Rural hospitals in the U.S. are grappling with financial instability, with about 46% operating at a loss, showing only a slight improvement from the previous year. A report by Chartis indicates a national median operating margin of 1%, with 16 states reporting negative margins, particularly affecting states like Kansas, Washington, and Oklahoma. In contrast, states that expanded Medicaid under the Affordable Care Act have better financial outcomes, with a median margin of 1.5%, whereas non-expansion states face a median margin of -1.5%. Ongoing government policies, including budget cuts and inadequate reimbursement for bad debt, continue to exacerbate financial pressures on these facilities.
