07/23/2026 | Press release | Distributed by Public on 07/23/2026 12:12
Harrisburg, PA - The Pennsylvania Department of Human Services (PA DHS) today announced the first qualified projects to receive $42 million in funding as part of Pennsylvania's $193 million Rural Health Transformation Plan (RHTP). Sixty-six projects were authorized to support renovations, make structural improvements, purchase equipment, and secure supplies for qualified entities like hospitals, health care providers, and rural health facilities.
"Pennsylvania's RHTP was built to be nimble and responsive to local needs. As we scale up the overall regional structure, this first round of authorized projects show how hospitals and providers will be able to use this funding to assist where support is most needed," said Human Services Secretary Dr. Val Arkoosh. "These projects will make a tangible difference in access to and quality of care available in rural communities. We are excited to see this work come to fruition, and for the opportunities still ahead."
Up to $1 million was available per project and will allow selected hospitals and health care providers to purchase or upgrade emergency and non-emergency medical transportation, expand access to behavioral and maternal health care, purchase medical technology necessary for essential screenings and services, and make critical structural repairs. Distribution is pending approval of selected projects by the Centers for Medicare and Medicaid Services (CMS). A full list of selected projects and information about projects is available on PA DHS' website here.
Pennsylvania was awarded $193 million in federal funding for the first year of its approved five-year RHTP. Year One of the grant will primarily focus on rapid response program payments, while the majority of the plan is built around regional oversight and recommendations for funding. Additional funding opportunities will be announced in the near future. More information about upcoming rapid response funding opportunities is available here.
The Shapiro Administration's RHTP was informed by extensive feedback and the priorities of stakeholders across rural Pennsylvania. Pennsylvania's Departments of Human Services and Health, along with Aging, Insurance, and Drug and Alcohol Programs worked collaboratively with rural stakeholders, community and educational leaders, County Commissioners, and the Pennsylvania General Assembly for more than two years, hosting listening sessions, regional rural health summits, and, most recently, open feedback opportunities specific to the RHTP.
Based on the feedback received, the Shapiro Administration drafted a federally approved, comprehensive plan in line with the Centers for Medicare and Medicaid Services' primary goals. The Commonwealth's RHTP initiatives focus on:
RHTP funding comes from the Rural Health Transformation Fund, which was established by the federal budget reconciliation bill last summer. The law included a five-year, $50 billion nationwide grant designed to support rural health. Under federal law, RHTP funds cannot replace existing federal dollars that may be cut or lost due to other program changes.
Funding was allocated by the United States Department of Health and Human Services (HHS) based on rules established by Congress dictating that half of the funding per year will be distributed to each approved applicant state with opportunities to receive additional funding based on state characteristics including rural population, land area, amount of uncompensated care, and the grant submission itself, to be awarded at discretion of the HHS leadership. Unspent funds from states and territories will be reallocated back into the program, so there will be opportunities to pursue additional funding based on program and initiative performance.
For more information on the RHTP and rural health initiatives in Pennsylvania, visit https://www.dhs.pa.gov/ruralhealth.
This project is supported by the Centers for Medicare & Medicaid Services (CMS) of the U.S. Department of Health and Human Services (HHS) as part of a financial assistance award totaling $193,294,053.98, pending approval of revised budget, with 100 percent funded by CMS/HHS. The contents are those of the author(s) and do not necessarily represent the official views of, nor an endorsement, by CMS/HHS, or the U.S. Government.