South Dakota Health Secretary Melissa Magstadt presented her budget a day after the House voted 56-11 to let the Department of Health spend $402 million in federal funds to strengthen rural healthcare. The money comes from the federal One Big Beautiful Bill Act, which guarantees the state at least $100 million a year through 2030, with $189 million in year one. The state expects at least $589 million over five years. The department will use the funds to expand technology, bolster the healthcare workforce, improve local care, and build long-term sustainability. Officials say programs will continue after federal funding ends.
State Health Dept. Outlines Spending of $402M Federal Rural Health Grant
Jan 28, 2026 | 6:27 AM







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