Iowa is receiving another $216 million through a federal rural health program that Iowa’s congressional delegation has credited with helping Sioux Center Health expand prenatal care.
The Centers for Medicare and Medicaid Services announced the second-year award Monday, November 9th. It is nearly $7 million more than Iowa’s first-year award, bringing the state’s two-year total to approximately $425 million.
Sioux Center Health was highlighted in an October 6th announcement from U.S. Sen. Chuck Grassley’s office as an example of how the program’s first-year funding was benefiting rural communities. The announcement said the hospital was expanding prenatal care through a new regional maternal health coordinator.
Grassley also visited Sioux Center Health during his county meetings this year, a stop attended by Sioux County Radio. His latest funding announcement listed Sioux County among the places where he had seen the program’s benefits during hospital visits.
In response to questions from Sioux County Radio about local funding and the new award, Grassley Press Secretary David Bader said much of the information available at the time of the announcement remained limited to overall funding figures.
“The money will be headed to Iowa state government, who will disburse it from there under the Healthy Hometowns program,” Bader said in an email.
Bader referred questions about specific projects and awards to the Iowa Department of Health and Human Services. His response did not identify a new award amount for Sioux Center Health or other Sioux County providers. The prenatal care project cited in October concerned the program’s first-year funding.
Healthy Hometowns is Iowa’s plan for using the federal funding to strengthen rural health services. State officials say its investments are intended to help hospitals and clinics recruit workers, update equipment, and provide more primary and specialty care close to home.
Iowa HHS Principal Deputy Director Larry Johnson said the department will continue working with providers and community partners as the program moves into its second year.
“Year 2 is about building on the foundation we’ve established and continuing to turn this investment into meaningful results for rural communities,” Johnson said. “We’re focused on working with health care providers and community partners to strengthen services, support the rural workforce, and ensure these investments deliver lasting benefits for Iowans.”
The program’s five initiatives support networks of rural providers, cancer screening and treatment, shared locations for coordinated care, access to health records, and mobile health services. They also include workforce recruitment and support for transporting high-risk newborns.
Grassley, R-Iowa, welcomed the new award after leading Iowa’s congressional delegation in a letter supporting the state’s funding request last month.
“I’m glad to see the Working Families Tax Cuts Act continue improving Iowans’ lives by investing $216 million more to support healthcare workforce recruitment and retention, cancer care access, maternal health and modernized medical equipment,” Grassley said.
The Republican-backed federal law established the $50 billion, five-year Rural Health Transformation Program. CMS announced $10 billion in second-year awards across all 50 states, including Iowa’s allocation.
Iowa HHS maintains a public dashboard showing program funding, investments, and outcomes. More information is available at hhs.iowa.gov/HealthyHometowns.










