make an appropriation to increase the rate of payment for federally qualified health centers.

HB 1150 provides $8 million in total funding ($4 million from the general fund and $4 million in federal fund expenditure authority) to the South Dakota Department of Social Services. This funding increases payment rates for federally qualified health centers (FQHCs) in South Dakota, as defined by federal regulations (42 C.F.R. § 405.2401). The bill directly affects FQHCs by raising reimbursement rates for services they provide, improving their funding stability. The funding becomes effective June 30, 2026, and unspent amounts revert per standard state procedures.