More Healthcare Cuts Will Devastate Communities Across the Country

December 1, 2025
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As Congress weighs the next round of reforms to America’s healthcare system, our coalition is focused on a simple truth: protecting patients’ access to care must remain the nation’s top priority. Yet many of the proposals now on the table would add new financial strain to healthcare providers already navigating the pressures of impending healthcare funding cuts.

Some proposals from politicians overlook the around-the-clock, 24/7, high-quality care hospitals deliver and ignore the growing pressures and challenges facing all hospitals, but especially fall hard on rural facilities and those that treat high numbers of uninsured and patients on Medicaid and Medicare. Instead of creating new barriers that make it harder for providers to serve their communities, lawmakers should advance policies that safeguard patients’ access to essential services and strengthen the healthcare workforce.

Already, Communities Across the Country are Feeling the Impacts of Federal Budget Cuts 

 

  • In New York, community members discuss the importance of their community hospital. The hospital has already made the difficult decision to cut some services, including some imaging and diagnostic tools, to stay afloat financially during challenging times.
  • In Minnesota, the state’s largest publicly funded hospital raises concerns about its long-term viability in the face of federal healthcare cuts. The hospital projects over $1.5 billion in losses over the next 10 years, and leadership notes that other hospitals will feel similar strain.
  • In the District of Columbia, Howard University Hospital faces deep budget cuts. Over 60% of the hospital’s patients rely on Medicaid, and while the hospital is working to avoid service cuts, funding challenges will limit its role as a teaching hospital and a leading research institution. 
Lawmakers should bear in mind that additional cuts to care could further restrict patients’ access to high-quality care.

 

Many state-level legislative decisions are already further restricting hospitals’ ability to provide care when it’s needed. In North Carolina, at least eight rural hospitals are at risk of closing due to financial strain, as a $319 million state Medicaid budget shortfall has led to reduced reimbursements for healthcare providers. Across the country, Idaho’s Medicaid program is set to cut provider pay rates by 4%, which could further shrink budgets and prompt providers to consider closing or cutting back services.

The closure of even a single provider can put nearby residents at risk and strain the surrounding health care system, driving up wait times and increasing the resources needed at neighboring hospitals as patients seek care elsewhere.  Patients forced to travel for care may find themselves waiting even longer. In an emergency, these minutes can determine the likelihood of survival. 

Lawmakers cannot allow misguided policies to create barriers to care for American patients. Healthcare workers in hospitals across the country remain steadfast in their efforts to provide lifesaving, 24/7 patient care. These efforts must be supported by policies that expand treatment capacity and providers’ ability to care for all in their communities. 

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