RURAL HEALTH TRANSFORMATION – Adds to existing law to establish the Idaho Rural Health Transformation Fund and the Rural Health Transformation Committee.

S 1253 establishes the Idaho Rural Health Transformation Fund in the state treasury, funded by federal grants and potential legislative appropriations, to support federally approved rural health programs. It also creates a Rural Health Transformation Committee with six members (two from each legislative chamber and two nonvoting appointees by the governor) to oversee fund distribution. The committee must set funding rules by specific deadlines, require sustainability plans for funded projects, and receive quarterly progress reports from the Department of Health and Welfare. All fund expenditures must align with Idaho's federally approved rural health plan and be subject to annual public reporting. This bill directly affects rural health initiatives and providers receiving state funds under the federal program.