South Dakota Receives Less Than Requested From Rural Health Fund

south Dakota received about $11 million less than what it requested from a new federal rural health fund, and the amount is smaller than the awards for surrounding states.

“These resources will help us modernize rural health care, support the workforce that delivers it, and ensure that all South Dakotans have access to quality care – no matter where they live,” South Dakota Gov. larry Rhoden said in a news release.

The Centers for Medicare and Medicaid announced Monday that all 50 states received funding from the $50 billion Rural Health Conversion Program. Congress included it in the One big Beautiful Bill Act, in response to concerns that the bill’s Medicaid cuts will hurt rural health providers. Medicaid is a federal-state program that provides health insurance for peopel with disabilities or low incomes.

Half of the new program’s funding is predicated on the number of rural residents and rural health facilities in a state, as well as the state’s spending plans and policies, among other factors. The federal agency announced award amounts for 2026.Award amounts can change each year.

South Dakota requested $200 million a year, or $1 billion over five years. The state received about $189 million for 2026.

Some states, including Nebraska, Montana and Iowa, received more funding than requested.

According to the health policy research

Publication Date: 2025/12/30 19:58:48