Lawmakers Push Bipartisan Bills to Offset Rural Hospital Cuts
Following warnings that the 2025 reconciliation law's Medicaid cuts could devastate rural hospitals, members of Congress from both parties have introduced multiple bills since January aimed at shoring up rural health care before the cuts take effect after this fall's midterms. Proposals include zero-interest loans for facility upgrades, fixes to the Rural Emergency Hospital designation, reimbursement reforms for wage and volume adjustments, temporary Critical Access Hospital eligibility for distressed hospitals, and a five-year extension of a Medicare rural hospital demonstration program. Rep. Jill Tokuda and Sen. Marsha Blackburn, co-chairs of the House and Senate Rural Health Caucuses, are leading separate but related efforts, with Blackburn organizing a package called the Rural Health Agenda. None of the bills are reported as enacted; they represent ongoing legislative efforts to address coverage losses and reimbursement gaps expected once the law's Medicaid work requirements and other cuts phase in.