The financial struggles faced by rural hospitals in Nebraska are becoming a critical issue, with many of them fighting to stay open while meeting the healthcare needs of their communities.
These hospitals, often the only source of care for miles, face significant financial challenges, as they receive lower reimbursement rates compared to larger urban hospitals like the University of Nebraska Medical Center.
This disparity is exacerbated by rising healthcare costs, such as the increasing price of prescription drugs.
Arlan Johnson, CEO of Howard County Medical Center, emphasized the need for fair reimbursement models that reflect the true cost of providing services in rural areas.
The lack of adequate funding is putting the future of many rural hospitals in jeopardy, and if these issues aren’t addressed, some hospitals may be forced to close. This would significantly impact families in remote areas, forcing them to travel longer distances for care, and could result in delays in treatment.
One potential solution being discussed is ensuring rural hospitals’ participation in the 340B drug pricing program, which allows them to purchase medications at discounted rates.
Support for Medicaid and 340B programs is also a priority for rural hospital CEOs like Laura Gamble of Pender Community Hospital, who believe these programs are essential for providing quality care and additional services in rural communities.
State legislators, including Sen. Brian Hardin and Sen. Mike Jacobsen, are aware of the financial challenges rural hospitals face and are working on potential solutions.
Hardin is advocating for a reform of the 340B program at the federal level, while Jacobsen is collaborating with the Nebraska Medical Association to craft a bill aimed at increasing reimbursements for doctors and healthcare providers in rural areas.
However, solving the financial crisis facing rural hospitals is complex and will require concerted efforts at both the state and federal levels.