MONTGOMERY, AL — Governor Kay Ivey announced Monday that Alabama has officially received its award number from the Centers for Medicare & Medicaid Services (CMS) for the federal Rural Health Transformation Program (RHTP), formally approving the state’s plan and unlocking $203,404,327 in first-year funding.
The five-year program is designed to improve healthcare access, quality, and outcomes across Alabama, particularly in rural communities. Administration of the program will be handled by the Alabama Department of Economic and Community Affairs (ADECA).
Governor Ivey said the state began preparing for the program shortly after the legislation authorizing RHTP was signed into law in July by Donald Trump. State agencies were directed to develop a comprehensive rural health strategy to ensure Alabama would be ready once CMS approval was granted.
According to Ivey, the approval allows the state to move forward with implementation efforts intended to benefit Alabama communities over the long term.
ADECA Director Kenneth Boswell said the agency appreciates the confidence placed in it to administer the program and emphasized its importance to residents statewide.
In November, Governor Ivey announced Alabama’s plan had been submitted to CMS for review. In December, she signed an executive order creating the Alabama Rural Health Transformation Advisory Group, which will advise on implementation, policy development, and oversight.
Initiatives Included in Alabama’s RHTP Plan
The approved plan consists of 11 initiatives:
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Collaborative Electronic Health Record (EHR), IT and Cybersecurity Initiative
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Rural Health Initiative
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Maternal and Fetal Health Initiative
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Rural Workforce Initiative
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Cancer Digital Regionalization Initiative
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Simulation Training Initiative
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Statewide EMS Trauma and Stroke Initiative
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EMS Treat-In-Place Initiative
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Mental Health Initiative
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Community Medicine Initiative
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Rural Health Practice Initiative
The strategy was developed through collaboration among the Governor’s Office, ADECA, the Alabama Department of Finance, the Alabama Medicaid Agency, and the Alabama State Health Planning and Development Agency, along with healthcare experts, stakeholders, and lawmakers.
ADECA has launched a webpage dedicated to the Rural Health Transformation Program and will update it as additional information becomes available.











