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With 417 rural hospitals at risk of closing, Rural Health Transformation funds may be too little, too late, report warns

13 Feb 2026 2:37 PM | Deborah Hodges (Administrator)

The Rural Health Transformation Program’s (RHTP's) $50 billion injection is “a significant step forward” for the rural health safety net but likely comes too late to reverse years of deterioration that have left hundreds of hospitals in jeopardy. [[Fierce Healthcare]

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That’s according to the latest annual report from Chartis on the current state of rural health. This time around, the healthcare advisory services firm warned that 41.2% of all rural hospitals are operating in the red, and 417 are “vulnerable to closure” based on a model Chartis developed that incorporates factors like net patient revenue changes and consecutive years of operating losses.

Those numbers are a slight improvement over last year’s report, which flagged 46% of rural hospitals operating at a loss and 432 vulnerable facilities.

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