Starting October 1, 2026, the law gives ADECA up to $203.4 million in federal funds for rural health initiatives and program costs through September 2027.
ADECA receives up to $203.4 million in federal funds for rural health work, including health initiatives and program administration.
Unspent funds remain available for the same purposes. Changing initiative amounts requires written state agreement and federal approval.
The law provides up to $203,404,327 in federal funds to ADECA for the Rural Health Transformation Program. The funds support initiatives in health technology and cybersecurity, rural health, maternal and fetal health, workforce, cancer care, simulation training, emergency services, mental health, and rural health practices. Up to $20,340,432 may pay for program administration, audits, and required reports. The appropriation covers the fiscal year ending September 30, 2027. The law takes effect October 1, 2026.
Unspent funds carry forward for the same purposes, and ADECA may seek to adjust initiative amounts with required approvals. These rules apply to funds appropriated for the program and to proposed changes in amounts for the listed initiatives. Before seeking federal approval to reallocate funds, ADECA’s director must obtain written agreement from a majority of the state finance director, the House Ways and Means General Fund chair, and the Senate Finance and Taxation General Fund chair. If federal approval is changed or withheld, ADECA must follow CMS requirements. Spending must comply with federal rules and funding terms. Funds unspent on September 30, 2027, are reappropriated for the same purposes for the fiscal year beginning October 1, 2027.
No hearings or votes scheduled.