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Dear Community Members,

As we begin this new year, I want to take a moment to share with you some of the growing concerns around healthcare funding—both at the state and federal levels—and what it could mean for hospitals like ours, our patients, and our community.

This year, the Colorado Legislature faces an $850 million budget shortfall. Historically, one-third of the state’s budget has gone toward funding healthcare programs, but with this significant gap, difficult decisions will need to be made. The Governor’s office has already signaled that there will be no increase in Medicaid payments, despite the unprecedented rise in the cost of supplies and labor. This is concerning because Medicaid, which covers many of our patients, does not fully reimburse the cost of care—it pays only about 79 cents on the dollar.

MRH CEO Jennifer Riley and her husband, Steve, enjoying the winter season and activities in Northwest Colorado.

On top of the state’s budget challenges, we are closely watching proposed federal funding changes that could further impact Medicaid. One proposal being considered is capping the federal Medicaid dollars provided to each state. If this happens, Colorado would have to pick up an even greater share of the cost of healthcare or, even worse, reduce coverage and access for those who rely on it most.

As a hospital CEO, I understand the challenges of making difficult budget decisions. In recent years, MRH has had to make its own tough choices to ensure we continue providing high-quality care while maintaining financial stability. Unfortunately, these challenges are not unique to us—70% of hospitals in Colorado are currently operating with an unsustainable financial margin. For some, even a small reduction in funding could be the tipping point.

While these funding uncertainties are beyond our direct control, we remain committed to advocating for policies that support rural healthcare and ensuring our community continues to have access to the care it needs. I encourage you to stay informed and engaged as these discussions unfold. Our collective voice matters, and together, we can work toward solutions that protect and strengthen healthcare in our community.

Thank you for your continued support of MRH. It is an honor to serve this community, and we remain dedicated to providing the best care possible—no matter what challenges lie ahead.

Sincerely,

Jennifer Riley, MHA, FACHE
Chief Executive Officer