Texas – Governor Greg Abbott announced that the Texas Health and Human Services Commission is making $99 million in federal funding available to support rural hospitals across Texas as part of the Rural Texas Strong initiative.
Officials said the funding is part of the “Next Generation of the Small Town Doctor and Team” program, which is designed to help rural health care providers recruit and retain medical workers in underserved communities.
According to state officials, the initiative will provide grants that can be used for workforce development programs, including scholarships for students pursuing health care careers, relocation or signing bonuses for providers, and the creation of new residency training programs in partnership with academic institutions.
Governor Abbott said accessible care for Texans is essential to the state’s long-term success, adding that the funding will help rural hospitals strengthen their workforce and ensure continued access to health services.
Stephanie Muth, Executive Commissioner of the Texas Health and Human Services Commission, said the investment supports doctors, nurses, and care teams serving rural communities every day.
Licensed rural health care providers will be eligible to apply for funding through a competitive process, with applications due by May 27.
Officials noted that the $99 million announcement represents a portion of a larger $281 million first-year federal award from the Centers for Medicare & Medicaid Services Rural Health Transformation Program. The broader initiative is expected to provide Texas with approximately $1.4 billion over five years, fully funded through federal resources.












