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The Texas Tribune
The Texas Tribune
National
By Colleen DeGuzman

Texas to receive $281 million in federal funds for rural health care

Texas will be receiving the biggest slice of the federal government’s first rollout of a $50 billion fund created to fortify rural health care across the country. 

On Monday, the Trump administration announced how it plans to allot billions of dollars to states over the course of five years from its federal Rural Health Transformation Program — the fund Congress created earlier this year after approving the One Big Beautiful Bill Act. That legislation, in tandem with creation of the fund, slashed Medicaid funding by an estimated $1 trillion.

States made bids to receive portions of the one-time federal funding and Texas, according to the Centers for Medicare & Medicaid Services, is slated to receive more than $281.3 million for the first year of the program in 2026. That’s around $81 million more than what the state asked for in its application.

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