What the One Big Beautiful Bill Means for Wound Care and Rural Hospitals

What the One Big Beautiful Bill Really Means for Wound Care

Signed into law on July 4, 2025, the One Big Beautiful Bill (BBB) has sparked controversy — but it also delivers meaningful wins for rural hospitals, physicians, and patients. Despite the politics, the final legislation includes several provisions that could benefit wound care programs, stabilize physician reimbursement, and reduce red tape. Here’s what stands out for hospital-based teams — especially in rural markets — and why Shared Health Services is paying close attention.

$50 Billion for Rural Health Transformation

The bill allocates $50 billion over five years (fiscal years 2026–2030) to launch a new Rural Health Transformation Program, administered by the Centers for Medicare & Medicaid Services (CMS)¹. With $10 billion allocated annually, this initiative represents one of the largest federal investments in rural health in modern history.

Each state must submit a strategic transformation plan to CMS outlining how funds will be used to:

• Strengthen rural hospital infrastructure

• Expand access in medically underserved areas

• Pilot new models of care delivery, including hybrid and community-integrated programs

• Provide technical assistance and innovation grants to qualifying hospitals and physician practices²

  
  

Funds will be distributed to states, which will manage allocation to eligible hospitals and provider networks. State plans must be submitted by December 31, 2025, and CMS is expected to issue approvals or feedback before the year ends³.

For rural hospitals and physician practices, this program opens the door to pursue sustainable wound care and HBOT initiatives — especially those focused on outcomes, access, and long-term community benefit.

Whether it's updating equipment, launching a new service line, or modernizing documentation systems, the Rural Health Transformation Program could help cover the cost — but only for those prepared to act strategically.

This isn’t theoretical — it’s real funding with real deadlines, backed by statute. That’s why SHS is already helping partners align wound care goals with new funding pathways. Positioning your program for growth before dollars are distributed will be critical.

Positive Medicare Adjustment for Providers

The BBB includes a 2.5% increase to the Medicare Physician Fee Schedule in 2026 — a long-overdue boost after years of stagnant or negative updates⁴. While temporary, this raise could improve morale, help retain providers, and ease reimbursement concerns for hospital-based specialties like wound care and hyperbaric medicine.

Prior Authorization Reform Is Gaining Traction

Around the same time the BBB was passed, CMS and HHS secured a groundbreaking pledge from major insurers to overhaul the prior authorization process across Medicare Advantage, Medicaid Managed Care, and commercial plans⁵. Though not part of the legislation itself, these reforms directly align with the bill’s push for system-wide modernization.

Key upcoming changes include:

• Fewer services requiring prior authorization by January 2026

• Faster decisions via real-time electronic submissions by 2027

• Continuity of care during insurance transitions

• Required medical review for all clinical denials

  
  

For wound care programs, these changes signal a major reduction in administrative burden — giving clinical teams more time to focus on patients instead of paperwork.

Beyond Healthcare: Hidden Wins for Rural Communities

The One Big Beautiful Bill wasn’t just about healthcare — it was a broad economic and infrastructure package with ripple effects that could shape the viability of rural hospitals and the lives of the patients they serve. These lesser-known provisions deserve attention:

Family & Newborn Savings Support

Expanded Child Tax Credits and a new $1,000 "Trump Account" for each newborn (2025–2028) may help low-income families cover transportation, preventive care, or early interventions — especially important in areas where financial barriers often delay treatment⁶.

Small Business Relief and Economic Growth

Increased tax deductions for small businesses and sole proprietors make it easier for clinics, physician practices, and healthcare startups to invest in staff, technology, and care expansion — all of which improve local access⁶.

Senior Tax Reductions

New deductions for seniors under $75k annual income help protect fixed-income patients from being priced out of follow-up care or wound management — particularly important in retirement-heavy rural regions⁶.

Broadband, Defense & Infrastructure

The bill restores FCC spectrum authority, accelerates broadband rollout, and invests in transportation and emergency services infrastructure — all of which enhance the reach and stability of telehealth, EMS response, and rural clinic communications⁷.

Agriculture Sector Stability

Billions in disaster relief and commodity price support strengthen local agricultural economies — which in turn stabilize the populations that rural hospitals depend on for volume, workforce, and mission-driven care⁶.

What the One Big Beautiful Bill Means for Hospitals in Rural America

At Shared Health Services, we know that wound care success doesn’t happen in a vacuum. It’s shaped by broadband access, stable patient populations, provider retention, and a community’s ability to invest in its own health infrastructure.

Our take on the BBB is simple: There are real opportunities buried in this bill — and rural wound care teams should be ready to act.

• There’s new money on the table. The Rural Health Transformation program opens a window for long-term investment.

• Administrative friction is easing. Prior authorization changes mean less burnout and better continuity of care.

• Rural communities are being strengthened. Tax relief, broadband access, and agricultural support are building healthier local ecosystems — helping rural hospitals stay open and better serve the people who rely on them.

  
  

That’s why our wound care support model is built to relieve pressure — not add to it. We simplify workflows, support compliant documentation, and act as a peer-level wound care support partner your team can count on.

References

1. CMS Newsroom. “Rural Health Transformation Program Overview.” July 2025 (pending publication – based on CMS Administrator remarks, July 4, 2025)https://www.cms.gov/newsroom

   
   

2. Holland & Knight. “The One Big Beautiful Bill Act: A Comprehensive Analysis.”https://www.hklaw.com/en/insights/publications/2025/07/the-one-big-beautiful-bill-act-a-comprehensive-analysis

   
   

3. Congressional Budget Office. “Estimated Budgetary Effects of H.R. 1, the One Big Beautiful Bill Act.”https://www.cbo.gov/publication/61461

   
   

4. ASNC. “One Big Beautiful Bill Signed Into Law Includes Pay Bump for Physicians.”https://www.asnc.org/news/one-big-beautiful-bill-signed-into-law-includes-pay-bump-for-physicians

   
   

5. CMS. “HHS Secretary Kennedy, CMS Administrator Oz Secure Industry Pledge to Fix Broken Prior Authorization.”https://www.cms.gov/newsroom/press-releases/hhs-secretary-kennedy-cms-administrator-oz-secure-industry-pledge-fix-broken-prior-authorization

   
   

6. Investopedia. “5 Things Parents Need to Know About the One Big Beautiful Bill Act.”https://www.investopedia.com/parents-and-the-big-beautiful-bill-11767091

   
   

7. TV Technology. “Carr Applauds Restoration of FCC Auction Authority.”https://www.tvtechnology.com/news/carr-applauds-restoration-of-fcc-auction-authority