Bipartisan State Budget Protects Healthcare

The following statement can be attributed to Brian Peters, CEO of the Michigan Health & Hospital Association.

Michigan’s elected officials demonstrated today a strong, bipartisan commitment to protecting healthcare funding in the state budget. We thank all of those who worked together when it mattered most, especially Gov. Whitmer, Senate Majority Leader Brinks and Speaker of the House Hall for their leadership in agreeing to a budget that will continue to advance the health of individuals and communities throughout the state. Hospitals, healthcare workers and patients have secure state funding for another year, maintaining access to care and protecting important service lines.

Michigan Hospital Collaboratives Launch to Improve Community Health

More than 50 Michigan hospitals are coming together to improve outcomes in maternal health, behavioral health and chronic disease across the state through new community benefit collaboratives launched by the Michigan Health & Hospital Association (MHA). The goal is to leverage community impact programming to maximize statewide improvements in these three areas.

The MHA will lead participating hospitals in implementing multi-year, scalable projects focused on enhancing group prenatal care, improving perinatal mood disorder screening and support, preventing postpartum depression and expanding food access and nutrition education. The collaborative topics were selected based on a review of all Community Health Needs Assessments completed by Michigan hospitals. Each collaborative is modeled after existing programs at Michigan hospitals and healthcare organizations designed to address healthcare barriers and improve health outcomes.

“This work reflects Michigan hospitals’ commitment to investing in their communities far beyond their four walls to improve population health,” said MHA CEO Brian Peters. “These collaboratives are designed to scale local success into making a statewide impact that advances the health and well-being of Michiganders where they live, work and grow.”

Each collaborative has various components that can be tailored to meet the unique needs of a hospital, depending on size, available resources and patient populations. The implementation of the collaboratives is supported by funding from the Michigan Health Endowment Fund. Public Policy Associates will facilitate program evaluations.

The list of participating hospitals for each collaborative is available below.

Behavioral Health Collaborative  

  • Henry Ford Health
  • MyMichigan Medical Center Alma
  • MyMichigan Medical Center Clare
  • MyMichigan Medical Center Gladwin
  • MyMichigan Medical Center Midland
  • MyMichigan Medical Center Mt. Pleasant
  • MyMichigan Medical Center Saginaw
  • MyMichigan Medical Center Sault
  • MyMichigan Medical Center Standish
  • MyMichigan Medical Center Tawas
  • MyMichigan Medical Center West Branch
  • ProMedica Monroe Regional Hospital
  • ProMedica Charles and Virginia Hickman Hospital
  • Trinity Health Ann Arbor
  • University of Michigan Health-Sparrow Lansing
  • University of Michigan Health-West

Chronic Disease Collaborative

  • Aspirus Iron River Hospital & Clinics
  • Aspirus Keweenaw Hospital & Clinics
  • Aspire Rural Health System Deckerville Community Hospital
  • Aspire Rural Health System Hills & Dales Healthcare
  • Aspire Rural Health System
  • Beacon Kalamazoo (formerly Borgess Hospital)
  • Bronson Battle Creek Hospital
  • Henry Ford Health
  • Kalkaska Memorial Health Center
  • Munson Medical Center
  • MyMichigan Medical Center Alma
  • MyMichigan Medical Center Clare
  • MyMichigan Medical Center Gladwin
  • MyMichigan Medical Center Midland
  • MyMichigan Medical Center Mt. Pleasant
  • MyMichigan Medical Center Saginaw
  • MyMichigan Medical Center Sault
  • MyMichigan Medical Center Standish
  • MyMichigan Medical Center Tawas
  • MyMichigan Medical Center West Branch
  • Scheurer Health
  • Schoolcraft Memorial Hospital

Maternal Health Collaborative  

  • Bronson Methodist Hospital
  • Corewell Health Lakeland Hospitals – St. Joseph Hospital
  • Henry Ford Health
  • MyMichigan Medical Center Alma
  • MyMichigan Medical Center Clare
  • MyMichigan Medical Center Gladwin
  • MyMichigan Medical Center Midland
  • MyMichigan Medical Center Mt. Pleasant
  • MyMichigan Medical Center Saginaw
  • MyMichigan Medical Center Sault
  • MyMichigan Medical Center Standish
  • MyMichigan Medical Center Tawas
  • MyMichigan Medical Center West Branch
  • Three Rivers Health Hospital (Beacon Health System)

To learn more about community benefit efforts across the state, visit the MHA Community Benefit webpage.

