NRHA Statement on the President’s FY 2027 Budget Request

On April 3, 2026, President Trump released his Fiscal Year (FY) 2027 Budget Request. The budget request calls for defunding longstanding, proven, and bipartisan rural health programs and reorganizing the Department of Health and Human Services (HHS). The FY 2027 President’s budget calls for a $15.8 billion, or 12.5%, decrease in funding for HHS from the enacted FY 2026 level. This includes a $102 million decrease in funding for Federal Office of Rural Health Program (FORHP) programs and the elimination of core programs including the Medicare Rural Hospital Flexibility Program (Flex), the State Offices of Rural Health (SORH), the Rural Hospital Stabilization Program, and the Rural Hospital Provider Assistance Program. 

NRHA is deeply concerned by the proposed eliminations of core rural health programs in the President’s FY 2027 Budget Request. These programs help increase healthcare access in rural communities, strengthen health networks, and focus on quality-of-care improvements for Critical Access Hospitals, small rural hospitals, and Rural Emergency Hospitals.   

To support rural communities, the budget provides $316 million for grant programs and technical assistance at FORHP. This investment, while critical, is not sufficient to meet the health care needs of rural communities, nor can it offset the widespread damage that would result from eliminating foundational rural health programs like the SORH and Flex programs.  

In FY 2026, Congress invested in Flex, SORH, and the Rural Hospital Stabilization Program at funding levels that were higher than FY 2025. Additionally, Congress created the Rural Hospital Provider Assistance Program in the FY 2026 appropriations package to support rural provider recruitment. NRHA stands ready to work with Congress to ensure that the final FY 2027 appropriations package fully funds the rural health safety net, reflects the needs of rural communities, and protects access to high-quality, affordable care for all.  

Please see NRHA’s FY27 Appropriations Requests for more information. Additionally, please utilize NRHA’s 'Urge Congress to Invest in Rural Health' advocacy campaign to educate Congress on the importance of rural health programs. Please contact Alexa McKinley Abel, NRHA Government Affairs and Policy Director, for questions or concerns at amckinley@ruralhealth.us.