USDA to Invest $110M in Grants to Improve Health Care for Rural People

U.S. Department of Agriculture (USDA) Rural Development Under Secretary Xochitl Torres Small yesterday announced that USDA is awarding $110 million in grants to improve health care facilities in rural towns across the Nation. These grants will help 208 rural health care organizations expand critical services for nearly 5 million people in 43 states and Guam.

“Access to modern and sustainable health care infrastructure is critical to the health, well-being and prosperity for the millions of people who live in rural and Tribal communities,” Torres Small said.

“That’s why the Biden-Harris Administration remains committed to making sure that people who need it most, no matter where they live, have access to high-quality and reliable health care services like urgent care, primary care and dental care. Through the Emergency Rural Health Care Grants I am announcing today, USDA is being a strong partner to people in 43 states and Guam.”

The investments will help build, renovate and equip health care facilities like hospitals and clinics in rural areas. They also include more than $9 million for 12 rural health care organizations to help 187,000 people living in energy communities, which are areas with high concentrations of coal-dependent jobs. This funding will help communities that are vital to our country’s energy production as the nation transitions to a clean-energy economy.

The USDA is making this Emergency Rural Health Care Grants Program funding available through the American Rescue Plan Act.

The investments will be used for projects such as those to help rural hospitals and health care providers implement telehealth and nutrition assistance programs, increase staffing to administer COVID-19 vaccines and testing, build or renovate facilities and purchase medical supplies. They will also help regional partnerships, public bodies, nonprofits and Tribes solve regional rural health care problems, which will help build a stronger, more sustainable rural health care system in response to the pandemic. For example:

• In New Hampshire, Families Flourish Northeast will use a $1 million grant to renovate a residential treatment center to help address substance-use disorders among mothers. Rates of substance-exposed pregnancies and the severity of maternal substance use have risen in Grafton, Carroll and Coos counties throughout the COVID-19 pandemic. The facility will provide patients with easier access to public transportation, educational and employment opportunities, public school for their children, outpatient treatment and social activities.
• In Minnesota, Kittson Memorial Hospital will use a $51,700 grant to renovate the clinic exam room and the clinic nurse’s station. Funds also will be used to build an isolation room for patients with infectious illnesses or those who are susceptible to infections, keeping them away from other patients, visitors and health care staff.
• In Virginia, Appalachian Sustainable Development in Duffield will use a $467,900 grant to help food pantries expand food distribution services to help people who need it most.

The investments USDA is announcing today will expand health care services in Alabama, Arizona, Arkansas, California, Colorado, Delaware, Florida, Hawaii, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Minnesota, Missouri, Mississippi, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, West Virginia, Wyoming and Guam.

Background: Emergency Rural Health Care Grants

Congress passed the American Rescue Plan Act in March 2021 to deliver immediate economic relief to people impacted by the pandemic. Within months after the Act’s passage, USDA responded quickly by making this funding available to ensure the long-term availability of rural health care services.

In August 2021, USDA made the Emergency Rural Health Care Grants available through the American Rescue Plan Act to help rural health care facilities, tribes and communities expand access to health care services and nutrition assistance.

The assistance is helping provide immediate relief to support rural hospitals, health care clinics and local communities. USDA is administering the funds through Rural Development’s Community Facilities Program.