Rural Health Transformation Program awards announced—Here’s who’s getting the most in FY2026

Fierce Healthcare – Monday, December 29, 2025
By Dave Muoio

Texas and Alaska will receive the largest amount of funding from the $50 billion Rural Health Transformation Program in fiscal year 2026, while New Jersey and Connecticut will see the least, the Centers for Medicare & Medicaid Services (CMS) announced Monday.

All 50 states had submitted applications to the federal government in November outlining plans to improve rural healthcare with their share of funds from the five-year program, which was authorized this summer under the One Big Beautiful Bill Act (OBBBA).

Under the statute, half of the $10 billion-per-year distribution is split between the states evenly. The remaining half is determined by the CMS based on how well the states’ pitches met goals of strengthening rural health prevention, standing up sustainable access, developing a rural workforce and introducing innovative care delivery and technology.

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