This week’s graphic illustrates the challenging operating environment many rural hospitals find themselves in. In 2024, there were 5 rural hospital closures. This is a decrease from 2023 when there were 8 closures, but an increase from the pandemic years when Covid aid buoyed hospitals nationwide. However, since January 2023, 36 rural hospitals secured rural emergency hospital (REH) designations. This program keeps communities better connected to emergency services, but also comes with a significant care access loss. Uptake of this program has been limited, but the REH pathway likely prevented some complete or converted closures during this period. Rural hospitals still face a tough financial landscape. About one-third of all rural hospitals are at risk of closing due to their financial woes, with nearly half of these hospitals at immediate risk of closure due to the severity of their financial distress. Additionally, at least half of rural hospitals in 10 of the 48 contiguous states are at risk of closure. Every rural hospital closure represents a critical loss to a community where the extra time required to access care could be the difference between life or death. Unfortunately, many payment models do not account for the higher cost of delivering care in these communities. While current federal efforts may help these communities retain the most critical care access, rural communities would be better served by a new model for care, with reimagined facilities, supported by enhanced virtual connections to specialists and higher-acuity services.
