Incentives included in a rural hospital funding program may be driving increased support for SNAP food restriction waivers.

The Rural Health Transformation Program was created by Republican lawmakers as partial compensation for Medicaid cuts in the One Big Beautiful Bill Act. The $50 billion fund aims to “empower states to strengthen rural communities across America” by improving healthcare access, quality, and outcomes. 

Set to deliver $10 billion annually over five fiscal years, the program will allocate half of its yearly funding equally among states that apply. The remaining half will be distributed to states based on “rural population, the proportion of rural health facilities in the states, the situation of certain hospitals in the state, and other factors,” according to a notice of funding opportunity. 

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One of those “other factors” is whether the state has pursued a SNAP restriction waiver. The RHT Program scores states on a zero to 100 point scale based on the status of their waiver. 

  • Zero points for no pending or approved waiver

  • 25 points for an active bill in the state legislative process

  • 50 points for a passed state bill to submit a USDA waiver

  • 75 points for a submitted waiver to USDA

  • 100 points for a USDA-approved waiver

Beyond SNAP restriction waivers, eligibility for additional funding may also be affected by other factors, such as a state’s plans to require nutrition in continuing medical education and its use of certificate of need laws. 

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