In rural America, hospitals are more than healthcare providers — they are pillars of their communities. They deliver essential medical services, create jobs and support the overall wellbeing of thousands of residents who might otherwise face insurmountable barriers to care.
As the CEO of Mee Memorial Healthcare System (MMHS), serving a rural community, I witness firsthand the critical role hospitals like ours play in ensuring access to quality, compassionate care. I also understand how essential Medicare funding is to sustaining that care.
Since 2010, nearly 190 rural hospitals across the country have closed or stopped offering inpatient services. Now, with potential federal budget cuts looming, reductions to Medicare and Medicaid funding would disproportionately impact rural communities, forcing hospitals to scale back services — or close entirely.
Unlike their urban counterparts, rural hospitals operate in vastly different conditions. Geographic distance means many residents live far from larger hospitals or specialty care providers. In emergencies — whether it’s a heart attack, stroke or trauma — delays in treatment can be life-threatening.
Rural populations also tend to be older and face higher rates of chronic conditions like diabetes and heart disease. These health issues require regular, accessible care — care that becomes much harder to deliver when the nearest provider is more than an hour away. Local hospitals bridge this gap, providing not only emergency services, but also primary care, diagnostic imaging, surgeries, inpatient care, long-term care and pain management.
Beyond healthcare, rural hospitals are economic engines. They are often the largest employers in the region, supporting local economies and attracting businesses. When a rural hospital closes, the impact ripples through the entire community — residents may leave in search of better healthcare access, businesses struggle to recruit workers, and the community’s economic foundation begins to erode.
Many rural hospital patients are seniors who rely heavily on Medicare. These reimbursements are crucial to the financial stability of rural facilities, covering services that might otherwise go uncompensated. Several Medicare programs are specifically designed to help rural hospitals remain viable:
- Critical Access Hospital (CAH) Program: This designation allows eligible hospitals to receive cost-based reimbursement rather than standard fixed rates, making it possible to continue operating despite smaller patient volumes.
- Rural Health Clinics: These clinics receive enhanced Medicare and Medicaid reimbursements to ensure that primary and preventive care remain accessible to rural residents.
- Medicare-funded rural residency training programs: These programs help address provider shortages by encouraging new physicians to train and practice in underserved areas.
Still, despite these lifelines, rural hospitals remain financially fragile. Low reimbursement rates, staffing shortages, and rising operational costs place constant pressure on already strained systems.
At MMHS, Medicare accounts for a significant portion of our revenue. Without it, we would struggle to keep our doors open and maintain the level of care our community deserves. Compounding this challenge, 39.4% of residents in our district are on Medicaid — far above the national average of 23.5%. Cuts to these programs would shift costs onto families already burdened by economic hardship.
MMHS was founded by a dedicated group of South County residents with a vision of providing local care to local people. That legacy continues today as we adapt and innovate to meet evolving needs. But we cannot do it alone.
We need strong advocacy for continued — and expanded — Medicare and Medicaid funding to ensure that rural hospitals remain a vital part of the healthcare landscape. Policymakers must recognize that rural hospitals are not just healthcare facilities — they are lifelines for the health, economic stability and vitality of entire communities.
As the CEO of Mee Memorial Healthcare System, I remain committed to protecting the future of rural healthcare. Our hospitals are more than buildings — they are places of healing, hope, and community strength. With collective effort and continued support, we can ensure that rural Americans have access to the care they need — now and for generations to come.
Time is of the essence. I urge community leaders, stakeholders and policymakers to join me in advocating for the preservation and protection of Medicare and Medicaid. Without them, millions of Americans will face serious obstacles to healthcare, jeopardizing not only their health, but the future of rural communities across the nation.
