$50 billion to strengthen rural Health Care Systems across the U.S.

The submission window for stakeholder input will remain open until September 16, 2025 at 5:00 PM

Federal Rural Health Transformation Grant Program

On July 4, 2025, the One Big Beautiful Bill Act (OBBBA) was signed into law. The OBBBA establishes a grant opportunity for Medicaid states to improve health care outcomes in rural counties through the Rural Health Transformation Program (RHTP). All states are eligible to participate in the program and more than $50 billion will be distributed nationwide by the Centers for Medicare & Medicaid Services (CMS).

With over 31 rural counties in our State and thirty percent of Florida’s Medicaid population residing in a rural area, this grant presents an opportunity to address historical barriers to care and to implement sustainable strategies that improve outcomes. 

As the state Medicaid agency, and in anticipation of submitting an application for funding, the Agency for Health Care Administration (Agency) is seeking input from stakeholders in preparation of its submission. At a minimum, states awarded funding can anticipate receiving about $100 million in the first year of the program, and over $500 million over the 5 years of the program. Information obtained through this process will be used to help develop the State’s approach.

The Agency is requesting ideas in the following three areas of focus:

• Development of new health care delivery strategies, including alternative payment models that enhance access to care and address gaps (e.g., mobile health care delivery, value-based payment strategies, etc.);

• Adoption of technology solutions that promote and advance the delivery of care in rural areas, including solutions that prevent and/ or manage chronic diseases (e.g., remote patient monitoring, telehealth, hospital at home, etc.);

• Strategies for recruiting and retaining a clinical workforce to serve in a rural community for at least five years.

About the Author

Ask Medicaid Florida is a trusted independent author focused on simplifying Medicaid news, policy updates, and healthcare resources for Florida residents. With a mission to make complex Medicaid issues understandable, Ask Medicaid Florida provides clear, factual, and timely insights that help readers stay informed and empowered. "You are valued, thank you for visiting our website".

Disclaimer

The content on the Ask Medicaid Florida (AMF's) website is for informational purposes only and does not constitute advice for your Healthcare decisions or any other type of advice. All content, materials, and resources made available are solely for educational purposes and should not be relied upon for making Healthcare decisions. Ask Medicaid Florida (AMF) makes no claims to be associated with any state agencies including Medicaid of Florida

 The application can be found here: https://apps.ahca.myflorida.com/flrhtp

QUESTIONS? FLMedicaidManagedCare@ahca.myflorida.com

COMPLAINTS ONLINE ahca.myflorida.com/Medicaid/complaints/ | CALL 1-877-254-1055

The Agency for Health Care Administration is committed to its mission of providing "Better Health Care for All Floridians." The Agency administers Florida’s Medicaid program, licenses and regulates more than 48,000 health care facilities and 47 health maintenance organizations, and publishes health care data and statistics at FloridaHealthFinder.gov. Additional information about Agency initiatives is available via Facebook (AHCAFlorida) and Twitter (@AHCA_FL)