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KDHE outlines rural health transformation grants; 17 awardees represent roughly $29M in year‑one awards

Kansas State Finance Council · June 4, 2026
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Summary

The Kansas Department of Health and Environment briefed the council on a multi‑initiative rural health transformation program (in response to the cited House bill in materials), noting year‑one appropriations and awards across capital, emergency conversion and partnership grants and that the state has begun disbursing funds to geographically diverse awardees.

The Kansas Department of Health and Environment presented a report on the state’s Rural Health Transformation Program and the council received the update; no council action was required.

Secretary Stanek said the program was developed to align with CMS guidance and to optimize resources for rural Kansas. She described five program initiatives, reviewed procurement and award strategies, and noted that year‑one appropriations and reallocations were used to meet the volume of high‑quality applicants. "In year 1, we appropriated $15,000,000, and reallocated 30,000,000 to accommodate the volume of high quality applicants... The 2nd award was $50,000,000 for regional partnerships grant program," Stanek said.

Stanek said 17 awardees represent about $29,000,000 in awards (year 1), covering diverse geographies and provider types; materials in the packet include an appendix with award lists and a map showing distribution. Senator Billinger asked how many hospitals applied but did not receive funding; Stanek said not all applicants were hospitals and that she would follow up with the exact number.

Chair thanked the secretary for the rapid work and national recognition Kansas received for its grant submissions and implementation. The council noted no further action was required and adjourned.