Federal Legislation
Senators Introduce Rural Hospital Revitalization Act
March 21, 2026
Senators Michael Bennet and Jerry Moran have introduced the bipartisan Rural Hospital Revitalization Act to provide zero-interest loans through the USDA's Community Facilities Direct Loan Program. This legislation targets rural hospitals in counties with populations under 20,000 that meet specific distance or designation criteria, enabling these facilities to finance new construction or renovations. The initiative aims to address longstanding infrastructure and financial challenges faced by rural healthcare providers, thereby improving access to modern healthcare services in underserved rural communities.
- The USDA will administer zero-interest loans under the Community Facilities Program, creating procurement opportunities for construction, renovation, and infrastructure modernization contractors serving rural hospitals.
- Procurement professionals should note the eligibility criteria focusing on rural counties and hospitals, which may influence project scopes and funding availability.
- This legislation signals increased federal investment in rural healthcare infrastructure, potentially expanding demand for construction, architectural, and engineering services in rural areas.
- Contractors and vendors specializing in healthcare facility modernization should evaluate opportunities arising from this program to support rural hospital clients.
This legislation recognizes that access to safe, modern healthcare facilities is a matter of community need, not just financial metrics, and begins to correct a long-standing inequity for rural America.
— Kevin Stansbury
Rural hospitals are a safety net for communities across the country, yet they have faced challenges with aging infrastructure and financial instability for years.
— Michael Bennet
The Rural Hospital Revitalization Act takes an important, bipartisan approach to strengthening rural health infrastructure by utilizing existing USDA programs to deliver zero-interest capital to qualifying hospitals.
— Alan Morgan
Agencies
U.S. Department of Agriculture, U.S. Senate, National Rural Health Association, Lincoln Health, Colorado Hospital Association