Sen. Moran Applauds $222 Million for Kansas Rural Hospitals from First Year of CMS Rural Health Transformation Program

WASHINGTON - U.S. Senator Jerry Moran (R-Kan.) today applauded the Centers for Medicare and Medicaid Services (CMS) announcement that Kansas will receive $222 million for the first year of the Rural Health Transformation (RHT) Program. This allotment will be awarded for 2026, the first year of the five-year program. The RHT was created in the Reconciliation Bill to direct CMS to work with states to identify the root challenges facing rural health providers and invest in solutions to improve outcomes for struggling providers.

"The Rural Health Transformation Program is a significant investment in rural health care and will help improve outcomes for struggling hospitals, invest in new technology and bolster rural communities," said Sen. Moran. "I worked with my colleagues to establish this fund, and these resources will now be tailored to meet the individual needs of rural health care in each state with no match required by the state. I look forward to working with our health care leaders and state leaders to make certain Kansas providers are able to use these resources to improve the long-term success of rural providers."

Sen. Moran helped establish the rural provider fund as a part of the Reconciliation Bill, which was signed into law by the President on July 4. On July 3, Sen. Moran joined a town hall with more than 100 Kansas hospital leaders to outline changes made in the Reconciliation Bill for rural hospitals specifically, highlighting the Rural Health Transformation Program.

Items to note:

• Funds from the RHT program will be allocated to approved states over five years, with $10 billion available each year from Fiscal Year 2026 through Fiscal Year 2030.
• • Kansas will receive one of the highest amounts from the RHT program, exceeded by only five other states.
  • The funding requires no state match; it is a federal-only investment aimed at helping to improve outcomes for struggling healthcare providers.
  • This is a one-time application with no renewal required, making certain states and providers have access to the funding over the next five years without needing to reapply.
• In collaboration with CMS, states submitted detailed rural health transformation plans for improving access to care. CMS will monitor implementation in order to make certain resources are being targeted to best support struggling providers and improve health outcomes in rural communities.

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