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Governor awards $30 million to rural hospitals COVID recovery grants

Alabama received $2.1 billion in American Rescue Plan Act funds.


Governor Kay Ivey on Monday awarded $30 million of the State Fiscal Recovery Fund from the American Rescue Plan Act (ARPA) to establish COVID recovery grants for rural hospitals. This program is an initiative of Governor Ivey and the Alabama Legislature to provide support to Alabama’s rural hospitals impacted by the covid-19 pandemic. 

“Being someone who calls the Black Belt home, it is important for me to ensure the folks in our state’s rural areas have the resources they need. Rural hospitals are the primary health care for so many of our citizens, and I know this funding will go a long way,” said Governor Ivey.

The state of Alabama will offer grants in an amount based on bed count for providers that meet eligibility requirements. The application period for the Rural Hospitals COVID Recovery Grant program will be open from noon, March 14 through noon, April 1, 2022. This is in addition to the $40 million allocated to the Alabama Hospital Association last week for the state’ hospitals.

Alabama received $2.1 billion in ARPA funds, and the Alabama Legislature appropriated $136,796,346 from Alabama’s State Fiscal Recovery Revenue Replacement Fund for this program.

General information and application materials is available here.

Written By

The Alabama Political Reporter is a daily political news site devoted to Alabama politics. We provide accurate, reliable coverage of policy, elections and government.



Once the COVID public health emergency ends, millions will have to reapply for Medicaid or find coverage elsewhere.


These grants will go toward projects to deliver improvements in two Limestone County communities.


The pandemic made evident the many gaps in Alabama’s healthcare system and it’s time for us to fix those gaps now.


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