Report: 12 Rural Wisconsin Hospitals Face Closure Risk Amid Funding Cuts
A May 2026 report from the Center for Healthcare Quality and Payment Reform identified 12 rural hospitals in Wisconsin at risk of closing, representing 15% of the state's rural facilities. Of those, five are considered at immediate risk of shutting down within the next two to three years due to severe financial strain.
Separate analyses have publicly identified three of the at-risk facilities: Holy Family Memorial in Manitowoc, Mayo Clinic Health System Oakridge in Osseo, and Aspirus Stanley Hospital in Stanley. The national report from the Center noted that 720 rural hospitals across the U.S. are at risk of closure.
According to a KDHL Radio report on June 8, the financial pressure is exacerbated by federal policy. The Kaiser Family Foundation projects that Wisconsin's rural hospitals could lose $7 billion in federal Medicaid funding over the next decade. A separate Public Citizen analysis flagged five specific Wisconsin hospitals as vulnerable to these cuts.
To counter the projected shortfalls, Governor Evers signed a state budget intended to offset some federal losses. The federal budget also established a $50 billion rural health stabilization fund, though it remains uncertain if the funding will be sufficient to prevent closures.