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Independent health news for Oregon and SW Washington

Rural health care grant program launched with nearly $200 million to be distributed this year

The Oregon Health Authority will host a webinar Tuesday for organizations with rural health care projects that are nearly ready to go
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Baker County in eastern Oregon. | IAN POELLET/CC BY-SA 3.0/WIKIMEDIA COMMONS
April 13, 2026

Oregon health officials have announced the recipients of $6.5 million in federal grants for rural health care projects and plan to award another $80 million by July as part of a multiyear effort to improve health care and technology access in rural areas.

The Oregon Health Authority has picked 12 projects with the first tranche of federal money approved by Congress last year for rural health care, and the agency will hold a webinar mid-day Tuesday for people interested in applying for the second tranche.

The grants are part of the Rural Health Transformation Program approved by Congress last year as part of House Resolution 1, a federal tax-and-spending bill that will cut about $15 billion in federal funding for Oregon food and health care programs for lower-income people. At the same time, Congress approved $50 billion for rural health care nationwide over the next four years, with Oregon receiving up to $1 billion in all.

The program was adopted to address hospitals’ concerns that H.R. 1’s Medicaid cuts would significantly reduce their revenue and force some rural facilities to curtail services or shut down entirely.

The health authority, which is overseeing the grants in Oregon, plans to award money to projects designed to improve health care access, help with chronic disease management and prevention, boost the health care workforce and expand the use of technology in rural and “frontier” communities.

The program in Oregon will be divided into two phases. The first grants, distributed this year and next, will go to projects that are ready to go as well as to organizations to help them build partnerships. During the second phase, from 2028 to 2030, the health authority will award bigger grants for longer term projects aimed at improving the health care system in rural Oregon.

This year, the state will receive nearly $200 million, the health authority said in a news release. The first $6.5 million — Immediate Impact Awards — will go toward a range of projects, from training on chronic disease management and adverse childhood events to initiatives involving nursing programs, emergency medicine and obstetrics.

“These projects show what’s possible when rural communities lead, and OHA is committed to helping them turn homegrown solutions into lasting impact,” Dr. Sejal Hathi, Oregon Health Authority director, said in a statement.

The next $80 million to be awarded this year will be given to projects that are ready to launch within two months and cover at least one of these areas: maternal and child health, co-occurring behavioral health conditions, aging in place and chronic disease. The grants will span two years, with a second $80 million distributed next year. Organizations can sign up online for Tuesday’s 1 - 2 p.m. webinar and will need to apply by May 26. The agency will approve up to 80 projects, and the money will be distributed in July, it said.

Tribes, hospitals will benefit

The nearly $200 million that will go out this year will include nearly $22 million for Oregon’s nine federally recognized tribes. That money will be used to improve health outcomes and access in rural and remote areas.

The state will also distribute more than $50 million to hospitals, clinics and local health authorities as part of the rural health program. 

This money includes grants of:

  • $35 million for rural hospitals, with 35 in the state.
  • $10 million for rural health clinics, with 100 certified in the state.
  • $5 million for local public health authorities. The state has 33 local health authorities, mostly county health departments, and all could qualify for funding.

The health authority has not yet determined any exact award amounts. It said in its release it will nail down the details for the initial $6.5 million in awards by May. 

“These early projects will help Oregon’s Rural Health Transformation Program succeed in its first year, building a solid foundation upon which we can meaningfully improve rural healthcare access for years to come,” Clare Pierce-Wrobel, the authority’s policy and analytics director, said in a statement. 

The 12 projects approved are: 

  • Community health worker visits for seniors backed by the Columbia Gorge Health Council.
  • The distribution of naloxone, overdose prevention medication, in rural areas by Alano Club of Portland, Comagine Health and the health authority.
  • Chronic disease management training for community health workers and caregivers coordinated by the Oregon Rural Practice-based Network based at Oregon Health & Science University.
  • Remote training for health care providers on adverse childhood events by the OHSU-based rural network.
  • An initiative on brain health and dementia led by Portland State University.;
  • A school nursing pilot backed by the Oregon School Nurses Association in north, central and southern Oregon and Wallowa County education service districts.
  • A mobile obstetrics simulation unit sponsored by the Oregon Perinatal Collaborative, a multi-partner group that works with providers, community members and state officials to improve perinatal care.
  • Emergency medical services simulations led by Healthcare Safety Solutions, a group focused on improving rural health care.
  • An obstetric addiction advice line backed by OHSU for clinicians 24 hours a day and seven days a week.
  • A mental health and addiction prevention initiative sponsored by the Alcohol and Drug Policy Commission along with Mosaic Community Health, a safety net clinic; Sisters School District; Enterprise Middle/High School; and Grant County Education Service District.
  • An expansion of nursing home visits by Family Connects Oregon, a public health program managed by the health authority and local officials.
  • A new medical assistant training program for high school students sponsored by the Northwest Regional Education Service District, Clatsop Community College. Seaside School District and Providence Seaside Hospital.

 

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