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September 03.2025
2 Minutes Read

Rural Hospitals Unite in Clinically Integrated Networks to Survive

Vintage fire truck beside Bowman sign in rural North Dakota field.

Rural Hospitals Forge Alliances to Thrive

Amid the ongoing challenges faced by rural healthcare facilities across the United States, a significant trend is emerging: small, independent hospitals are uniting to ensure their survival. Instead of selling out to larger health networks, these local hospitals are forming collaborative networks, sharing resources, and working together to enhance patient care while retaining their operational autonomy.

Take Bowman, North Dakota, for example. With a population of just 1,400, the town relies heavily on the services provided by Southwest Healthcare Services. This modest facility has partnered with 21 other healthcare providers to create the Rough Rider Network, enabling them to combine patient rolls and negotiate better prices on critical services—for instance, a mobile MRI unit that would otherwise be prohibitively expensive for any single hospital. This innovative collaboration not only improves accessibility for patients but also bolsters the financial viability of the participating institutions.

The Rise of Clinically Integrated Networks

These alliances, known as clinically integrated networks, are becoming increasingly popular among independent rural hospitals. They allow healthcare providers to collaborate on care delivery while engaging in value-based care contracts with insurers. Rather than being driven by volumes of services rendered, this model incentivizes hospitals to focus on the quality of care provided and the outcomes achieved, aligning their goals with the needs of the communities they serve.

Amid concerns over hospital closures—153 rural hospitals ceased to operate or stopped offering inpatient services since 2010—this approach offers a promising path forward. By pooling resources and negotiating collectively, rural hospitals can prevent service reductions and maintain their independence, ultimately benefiting both patients and healthcare workers.

Looking Ahead: The Future of Rural Healthcare

As discussions surrounding healthcare policy continue to evolve, potential funding from initiatives like the Rural Health Transformation Program may further support these networks. The goal here is clear: to strengthen the viability of rural healthcare systems and ensure their communities have access to the necessary medical services.

With the collective power of smaller providers uniting against common challenges, the future of rural hospitals looks a bit brighter. This collaborative spirit not only uplifts individual institutions but also reinforces the critical role local healthcare facilities play in sustaining the health and vitality of their regions.

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