Mississippi Gov. Tate Reeves vetoed Senate Bill 2477 on Thursday, citing concerns that the legislation could result in the loss of more than $800 million in federal funding for rural healthcare programs.
The bill, authored by State Senator Hob Bryan, a Democrat, would have added requirements to the spending of funds through the Rural Health Transformation Program. Reeves said he worked closely with the Trump administration to secure federal funds and believed the bill threatened those efforts.
Reeves, a Republican, said he had been in contact with officials from the U.S. Department of Health and Human Services and the Centers for Medicare and Medicaid Services. He noted a meeting with HHS Secretary Robert Kennedy Jr. and a discussion with CMS Director Dr. Mehmet Oz, emphasizing that legislation restricting federal procurement could jeopardize the timely use of funds, which have a deadline of October 30, 2026.
The governor argued that SB 2477 would delay fund distribution by imposing redundant requirements, risking the loss of approximately $205.9 million in already-approved grants and potentially more than $800 million over the next five years. He described the risk as too great to ignore.
The bill received near-unanimous support in the Mississippi Legislature, passing the Senate unanimously and with only five dissenting votes in the House. Lawmakers have adjourned but may be called back before April 15 if the Lt. Governor, Speaker, or governor decide to reconvene a special session.
Jon Ross Myers is the executive editor and publisher of the Mississippi News Network, Mississippi's largest digital only media company. He can be reached at editor@tippahnews.com
