The bill establishes the Idaho Rural Health Transformation Fund and the Rural Health Transformation Committee, aimed at improving rural health services in Idaho. The fund will consist of federal grant money and other legislative appropriations, with its resources dedicated solely to federally approved rural health transformation initiatives. The committee, composed of seven members from the state legislature and one nonvoting member appointed by the governor, will oversee the fund's operations, establish rules for funding subawards, and evaluate the success of funded programs. The committee is required to provide quarterly updates on project progress and will remain active until all funds have been appropriated and expended.

Additionally, the bill mandates that the committee establish specific requirements for funding applications and an expedited review process in alignment with federal timelines. It also emphasizes the need for sustainability plans for funded initiatives and allows the committee to make recommendations to the legislature regarding fund usage, ensuring compliance with the federally approved Idaho plan. An emergency clause is included, allowing the act to take effect immediately upon passage and approval.