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Medicaid Cuts Threaten 900 Rural Hospitals, Nursing Homes

5/6/2026

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Story summary
  • Medicaid reductions have triggered hospital and nursing-home closures, threatening care for millions of low-income Americans.
  • At least 900 hospitals and nursing homes face closure after 2025 Medicaid cuts passed by Republicans and President Donald Trump.
  • The $50 billion Rural Health Transformation Fund cannot offset the $137 billion Medicaid cuts, leaving many rural hospitals financially strained.
  • Nebraska’s 2025 work-requirement could strip Medicaid from over 20,000 residents and raise administrative burdens that threaten coverage.