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CMS awards $10 billion in second year of rural health grants
Indiana Capital Chronicle, reprinting Stateline, said federal officials on Monday announced $10 billion across all 50 states in year two of the Rural Health Transformation Fund.
Federal officials on Monday announced $10 billion in awards to all 50 states for the second year of the Rural Health Transformation Fund, Indiana Capital Chronicle reported, citing a Stateline account1.
The five-year program provides $50 billion, with $10 billion a year through 2030, the report said1.
Texas received the largest fiscal 2027 grant, almost $282 million, followed by Alaska, Montana, California and Oklahoma1.
Half of each year’s money is split equally, $100 million in baseline funds per state, with the rest based on rural population, facilities and applications1.
Congress created the fund after Medicaid cuts in last year’s tax-and-spending law; KFF has estimated rural areas could lose about $137 billion, the report said1.
CMS Administrator Mehmet Oz said states had already put first-year resources to work1.
Rural health leaders have said the grants will not fully offset Medicaid cuts, and Democrats who won midterm majorities aim to repeal the underlying law, which would still require the president’s signature1.