Glenn Youngkin launches rural health care initiative using Trump tax package funding

Virginia has launched a new rural health care engagement process to improve outcomes for individuals living in rural communities, Republican Gov. Glenn Youngkin announced Wednesday.

President Donald Trump’s “One Big Beautiful Bill Act” (H.R.1) established the Rural Health Transformation Program, a federal federal initiative designed to strengthen health care in rural communities across the nation. Under the program, states will receive $50 billion from 2026 through 2030, with Virginia’s share totaling up to $500 million in direct allocations over the next five years.

“The Rural Health Transformation Program, established by the One Big Beautiful Bill Act, gives Virginia a historic opportunity to expand access to care, support providers, and deliver better outcomes for rural families,” Youngkin said. “We will work closely with local leaders, providers, and federal partners to ensure this investment reflects community priorities and delivers lasting improvements to Virginia’s rural health system.”

Virginia will also receive grants based on rural health needs and capacity, bringing the state’s total compensation under the program to up to $1 billion, funding that will improve health access and increase support for health care workers in rural communities.

Youngkin also issued Executive Directive 12, which directs Virginia agencies to prepare to align the investments with community priorities. Secretary of Health and Human Resources Janet Vestal Kelly formally kicked off the process last week, convening stakeholders to share the state’s strategy for applying for new federal funding.

H.R.1 designates ten key activity areas that are eligible for funding. The state is responsible for identifying the most critical areas of need for rural communities.

Services eligible for funding include chronic disease prevention and management programs, payments to providers for health care services, consumer technology for chronic disease management, and rural care delivery technology such as artificial intelligence and robotics.

Virginia health agencies are required to engage with stakeholders in rural communities to ensure any plans reflect local needs, including proposals to improve rural health care service delivery and access, community perspectives, data or studies, and partnership concepts or solutions to strengthen access and outcomes.




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