Texas Rural Hospitals Receive $51 Million Through Federal Health Program

Sixty-eight rural hospital districts and authorities in Texas will receive $51 million through the Rural Health Transformation Program to expand prevention, wellness, and nutrition programs and address chronic diseases.

Where will the funding go?

The Centers for Medicare & Medicaid Services announced $51 million for 68 rural hospital districts and authorities across Texas as part of the "Make Rural Texans Healthy Again" initiative. The funding comes through the federal Rural Health Transformation Program, which was established under the Working Families Tax Cuts Act.

The funding will support community-based programs focused on preventing and managing conditions including diabetes, cardiovascular disease, chronic respiratory disease, and obesity.

The RHTP was established to strengthen rural health care and modernize rural health systems. The program provides $50 billion nationally over five years. Texas previously received $281.3 million through the program for fiscal year 2026.

The broader Texas strategy also includes investments in telehealth and digital health, workforce recruitment and retention, and modernization of rural health infrastructure.

What is Cornyn saying?

Senator John Cornyn (R), who championed the RHTP, said the funding will help expand access to care and support Texans managing chronic conditions.

Sen. John Cornyn: "The Working Families Tax Cuts Act made the single largest investment in rural health care in more than two decades."

Sen. Cornyn continued: "I was proud to support this once-in-a-generation law that established the Rural Health Transformation Program, and I look forward to seeking these resources to expand access to care, improve health outcomes, and better support folks with chronic conditions across the Lone Star State."

The Bottom Line

The $51 million allocation gives 68 Texas rural hospital districts and authorities funding for prevention, wellness, and nutrition initiatives while supporting the state's broader effort to strengthen rural health care.