In Appalachia: Medicaid Cuts Continued
In August, we convened a group of member and partner funders for a conversation around the anticipated impacts of OBBBA’s enshrinement into law. Particularly as it related to rural hospitals, communities, and systems level impacts, AFN partnered with subject matter experts at National Rural Health Association for a data rich presentation on where the nation, and the region, were at for that moment. Now, we look forward to what comes next. At the request of our members, we are continuing this members only conversation.
Part II: The Rural Transformation Fund and Impacts to this Safeguard
The Rural Health Transformation Fund is a funding mechanism designed to strengthen rural health systems, especially in states with large underserved or medically vulnerable populations. It typically combines public dollars (like Medicaid) with private and philanthropic capital to:
Expand access to care in rural and frontier communities.
Support workforce development by training and retaining local health professionals.
Invest in technology and infrastructure (like telehealth, data systems, and broadband).
Advance community-based models of care that address not just clinical needs but also social drivers of health (transportation, housing, food security).
Medicaid cuts heighten both the urgency and the fragility of rural health transformation. Because the Fund is braided with Medicaid dollars, reductions shrink the pool of resources available for innovation and sustainability. Cuts also threaten the safety net in rural communities that already rely heavily on Medicaid, putting hospitals, clinics, and providers at risk. In this moment, philanthropy’s role becomes even more critical: stepping in with flexible capital, supporting advocacy, and ensuring community-driven solutions don’t lose momentum. By aligning with the Fund, philanthropy can help stabilize essential services today while continuing to invest in long-term transformation.
*After registering, you will receive a confirmation email containing information about joining this meeting, and an invite to join Part III and Part IV.
To Learn more about Part III and Part IV, click the links. Information about Part I is located on our blog, here.
Questions? Please contact jess@appalachiafunders.org