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Gov. Little Announces Awardees of Year 1 Rural Health Transformation Program Funds

(Photo Credit: Karyn Simmons)

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(Governor’s Office Press Release, October 28, 2026)

Boise, Idaho – Governor Brad Little announced today the State of Idaho completed the awards for $186 million in Year 1 grant funding for the Rural Health Transformation Program (RHTP), aimed at strengthening and modernizing healthcare in rural communities.

Year 1 awards were distributed in alignment with Idaho’s plan, which focused on five core initiatives:

  1. Improving rural access to care through technology
  2. Expanding innovative care models
  3. Strengthening workforce recruitment, training, and retention
  4. Supporting population-specific, evidence-based prevention and chronic disease efforts
  5. Investing in rural health infrastructure and partnerships

The list of awardees can be found at this link: https://healthandwelfare.idaho.gov/providers/rural-health-transformation-program-grant/funding-opportunities-rural-health

These awards will provide far-reaching benefits to Idaho citizens through hospital networks, shared infrastructure, regional programs, and mobile services.

The funds are part of close to $1 billion over five years awarded to Idaho by the Centers for Medicare and Medicaid Services to improve rural healthcare. The funds come from H.R. 1 The Working Families Tax Cuts Act.

Nearly all of Idaho’s counties are considered rural, and many communities face challenges related to access, workforce shortages, financial sustainability, and distance from care. The funding is intended to address those challenges through system-wide improvements and long-term investments.

Idaho’s application was submitted by the Idaho Department of Health and Welfare (DHW) in consultation with the Idaho Rural Health Taskforce, which Governor Little created through executive order in 2025. The task force included legislative leaders, tribal representatives, and executive branch officials. The department also gathered extensive public and stakeholder input through a statewide survey, with 500 responses representing every county. In addition, the Legislature’s Rural Health Transformation Committee worked alongside the executive branch to determine distribution of funds.

“For many Idaho families – especially in rural areas – affordable, accessible health care is a real concern. This investment recognizes those challenges and puts resources where they’re needed most. It helps strengthen local health care and ensures Idahoans can get the affordable care they need, no matter where they live,” Governor Little said.

“The Trump Administration’s Rural Health Transformation Program is based on one simple idea: your access to quality health care shouldn’t depend on your ZIP code,” said Centers for Medicare & Medicaid Services Administrator Dr. Mehmet Oz. “Funding new approaches to strengthen local healthcare capacity and expand access to care is an important step toward achieving that vision for rural Idaho and I look forward to seeing RHTP dollars support equally transformative innovations for rural communities nationwide.”

“Rural Idaho knows its health care needs better than anyone. This funding gives our communities the opportunity to strengthen local hospitals, recruit and keep health care professionals, and invest in practical solutions that will make a difference for years to come. I’m proud of the work that brought us to this point, and I’m excited to see these investments improve care for Idaho families across our state,” said Senator Julie VanOrden, co-chair of the Idaho Rural Health Task Force.

“The Rural Health Transformation program funds present a unique opportunity to embrace technology and innovative care models so we can overcome distance, connect patients with providers, and find new ways to deliver care in our rural communities. Together, we are building lasting solutions that improve access and strengthen health care for Idaho families for years to come,” said Representative Jordan Redman, co-chair of the Idaho Rural Health Task Force.

“This funding gives Idaho the flexibility to pursue solutions that are shaped by rural communities themselves. By listening to providers, patients, and local leaders, the state can make targeted investments that support sustainable, high-quality care closer to home,” DHW Director Juliet Charron said.

EXAMPLES OF HOW THE FUNDING WILL BE USED IN YEAR 1

  1. A statewide mobile hearing clinic could bring specialized pediatric services closer to families in rural communities across the state.
  1. More than $5.8 million is going to Bonner General Health in Sandpoint to strengthen local healthcare.
  1. More than $4.8 million will support healthcare improvements at St. Mary’s in Cottonwood.
  1. $6.6 million will support modernization at Benewah Community Hospital in St. Maries.
  1. A $1.53 million mobile dental clinic can bring dental care closer to rural communities.
  1. A $200,000 investment will expand behavioral health prevention and early-intervention services across Southwest Idaho.
  1. A $461,680 investment will build a regional mobile healthcare system with the potential to expand across Southwest Idaho.
  1. A $2.26 million mobile clinic will bring more preventive and diagnostic care into rural eastern Idaho.
  1. A $1.24 million investment could make treatment for opioid use disorder easier to reach in Bonneville and Twin Falls counties.
  1. A $1.59 million mobile screening program will bring cancer and heart-health screening closer to rural communities.

Governor Little looks forward to continuing to work with CMS and the Idaho Legislature to further the state’s investment in rural healthcare in Year 2 of the Rural Health Care Transformation Program.

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