~ In a recent announcement, Governor Greg Abbott revealed that the Texas Health and Human Services Commission (HHSC) will be providing $25 million in grant funding to eligible hospitals serving rural communities. This investment aims to strengthen the rural health system and improve access to essential services for families across the state.

Governor Abbott emphasized the importance of a strong rural health system, stating that it is crucial in ensuring that all Texans receive the necessary care. He expressed his gratitude towards the Texas Legislature and healthcare partners for their dedication to improving healthcare in rural areas.

HHSC Executive Commissioner Stephanie Muth also highlighted the significance of reliable access to healthcare for families in rural communities. She stated that these grants reflect HHSC's commitment to serving Texans regardless of their location. Muth also thanked Governor Abbott and state lawmakers for their leadership and support.

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The Innovation Grant, which will be awarded over three years with a maximum amount of $5 million, aims to support rural hospitals and related public entities in providing essential care to Texans. The focus of this funding is on strengthening financial stability and improving patient outcomes.

Priority will be given to initiatives that target specific groups such as pregnant women or new mothers, children and teens, older adults, and uninsured individuals. Qualified rural hospitals have until May 28th to apply for this grant, with awards being based on a competitive evaluation of their application and supporting documentation.

This grant funding is made possible through the Rural Health Stabilization and Innovation Act passed by the 89th Texas Legislature in 2025. HHSC administers programs aimed at strengthening rural healthcare through this act. For more information on these grants and other related programs, interested parties can visit the HHSC Rural Hospital Finance webpage.

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