At a Glance
- $1.4B grant to Texas for rural health over five years
- Texas has 4.3 million rural residents and 61 counties without a hospital
- Each rural Texan receives about $329.28 from the fund
- Why it matters: The money could transform healthcare access in the state’s most remote areas
News Of Austin reported Monday that the Centers for Medicare and Medicaid Services (CMS) announced it would send Texas $1.4 billion over the next five years to innovate and expand access to rural health care.
CMS Grants $1.4B to Texas for Rural Health
The funding is part of a $50 billion pool created by the One Big Beautiful Bill Act to strengthen rural health care. Dr. Mehmet Oz, the CMS administrator, said on the White House’s official X account:
> “Our hope is we all get healthier in America, and no longer will allow our zip code to dictate our life expectancy.”
All 50 states applied for the funds, and Texas received the largest share. The money will be handled by Texas Health and Human Services. A spokesperson for the agency said local governments, rural hospitals and other qualified applicants can begin applying for funding starting this spring. The first phase of the federal grant will be distributed by the end of fiscal year 2026.
Key Facts
- Total grant: $1.4 billion
- Rural population: 4.3 million
- Per-capita allocation: $329.28
- Counties without hospitals: 61
Local Leaders Call for Innovation
Terry Scoggin, former CEO of Titus Regional Medical Center, said the main problem is lack of access. He added:
> “We can’t take this $1.4 billion and five years from now, we’re no better off than we are.”
Scoggin believes the first step for local counties is fortifying infrastructure for rural hospitals:
- Generators
- CT scanners
- Proper equipment in emergency departments for trauma and heart attacks
He is happy that Texas HHSC will dole out the money to local governments and rural hospitals because they know what they need.
Over the past 15 years, more than 20 rural Texas hospitals have closed due to financial issues. This year, the Texas legislature passed a bill creating a grant program to provide some financial stability to these hospitals.
Key Takeaways
- Texas receives the largest share of the rural health fund.
- The grant could provide critical infrastructure to 61 counties lacking hospitals.
- Local leaders emphasize that innovation, not just money, is needed to improve outcomes.
The CMS grant marks a significant investment in Texas’s rural health infrastructure, aiming to bring better care to underserved communities.
