Medicaid Cuts Threaten Hundreds Rural Hospitals Nationwide

Senate Democrats have raised alarms about proposed Medicaid cuts in President Donald Trump's 'Big Beautiful Bill,' warning that these reductions could jeopardize the financial stability of at least 338 rural hospitals across both red and blue states. The list, compiled by the University of North Carolina's Cecil G. Sheps Center for Health Services Research at the Democrats' request, identifies hospitals at risk due to heavy reliance on Medicaid funding and ongoing financial distress, with Kentucky alone facing potential closure of 35 rural hospitals. Democrats argue that the cuts, which aim to save over $800 billion in federal spending, would increase the number of uninsured Americans by nearly 8 million and severely impact healthcare access, particularly in rural communities where hospitals often serve as the primary or sole healthcare providers. Governor Andy Beshear of Kentucky emphasized the devastating impact of hospital closures on local economies and healthcare access, noting that Medicaid covers a significant portion of children and seniors in his state. Supporters of the budget bill claim it targets Medicaid program abuses, but healthcare advocates and Democrats warn that the cuts will lead to job losses and poorer health outcomes nationwide. The American Hospital Association and Senate Democrats stress that rural hospitals, already financially fragile, will face deeper strain if the legislation proceeds, threatening care for millions of Americans.