Texas HB 18 'Rural Health Stabilization Act' Signed — New Rural-Hospital Finance Office + Medicaid Rate Work
Gov. Abbott signed HB 18 on June 20, 2025 (effective immediately), creating a State Office of Rural Hospital Finance, directing HHSC to improve rural Medicaid reimbursement (rate enhancements, payment-methodology revisions, reduced regulatory burden), and adding a Medicaid add-on for rural hospitals with OB/GYN services. Many Texas FQHCs operate in rural counties coupled to a local rural hospital, so the rural safety-net and Medicaid rate environment shape referral patterns, OB access, and community financial stability around those FQHCs.
Primary source
Texas Legislature OnlineSource packet
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FQHC Talent. (2025, June 20). Texas HB 18 'Rural Health Stabilization Act' Signed — New Rural-Hospital Finance Office + Medicaid Rate Work. Primary source: Texas Legislature Online. Retrieved July 21, 2026, from https://www.fqhctalent.com/intel/tx-hb18-rural-health-stabilization-2025
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