tr?id=&ev=PageView&noscript=

8 Arizona hospitals at risk of closing over Medicaid cuts, report says

By USA Today Network via Reuters Connect

April 20, 2026

Corrections & Clarifications: A previous version of this article incorrectly stated how much Medicaid and CHIP funding could be cut under the Big Beautiful Bill. It is an estimated $911 billion.

Eight Arizona hospitals could be at risk for closure due to Medicaid funding cuts outlined in President Donald Trump’s Big Beautiful Bill, a new report indicates.

A report from the nonprofit consumer advocacy organization Public Citizen outlined how Trump’s One Big Beautiful Bill Act could cut an estimated $911 billion in federal funding from Medicaid and CHIP (the federal Children’s Health Insurance Plan) over the next 10 years, based on estimates from the Congressional Budget Office.

Arizona‘s Medicaid agency is called the Arizona Health Care Containment System, or AHCCCS (pronounced “access”). Arizona‘s CHIP program, a form of Medicaid, is known as KidsCare.

RELATED: As Arizona braces for Medicaid reforms, many patients don’t know how to qualify for hospital debt forgiveness

The report flags which hospitals across each state rely on federal funding from the government’s health programs to ensure low-income patients have medical insurance.

Hospitals that are considered “at risk,” according to Public Citizen meet two criteria. It had to lose money, on average, for three years. It also had to have 20% or more of its revenue coming from Medicaid, CHIP and a low-Income government program payer mix.

According to this data, eight hospitals across Arizona met this criterion.

Which Arizona hospitals are at risk?

Public Citizen identified eight Arizona hospitals at high risk of “closing, reducing the medical services they provide, or laying off workers.”

  • Exceptional HLTH Care BullHead City
  • Cardondelet St. Mary’s Hospital
  • Arizona General Hospital
  • Mountain Vista Medical Center
  • Banner Goldfield Medical Center
  • Tempe St. Luke’s Hospital
  • Valleywise Health Medical Center
  • Abrazo Central Campus

How many people in Arizona use Medicaid?

As of April 2026, 1.8 million Arizonans were enrolled in Medicaid, state data shows.

Within Arizona, Medicaid covers:

  • 53% of nursing home residents
  • 46% of births
  • 40% of working adults with disabilities
  • 36% of children
  • 17% of adults ages 19 to 64
  • 17% of Medicare beneficiaries

Federal funding cuts put these communities at risk of losing crucial medical care, as well as the staff that serves them, at risk of losing jobs.

Reporting by Paige Moore, Arizona Republic

Author

CATEGORIES: HEALTHCARE
Related Stories
Share This