OZH, TCMH awarded federal rural health improvement funds

Published 10:00 pm Tuesday, November 3, 2026

By Staff/WPDQ

More than $4.5 million in federal rural healthcare grants will flow into medical facilities in Howell and Texas counties as part of a broader statewide infrastructure initiative announced by federal and state officials.

The local allocations are part of $39.7 million awarded across Missouri through the federal Rural Health Transformation Program (RHTP), designed to help rural medical centers renovate facilities, upgrade diagnostic equipment, and expand maternal, behavioral and primary care services.

Ozarks Healthcare in West Plains received the largest regional allocation at $3,582,525, while Texas County Memorial Hospital in Houston was awarded $989,445.32.

Across Missouri’s 8th Congressional District, which encompasses the region, eight providers received a combined total of nearly $12.6 million. In Reynolds County, the Big Springs Medical Association in Ellington was awarded $247,387. Other district recipients include Phelps County Regional Medical Center and Four Rivers Community Health Center, both in Rolla; Missouri Delta Medical Center in Sikeston; Mercy Hospital Perry in Perryville; and the Gibson Center for Behavioral Change in Cape Girardeau.

Statewide, the $39.7 million distribution will assist 26 healthcare providers. Grant funds are designated for physical and operational upgrades, including private triage areas, new labor and delivery rooms, expanded substance-use and senior mental health services, and diagnostic tools such as MRI, mammography and ultrasound machines.

The program was established under the federal Working Families Tax Cuts Act, federal legislation authored in part by U.S. Rep. Jason Smith, R-Salem, whose district covers south-central and southeast Missouri.

“When a rural hospital shuts down back home, that often means losing half a day on the road for a basic scan, mental health appointment or prenatal checkup,” Smith said, noting that Missouri has seen a dozen rural hospitals close over the past decade.

The latest round of grants contributes to more than $216 million allocated to Missouri through the program, according to federal program data. Federal officials said the initiative is structured to address long-term operational hurdles in rural healthcare delivery rather than short-term emergency subsidies.

Centers for Medicare & Medicaid Services Administrator Dr. Mehmet Oz stated the program focuses on “funding the structural improvements necessary to build stronger, more sustainable rural health systems” across its multiyear implementation window.

Gov. Mike Kehoe noted the state-level priority of keeping essential medical services accessible outside metropolitan corridors.

“Every Missourian deserves access to quality healthcare close to home,” Kehoe said. “These investments will help rural healthcare providers modernize facilities, expand maternal and behavioral health services and strengthen access to critical care across our state.”

In addition to capital improvements at clinics and hospitals, state officials indicated the broader RHTP initiative will target workforce development programs, clinical training pipelines, shared data infrastructure and mobile health services throughout rural Missouri.