Adds to existing law to establish the Idaho Rural Health Transformation Fund and the Rural Health Transformation Committee.

LEGISLATURE OF THE STATE OF IDAHO
Sixty-eighth Legislature Second Regular Session - 2026
IN THE HOUSE OF REPRESENTATIVES
HOUSE BILL NO. 862
BY HEALTH AND WELFARE COMMITTEE
AN ACT	1
RELATING TO RURAL HEALTH TRANSFORMATION; AMENDING TITLE 56, IDAHO CODE, BY	2
THE ADDITION OF A NEW CHAPTER 25, TITLE 56, IDAHO CODE, TO ESTABLISH	3
THE IDAHO RURAL HEALTH TRANSFORMATION FUND AND TO ESTABLISH THE RURAL	4
HEALTH TRANSFORMATION COMMITTEE; AND DECLARING AN EMERGENCY.	5
Be It Enacted by the Legislature of the State of Idaho:	6
SECTION 1. That Title 56, Idaho Code, be, and the same is hereby amended	7
by the addition thereto of a NEW CHAPTER, to be known and designated as Chap-	8
ter 25, Title 56, Idaho Code, and to read as follows:	9
CHAPTER 25	10
IDAHO RURAL HEALTH TRANSFORMATION PROGRAM	11
56-2501. IDAHO RURAL HEALTH TRANSFORMATION FUND. (1) There is hereby	12
created and established in the state treasury the Idaho rural health trans-	13
formation fund. The fund shall consist of moneys received by the state of	14
Idaho from the federal rural health transformation program grant. Moneys in	15
the fund shall be used solely for federally approved rural health transfor-	16
mation program purposes, subject to appropriation by the legislature upon	17
recommendation from the rural health transformation committee as estab-	18
lished in section 56-2502, Idaho Code.	19
(2) The Idaho rural health transformation fund shall be subject to an-	20
nual public reporting of all receipts and expenditures.	21
56-2502. RURAL HEALTH TRANSFORMATION COMMITTEE. (1) There is hereby	22
created the rural health transformation committee, hereafter referred to as	23
the committee. The committee shall consist of nine (9) members to be ap-	24
pointed as follows: four (4) members of the senate shall be appointed by	25
the president pro tempore of the senate, one (1) of whom shall be cochair of	26
the committee; four (4) members of the house of representatives shall be ap-	27
pointed by the speaker of the house of representatives, one (1) of whom shall	28
be cochair of the committee; and one (1) nonvoting member shall be selected	29
by the governor. The term of a legislative member of the committee shall co-	30
incide with the term of election to the legislature. A vacancy during the	31
term of a member of the committee shall be filled by the appointing authority	32
of that member, and members may be reappointed to a subsequent term.	33
(2) The committee shall have the following powers and duties:	34
(a) To establish rules for governance and operation of committee pro-	35
ceedings;	36
(b) To establish any additional requirements for funding subawards,	37
which shall include application scoring rubrics, no later than March	38
15, 2026, for the first award year and by September 30 for the four (4)	39
remaining award years;	40

-- 1 of 2 --

2
(c) To establish an expedited award review process with the department	1
of health and welfare for funding subawards. The award review process	2
shall align with federally approved timelines as outlined in Idaho's	3
rural health transformation plan;	4
(d) To receive no less than quarterly updates on progress toward funded	5
projects, expenditures, and outcomes from the department of health and	6
welfare;	7
(e) To evaluate the potential and actual success of programs funded	8
with moneys from the Idaho rural health transformation fund;	9
(f) To retain oversight of moneys in the Idaho rural health transforma-	10
tion fund;	11
(g) To require a sustainability plan for any initiative funded by Idaho	12
rural health transformation moneys; and	13
(h) To make any recommendations to the legislature on the use of funds,	14
as long as recommendations are within the parameters of the federally	15
approved Idaho plan.	16
(3) The committee shall remain active until all moneys in the Idaho ru-	17
ral transformation fund have been appropriated and expended.	18
SECTION 2. An emergency existing therefor, which emergency is hereby	19
declared to exist, this act shall be in full force and effect on and after its	20
passage and approval.	21

-- 2 of 2 --