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Rural hospitals and clinics urge oversight after Michigan's application emphasized competitive grants over direct stabilization
Summary
Memorial Healthcare and other rural providers told the committee Michigan's application prioritized administrative infrastructure and competitive statewide programs rather than direct stabilization payments, arguing that immediate hospital needs (including obstetrics closures) require different funding priorities and legislative oversight.
Stakeholders from rural hospitals, community mental health and primary care told the House Appropriations Committee that Michigan's Rural Health Transformation application emphasized new administrative structures and competitive grant models instead of direct stabilization funding that could immediately support struggling rural hospitals.
Ben Frederick, associate vice president for advocacy at Memorial Healthcare, described the operational realities for independent rural hospitals…
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