Zach Levinson
zlevs100.bsky.social
Zach Levinson
@zlevs100.bsky.social
Project Director of the KFF Project on Hospital Costs
https://www.kff.org/person/zachary-levinson/
CMS will decide which states to fund by the end of the year, and how to allocate the first year of funding across states. It is not yet clear how states will distribute funds across rural hospitals, other providers, and other state initiatives (9/9)
November 10, 2025 at 7:50 PM
The analysis could not factor in the $12.5 billion that will be distributed based on CMS’s discretionary scoring of state policy, state initiatives, and other factors (8/9).
November 10, 2025 at 7:50 PM
TX, CA, NM, MT, and AK are estimated to receive the largest amounts from the $37.5 billion. Most of the extra dollars they're estimated to receive are due to their large land area, one of several factors used to allocate funds based on state need (7/9).
November 10, 2025 at 7:50 PM
Additionally, of the $12.5 billion based on measures of need, only 20% is directly based on total rural population (6/9).
November 10, 2025 at 7:50 PM
This in part reflects the fact that estimated state awards vary much less than differences in rural populations, principally due to the equal distribution of the first $25 billion across all states with approved applications (5/9).
November 10, 2025 at 7:50 PM
Estimated awards from the $37.5B are partially, but not closely, tied to rural population. E.g., TX has the most rural residents in the nation (4.3M) but is estimated to only receive about twice as much as RI, which has the fewest (about 25,000) (4/9)
November 10, 2025 at 7:50 PM
Estimated awards from the $37.5B range from $550 million in Rhode Island to just over $1 billion in Texas over five years if all states are approved for funding (3/9).
November 10, 2025 at 7:50 PM
The analysis examines $37.5B of the $50B fund: $25B to be distributed equally across states with approved applications (as required by law) and an additional $12.5B to be distributed based on measures of state need (as specified primarily by CMS) (2/9).
November 10, 2025 at 7:50 PM
As well as the implications of the reconciliation bill for spending and coverage, including in rural areas (7/7):
www.kff.org/medicaid/iss...
www.kff.org/affordable-c...
www.kff.org/policy-watch...
How Might the Reconciliation Bill’s Medicaid Cuts Affect Rural Areas? | KFF
This analysis estimates that the House-passed reconciliation bill could lead Medicaid spending in rural areas to decrease by $119 billion and a 1.5 million drop in enrollment over 10 years.
www.kff.org
June 27, 2025 at 6:50 PM
Recent work from KFF provides a deeper dive on rural hospitals, Medicaid and hospitals, and the implications of the reconciliation bill (6/7):
www.kff.org/health-costs...
www.kff.org/medicaid/iss...
www.kff.org/medicaid/iss...
What are the Implications of the 2025 Budget Reconciliation Bill for Hospitals? | KFF
On May 22, 2025, the U.S. House of Representatives passed a budget reconciliation bill that includes significant reductions in federal Medicaid spending to help offset the cost of tax cuts, along with...
www.kff.org
June 27, 2025 at 6:50 PM
While the fund could help prop up rural hospitals, it doesn't address concerns about the millions of individuals who could lose Medicaid or ACA Marketplace coverage in rural and other areas, many of whom would also be at risk of losing SNAP benefits (5/7)
www.kff.org/medicaid/iss...
The Implications of Federal SNAP Spending Cuts on Individuals with Medicaid, Medicare and Other Health Coverage | KFF
Proposed changes in eligibility rules in both SNAP and Medicaid may jeopardize some people’s access to both adequate food and health care if various provisions of the bill take effect, in part because...
www.kff.org
June 27, 2025 at 6:50 PM
Urban hospitals that serve a large share of Medicaid patients have been left out of the conversation and without support from the fund, though many are already in the red. These hospitals could also have a hard time absorbing any losses under the bill (4/7)
June 27, 2025 at 6:50 PM
The relief for hospitals and other providers would also be temporary, while major Medicaid and ACA cuts would be permanent (3/7).
June 27, 2025 at 6:50 PM
It's unclear:
* How much of this fund would be used for hospitals,
* Which hospitals would be targeted, and
* Whether the fund would be enough to offset any losses for hospitals and other providers under the bill. (2/7).
June 27, 2025 at 6:50 PM