Minnesota State Wire

Pete Stauber, Representative of Minnesota, announced that the One Big Beautiful Bill act will provide significant new funding to rural hospitals. The legislation aims to allocate at least $100 million annually to support healthcare providers in Minnesota. Stauber made this statement on X.

"The One Big Beautiful Bill act provides $50 billion for rural hospitals over the next five years," said Stauber. "This means that Minnesota will see AT LEAST $100 million a year to support providers and ensure our rural residents receive the best care possible. This important legislation supports rural health care and ensures rural Minnesota takes a backseat to nobody."

Federal efforts to support rural hospitals, such as the Rural Health Transformation Program, are facing challenges due to projected Medicaid cuts. According to MPR News, Minnesota might lose $23.5 billion in Medicaid funds over the next decade, raising concerns about potential hospital closures and increased travel distances for rural patients.

Barron’s reports that since 2010, more than 150 rural hospitals have closed nationwide, with nearly half currently operating at a loss. The latest federal legislation could reduce rural hospital Medicaid funding by 21%, or $70 billion, over the next decade while allocating $50 billion for rural provider relief.

According to a University of Minnesota study, closures of rural hospitals lead to price increases at remaining facilities by an average of 3.6%, and up to 6.3% within three to four years. This underscores how closures impact care access and affordability for rural communities.

Stauber, a Republican U.S. Representative for Minnesota’s 8th District since 2019, is a former police lieutenant and county commissioner who serves on the House Small Business Committee. He has supported major bills aimed at funding rural hospitals, according to his official House biography.