Governor Abbott announces new round of funding to help rural hospitals continue providing essential care

Austin, Texas – Texas is making a significant move to support healthcare access in rural areas with a new wave of funding aimed at sustaining and strengthening small hospitals across the state. Governor Greg Abbott announced that the Texas Health and Human Services Commission (HHSC) is distributing $6.25 million in grant funding to eligible hospitals that serve rural communities.
Supporting Vital Healthcare Services Across Rural Texas
“Rural healthcare is critical for the continued health and well-being of Texans across our great state,” said Governor Abbott. “This $6.25 million in grant funding will provide qualifying hospitals with the financial support they need to keep serving Texans in rural communities. I thank the Texas Health and Human Services Commission for their hard work to help rural hospitals across Texas increase access to care and address the unique rural health challenges. A stronger rural Texas means a stronger, more resilient future for all Texans.”
The grant funding is part of the Texas Rural Hospital Debt Reduction Grants, a program designed to help rural hospitals remain operational and financially stable. The HHSC will award up to 25 grants, each valued at $250,000, to hospitals that meet the qualifications outlined in the state’s Rural Hospital Services Strategic Plan.
Helping Hospitals Stay Afloat
The funding is meant to address ongoing financial challenges that rural healthcare facilities often face. Executive Commissioner Cecile Erwin Young echoed the importance of this initiative, saying, “I thank Governor Abbott and state lawmakers for this funding. Rural hospitals are a crucial part of the health care system in Texas, and these grants will help them to continue serving their communities with the best care possible.”
Hospitals that wish to apply for the grant have until April 24 to register and submit the necessary documentation. Awards will be granted based on eligibility and the completeness of the information provided in the application process.
This effort underscores the state’s recognition of the critical role that rural hospitals play and its commitment to ensuring that no community is left without essential health services. For additional information on how to apply or to learn more about rural hospital financial assistance, residents and providers can visit the HHSC Rural Hospital Finance and Coordination webpage.