Texas Governor Greg Abbott announced that the Texas Health and Human Services Commission (HHSC) has submitted an application to the Centers for Medicare & Medicaid Services (CMS) to seek federal funding aimed at improving rural health care across the state. This action is part of the Rural Health Transformation Program, created under the One Big Beautiful Bill Act signed by President Donald J. Trump, which allocates $50 billion in federal funds over five years for approved states. To access these funds, states are required to submit a one-time application to CMS.
“Rural health care is critical for the continued health and well-being of Texans across our great state,” said Governor Abbott. “To keep Texas thriving, we must strengthen our rural hospitals, expand access to critical mental and physical health care, and help reduce chronic disease through wellness and nutrition initiatives. Working with our federal partners, we will ensure Texans from every corner of the state have greater access to the quality health care services they need and deserve.”
HHS Executive Commissioner Cecile Erwin Young stated, “HHSC is committed to using this opportunity to modernize rural health care throughout Texas. We look forward to working alongside communities to build a stronger rural health care system for the future.”
The HHSC’s application, titled “Rural Texas Strong: Supporting Health and Wellness,” seeks funding for several strategies designed to improve access in rural areas. These include providing grants focused on prevention, wellness, and nutrition services; investing in technology that helps patients manage their own health; expanding artificial intelligence and telehealth solutions; recruiting and retaining rural healthcare workers through training programs and financial incentives; enhancing cybersecurity measures; and upgrading equipment in rural medical facilities.
In preparation for submitting its application, HHSC collected feedback from more than 300 written public comments through a survey. Staff also held regional meetings with local officials and community leaders around Texas. Additionally, a public comment session hosted by HHSC in October received over 80 oral comments.
CMS plans to inform states about approved funding amounts by December 31. The HHSC will use a competitive process when selecting recipients for these funds within Texas.
More information about the “Rural Texas Strong: Supporting Health and Wellness” application can be found on the HHS website.


