On July 14, 2026, John Moolenaar put his name on a bipartisan rural health care bill and said this:
"Rural Michigan residents deserve to have access to the highest quality health care available."
The bill is the Medicare Access to Rural Anesthesiology Act. What it does is narrow: it would let rural hospitals use Medicare funding to hire physician anesthesiologists, which current law reserves for anesthesiologist assistants and nurse anesthetists. Moolenaar's own description calls it "a small change to existing law."
It is a fine idea. It is also being offered by a congressman who, twelve months earlier, cast a vote that researchers say put two hospitals in his own district at risk of closing.
July 3, 2025: the vote
Moolenaar voted yes on the final passage of H.R. 1, Trump's budget bill, on July 3, 2025. It passed 218–214. Trump signed it the next day.
The law cuts roughly $1 trillion from Medicaid over the next decade to make room for tax cuts. The Congressional Budget Office estimated about 12 million people would lose health coverage.
In Michigan, Medicaid covers more than 2.5 million people. Brian Peters, CEO of the Michigan Health and Hospital Association, said the day before the vote:
"Cuts to funding are cuts to care. Limiting how states can fund their Medicaid programs puts Michigan in an extremely difficult position. If the state can no longer provide the same reimbursement, hospitals will be faced with difficult choices that will include eliminating service lines or even entire facilities."
Peters estimated the law will cost Michigan hospitals more than $6 billion in Medicaid funding over ten years.
In Moolenaar's district specifically, the Joint Economic Committee projected that 31,521 people in MI-02 will lose health coverage — 19,021 losing Medicaid and 12,500 losing Affordable Care Act coverage.
July 21, 2025: two of the hospitals are his
Eighteen days after the vote, researchers at the Cecil G. Sheps Center for Health Services Research at the University of North Carolina finished an analysis of which rural hospitals the cuts put in the most danger. They found more than 300 nationwide at risk of closure, conversion, or service cuts — hospitals already running negative margins for three straight years, or unusually dependent on Medicaid.
Three of them are in Michigan. Two are in Moolenaar's district:
- McLaren Central Michigan, in Mount Pleasant — Isabella County, MI-02.
- UM Health-Sparrow Carson, in Carson City — Montcalm County, MI-02.
(The third, Ascension Borgess-Lee, is in Dowagiac, in southwest Michigan.)
Mount Pleasant is a town of about 21,600 people with a median income around $40,000. Nearly 8% of residents have no health coverage at all. McLaren Central Michigan told the Michigan Independent what the cuts mean in practice:
"In order to maintain a level of operation, providers would be forced into making difficult decisions, potentially eliminating meaningful services or, in severe circumstances, leading to the closure of facilities entirely."
And then the hospital said the quiet part directly to lawmakers like Moolenaar:
"For the sustainability of Michigan's and the nation's rural health care infrastructure, we appeal to lawmakers to carefully consider the detrimental impact of these cuts and to reconsider them."
He did not reconsider them.
June 2026: a Michigan rural hospital actually closed
This is not a hypothetical.
On June 19, 2026, Sturgis Hospital closed after more than a century in rural St. Joseph County — 84 licensed beds, roughly 300 employees, gone. It had already tried everything on the menu: pandemic relief loans, state support, and in 2023 it became Michigan's first federally designated rural emergency hospital. None of it was enough.
Dr. Andrea Wendling of Michigan State University's College of Human Medicine told Bridge Michigan she expects this to be "the first of more closings that we're going to see over the next few years."
Sturgis Director of Public Safety Ryan Banaszak described what a closure does to a small town:
"What was once approximately a 2-mile transport for patients has now become closer to 25 miles, which takes ambulance personnel and equipment out of service for a much longer period of time."
That is the actual stake here. Not staffing rules — distance, in minutes, between a person having a heart attack and a hospital that's open.
The $50 billion that isn't enough
Republicans have an answer ready when you raise any of this: the Rural Health Transformation Program, a $50 billion fund created by the same law. Michigan got $173 million for its first budget period.
The people who run Michigan's rural hospitals don't think it closes the gap. Michigan is projected to lose about $2 billion a year in Medicaid funding. Munson Healthcare, which runs hospitals across northern Michigan, expects to lose roughly $30 million once the law is fully in effect.
Michael Shepherd, a rural health professor at the University of Michigan, put it plainly to Michigan News Connection:
"It is highly unlikely that this program is going to make rural health, rural hospitals whole again."
Gabe Schneider, Munson Healthcare's director of government relations, was blunter:
"We certainly recognize that it's not even a comparison. It's not really fair to say one offsets the other."
He was warned, in his own district, on the record
Moolenaar cannot say nobody told him.
In March 2025 — three months before the vote — he held a virtual town hall where constituents asked about Medicaid. He defended adding work requirements, saying "that would be a condition of receiving Medicaid." That same month, roughly 200 of his constituents held an "empty chair" town hall in Mount Pleasant — the same town as McLaren Central Michigan — after he declined to attend. Medicaid was one of the things they came to talk about.
The pattern
Vote for the cut. Wait for the damage. Introduce a small bill about the damage. Send out a press release with the words "rural" and "deserve" in it.
We've watched this run before. Mississippi's Cindy Hyde-Smith told her state "Medicaid is not going anywhere," voted for the cuts anyway, and then started cosponsoring rural hospital rescue bills — three of them in five months. Tennessee's David Kustoff sits on the committee that wrote the cuts while his state ended up with the highest share of at-risk rural hospitals in the country.
A rule change about who can administer anesthesia does not replace $6 billion. It doesn't reopen Sturgis. And it doesn't do anything for the 31,521 people in Michigan's 2nd District projected to lose their coverage because of a vote John Moolenaar cast on a Thursday afternoon.
If rural Michigan residents deserve "the highest quality health care available," the time to say so was July 3, 2025.
Sources
- Huffman, Moolenaar Introduce Legislation to Improve, Modernize Rural Health Care — Office of Rep. Jared Huffman, July 14, 2026
- Sturgis closure may be 'first of more' for Michigan rural hospitals — Eli Newman, Bridge Michigan, July 8, 2026. Photo: Bridge Michigan.
- 3 rural Michigan hospitals deemed at risk following Trump's cuts to Medicaid funding — Michigan Independent, July 21, 2025
