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California outlines $233.6M rural health transformation plan; CMS requirements narrow use of $50M supports
Summary
HCAI told the subcommittee California won $233.6 million to strengthen rural care through transformative payment models, workforce development and technology; CMS required limits on a $50 million provider payment component, and HCAI must obligate funds by Oct. 30, 2026.
HCAI presented the state’s Rural Health Transformation Program, funded by a federal HR1 award of $233.6 million for the first budget period. Scott Persman said the program centers on three integrated initiatives: transformative care models (hub‑and‑spoke networks, telehealth and care redesign), rural workforce development and technology and digital infrastructure.
Persman said CMS approved California’s revised plan and released $183.6 million…
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