Struggling to survive, the first rural hospitals line up for new federal lifeline

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The designation of Rural Emergency Hospital was created as part of the first new federal payment program launched by the federal government for rural providers in 25 years. Many hope it will slow the financial hemorrhage that continues to shutter those ...

Just off the historic U.S. Route 66 in eastern New Mexico, a 10-bed hospital has for decades provided emergency care for a steady flow of people injured in car crashes and ranching accidents.

But even with a tax levy to help support the medical outpost, the facility lost more than $1 million in the past six months, Campos said. “For years, we’ve been anticipating kind of our own demise, praying that a program would come along and make us sustainable.” Health and Fitness Post-Roe, Native Americans face even more abortion hurdles Facilities that convert will get a 5% increase in Medicare payments as well as an average annual facility fee payment of about $3.2 million in exchange for giving up their expensive inpatient beds and focusing solely on emergency and outpatient care. Rural hospitals with no more than 50 beds that closed after the law passed on Dec. 27, 2020, are eligible to apply for the new payment model if they reopen.

“It’s enough for now,” Slabach said. “But is it going to be enough for the long term? I don’t think so.” Top priorities for the group include adding the ability for hospitals to participate in a federal drug discount program and allowing for longer patient stays. Plus, he said, anybody who needs more intense care can be transferred to their regional hospital in Stillwater. Oklahoma, like other states, is working to update state laws for licensing or regulations to ensure hospitals can be credentialed with the rural emergency designation quickly.

 

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