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Economy

Cuts to Medicaid Threaten Entry to Healthcare – Offended Bear

Editorial Board
Editorial Board Published June 17, 2025
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Cuts to Medicaid Threaten Entry to Healthcare – Offended Bear
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Often, this kind of data is pages lengthy and I find yourself boiling it down, modifying it, and typically rewriting parts (shhh, don’t inform anybody). This report by the AHA is straight ahead in what it presents. The truth is, Offended Bear has offered data on rural hospitals as detailed by the CHQPR right here, right here, right here, and right here. This is a vital undressed concern about delivering healthcare to parts of the USA that are devoid of medical private, medical doctors, clinics and hospitals.

And no, Trumps invoice reducing healthcare to folks shouldn’t be stunning. It’s an unsightly try by him and Republicans to divest folks of the proper to well being care. Gush darn, I’ve skilled it after I couldn’t get healthcare due to no insurance coverage. One physician gave ant-acid meds to kill the acidity in my abdomen whereas I labored.

“Rural Hospitals at Risk: Cuts to Medicaid Would Further Threaten Access,” AHA

Medicaid, which covers over 16 million folks in rural communities, helps deal with limitations to well being care and maintain rural hospitals. However many in Congress are contemplating Medicaid cuts that will have a devastating impression on rural hospitals and sufferers.

The One Huge Stunning Invoice Act (H.R. 1) would lead to 1.8 million people in rural communities shedding their Medicaid protection by 2034. As well as, choose Medicaid provisions in H.R. 1 would lead to a $50.4 billion discount in federal Medicaid spending on rural hospitals over 10 years. 1 

See the chart on the subsequent web page beneath for a state-by-state breakdown of rural spending and protection losses.

Rural Hospitals Are Already Struggling:

  • 48% of rural hospitals operated at a monetary loss in 2023.2
  • 92 rural hospitals have closed their doorways or been unable to proceed offering inpatient companies over the previous 10 years.3
  • Rural hospitals lose cash on a number of crucial service traces, together with behavioral well being, pulmonology, obstetrics, and burns and wounds.4

Medicaid is Vital to Rural Hospitals:

  • 16.1 million folks dwelling in rural communities are coated by Medicaid.5
  • In 9 states, over 50% of the Medicaid inhabitants lives in rural communities: Montana, South Dakota, Wyoming, Mississippi, Vermont, Kentucky, North Dakota, Alaska and Maine.6
  • 47% of rural births within the U.S. are coated by Medicaid.7
  • 65% of nursing dwelling residents in rural counties are coated by Medicaid.8

Medicaid Already Pays Rural Hospitals Far Much less Than the Price of Care:

  • Medicaid paid rural hospitals roughly 63 cents on the greenback for inpatient obstetrics care in 2024.9
    • There was a 16% decline in rural counties with hospital-based obstetric care companies over the past decade.10
  • Equally, Medicaid funds coated roughly simply 70% of prices for behavioral well being companies in hospital settings, which embody substance use dysfunction remedy.11
Cuts to Medicaid Threaten Entry to Healthcare – Offended Bear

Supply: Modeling of choose H.R. 1 Medicaid provisions performed by Manatt Well being Methods, LLC. This evaluation accounts for the next H.R. 1 Medicaid provisions: (1) obligatory group engagement (work) necessities, (2) rising frequency of eligibility redeterminations for sure people, (3) ban on new or elevated supplier taxes, (4) revising the fee restrict for state directed funds (SDPs), (5) discount within the enlargement FMAP in states offering protection to sure undocumented immigrants and (6) the repeal of guidelines regarding eligibility and enrollment in Medicaid, CHIP, the Medicare Financial savings Packages (MSPs) and the Fundamental Well being Program (BHP).

Notes: State values won’t sum to nationwide totals attributable to rounding. Rural Medicaid protection losses are based mostly on the geographical distribution of Medicaid enrollees. Rural hospital impacts are based mostly on the geographical distribution of Medicaid hospital expenditures.

Finish Notes:

  1. Modeling of choose H.R. 1 Medicaid provisions performed by Manatt Well being Methods, LLC. This evaluation accounts for the next H.R. 1 Medicaid provisions: (1) obligatory group engagement (work) necessities, (2) rising frequency of eligibility redeterminations for sure people, (3) ban on new or elevated supplier taxes, (4) revising the fee restrict for state directed funds (SDPs), (5) discount within the enlargement FMAP in states offering protection to sure undocumented immigrants and (6) the repeal of guidelines regarding eligibility and enrollment in Medicaid, CHIP, the Medicare Financial savings Packages (MSPs) and the Fundamental Well being Program (BHP).
  2. AHA evaluation of RAND Hospital Price Report information.
  3. AHA evaluation of knowledge from Cecil G. Sheps Heart for Well being Providers Analysis.
  4. AHA evaluation of trade benchmark information from Strata Choice Know-how LLC.
  5. Kaiser Household Basis (KFF).
  6. KFF.
  7. AHA evaluation of knowledge from CDC Marvel.
  8. Rural Coverage Analysis Institute.
  9. AHA evaluation of trade benchmark information from Strata Choice Know-how LLC.
  10. College of Minnesota Rural Well being Analysis Heart.
  11. AHA evaluation of trade benchmark information from Strata Choice Know-how LLC.
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