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Texas Secures $281 Million in Federal Funding for Rural Health Care Expansion

Texas will receive more than $281 million in new federal funding to strengthen and modernize healthcare systems in rural communities, following an allocation announced by U.S. Senator John Cornyn (R).

The funding comes through the Rural Health Transformation (RHT) Program, which was created as part of the Working Families Tax Cuts legislation.

According to Cornyn, the Trump administration has allocated over $281 million to Texas to support rural hospitals, expand access to care, and improve health outcomes for millions of Texans living outside major metropolitan areas.

"I was proud to vote to create the new Rural Health Transformation Program to improve health care for the millions of Texans living in rural areas across the Lone Star state," said Cornyn. "I'm grateful to the Centers for Medicare & Medicaid Services, Dr. Oz, and the Trump administration for allocating Texas this significant funding, which is yet another example of the Working Families tax Cuts benefitting all Texans."

The funding follows advocacy efforts earlier this month by Cornyn and Congressman August Pfluger (R), who led a letter joined by members of the Texas congressional delegation urging Centers for Medicare & Medicaid Services Administrator Dr. Mehmet Oz to prioritize Texas's application.

The RHT program was established under the Working Families Tax Cuts, also known as the One Big Beautiful Bill. The program authorizes $50 billion over five years to strengthen access to health care and modernize rural health systems nationwide.

Texas Govenor Greg Abbott said the investment will have a broad impact across the state's rural communities.

"Rural Texans across the state will benefit from this historic federal investment," said Abbott. "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."

With rural hospitals across the country facing financial pressure and staffing shortages, Texas leaders argue that the RHT funding is a key step toward ensuring long-term access to care for rural residents.

Raeylee Barefield

Raeylee Barefield is a Legislative Correspondent based in Austin, Texas, specializing in state government and public policy. With one year of reporting under her belt, she covers legislative developments, committee hearings, and policy debates. She has been cited by Texas Politics and Big Energy for her coverage and analysis of legislative and regulatory issues. Her reporting typically focuses on Public policy, Stare government, environmental policy, and energy regulation. To contact her, please reach out at Raeylee@dnm.news

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