Rural health transformation program - the state of new mexico health care authority (HCA) is proud to present the state of new mexico's rural health transformation plan

The Centers for Medicare and Medicaid Services awarded a Cooperative Agreement totaling $634,454,222.67 to the New Mexico Health Care Authority on December 29, 2025, under the Rural Health Transformation Program (CFDA 93.798).

The award funds three interconnected initiatives across rural, frontier, and tribal communities in New Mexico through October 30, 2030. Healthy Horizons expands access to care by strengthening specialty care and chronic disease management for high-risk rural populations through regionalized specialty and maternal care networks, provider training, and remote care technologies to improve local capacity and reduce hospital readmissions. Rooted in New Mexico builds and sustains the rural and tribal health workforce by expanding local career pathways, strengthening clinical training pipelines and educational opportunities, and supporting long-term retention through housing, mentorship, and community-based incentives. The Rural Health Innovation Fund launches a competitive grant program empowering rural, frontier, and tribal communities to design and lead locally tailored health solutions.

The New Mexico Health Care Authority, a division of the Department of Human Services, serves as the primary administrator. The award obligates $634,454,222.67 with a period of performance extending to October 30, 2030. As a state entity designated single agency for multiple federal programs, the Authority administers a substantial portfolio of federal grants spanning Medicaid, nutrition assistance, mental health, substance abuse, and rural health initiatives across New Mexico.

Abstract

Strengthen specialty care and chronic disease management for high-risk rural populations by implementing regionalized specialty and maternal care networks, provider training, and remote care technologies to expand access, improve local capacity, and reduce hospital readmissions for rural community members. 2. Rooted in new mexico: building tomorrow's rural health workforce - 5-year budget: $243,166,440 - state goal / CMS goal: expand and sustain rural health care workforce / workforce development - summary: build and sustain a rural and tribal health workforce by expanding local career pathways, strengthening clinical training pipelines and educational opportunities, and supporting long-term retention through housing, mentorship, and community-based incentives. 3. Rural health innovation fund: enabling community-designed, community-led change - 5-year budget: $187,508,220 - state goal / CMS goal: support community-led rural health solutions / make rural america healthy again - summary: launch a competitive grant program that empowers rural, frontier, and tribal communities in new mexico to design and lead locally tailored health initiatives addressing unique challenges such as preventive care, behavioral health, non-medical drivers of health, and provider facility needs. 4. Bridge to resilience: rural health sustainability & innovation center - 5-year budget: $122,644,440 - state goal / CMS goal: stabilize and sustain rural health care providers / sustainable access - summary: establish a rural health sustainability & innovation center to deliver tailored technical assistance, provider education, and operational support that strengthens financial stability, fosters regional partnerships, and equips rural new mexico's providers to navigate long-term challenges and improve care delivery. 5. Rural health data hub: establishing a health analytics platform - 5-year budget: $53,390,620 - state goal / CMS goal: connect community members with health care data / tech innovation - summary: build a statewide health analytics platform that integrates siloed data sources to improve rural health planning, enable predictive insights, and expand transparent access to timely, actionable information for providers, policymakers, and communities.