion of rural health facilities in the state. CMS Administrator Dr. Mehmet Oz said in a statement Wednesday that seeing all 50 states come forward to reimagine the future of rural health is “an extraordinary moment.” “This program moves us from a system that has too often failed rural America to one built on dignity, prevention and sustainability,” he said. “Every state with an approved application will receive funding so it can design what works best for its communities—and CMS will be there providing support every step of the way.” What To Know All 50 states submitted applications. Below is a summary of what some of these plans aim to accomplish and what state leaders are saying about the importance of obtaining these funds for rural communities. Alabama’s plan includes 11 initiatives that will make rural health care facilities more financially viable, increase access to critical health care services and improve quality of care and patient health outcomes. This includes upscaling the workforce, enhancing communication and collaboration and adopting telehealth and other modern technologies. “My team left no stone unturned as it gathered information to submit our plan,” Governor Kay Ivey said. “It is a thoughtful, strategic plan that must be coupled with state policy changes to maximize effectiveness. Once implemented, the initiatives and policy changes will make meaningful improvements to health care in rural Alabama. They will help fulfil President Trump’s goal to Make America Healthy Again, and I have no doubt they will help Alabamians become healthier.” Governor Katie Hobbs submitted her state’s application with a bipartisan letter for support. The plan would see a $57 million a year investment in the rural health care workforce to increase residencies, subsidize health education and fund retention initiatives to upskill and train health professionals working in Arizona. The plan also calls for a $45 million investment in improving access to health care, including telehealth, co-location services and mobile clinics and $27 million a year for health initiatives focused on behavioral health and substance use disorders, maternal-fetal health and chronic illness prevention and treatment. Arkansas Governor Sarah Huckabee Sanders said improving the health and well-being of all Arkansans is a top priority for her administration and that the CMS funding will not only help increase access to care but will also reduce inefficiencies throughout the health care system, which she said ultimately benefits Arkansans in smaller communities across the state. Florida’s Agency for Health Care Administration Secretary Shevaun Harris submitted the state’s application, which was built on three core principles: workforce development, advancing technological infrastructure and innovation, and increasing access to care. Harris said Florida’s application reflects what her officer has heard directly from providers, stakeholders and rural communities about the challenges they face and the solutions they need. “We are laser-focused on creating a lasting impact by strengthening our workforce, driving innovation, and expanding access to care,” she said. “This plan is designed to ensure that rural families across Florida can count on a health system that is sustainable, responsive, and built around their needs.” The proposal included initiatives to improve nutrition and physical activity and reduce preventable emergency department visits. In Iowa’s plan, titled Healt...

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