Based in Greater Lansing, the MHA is the statewide leader representing all community hospitals in Michigan. Established in 1919, the MHA represents the interests of its member hospitals and health systems in both the legislative and regulatory arenas on key issues and supports their efforts to provide quality, cost-effective and accessible care. The MHA’s mission is to advance the health of individuals and communities.

Peters Reaffirms Commitment to Protecting Healthcare Access Throughout Michigan

The following statement can be attributed to Brian Peters, CEO of the Michigan Health & Hospital Association.

The Speaker is wasting Michiganders’ time and resources doubling down on defending these disastrous budget cuts and resorting to personal attacks. Attacking me does not change the real cuts his budget threatens to make against patients, healthcare workers and hospitals. I’m happy to be the target of his outrage and criticism if that distracts him from cutting funding for those who report to work every day to save lives.

The fact is the Rural Health Transformation funding is a lottery ticket that pales in comparison to the more than $8.5 billion hospitals would lose from state and federal cuts. State lawmakers have no influence on when or how much federal rural money is distributed. At best, it would only make up for 3% of these cuts, if it comes to fruition.

We will not be bullied away from defending our patients. We remain steadfast in our commitment to protecting healthcare access throughout Michigan.

House Budget Endangers 20,000 Hospital Jobs and $4.9 Billion Economic Loss

An estimated 20,000 hospital jobs could be lost in Michigan and lead to a $4.9 billion loss to the state’s economy if the House version of the state budget ultimately is signed into law, according to new estimates from the Michigan Health & Hospital Association (MHA).

The estimates consider the more than $2.5 billion in potential hospital funding cuts included in House Bill 4706. The impact on jobs would be particularly profound, as on average, 60% of a hospital’s budget is due to labor. Such a cut could have an additional estimated induced and indirect economic loss of $2.4 billion on the economy. More than one million jobs are directly, indirectly or induced by healthcare in the state.

“Healthcare is the largest private-sector employer in the state, with hospitals employing the most direct jobs within the sector with approximately 222,000 employees,” said MHA CEO Brian Peters. “Our calculations show the House version of the state budget could ultimately lead to a 9% reduction in the direct hospital workforce. Hospitals are one of the largest employers in each of their communities, meaning job losses to this magnitude would be felt in every corner of Michigan.”

Provisions of the budget bill that would lead to losses include:

  • New language that places $2.5 billion of hospital provider-tax funded payments in contingency line, requiring unnecessary administrative and legislative actions that could jeopardize timely hospital payments.
  • Elimination of at least $100 million of funding from the Specialty Network Access Fee (SNAF), which provides reimbursement to physicians caring for patients with Medicaid coverage.
  • Elimination of $10 million to support the Maternal Levels of Care verification and MI-AIM safety program for birthing hospitals.

Hospitals depend on stable funding, predictable reimbursements and policies that reflect the real costs of care. This is necessary from all healthcare payors, including the state. Eroding established funding levels and risking both the certainty and the timeliness of payments prevents hospitals from making needed investments in the hospital workforce, patient care and capital improvements.

House Budget Guts Hospital Funding

The following statement can be attributed to Brian Peters, CEO of the Michigan Health & Hospital Association.

The proposed state budget from the Michigan House of Representatives guts hospital funding and would be disastrous if even a semblance of the cuts eventually makes it into the state budget. Michigan hospitals already stand to lose more than $6 billion over the next ten years due to federal budget cuts. Slashing more funding that supports delivering healthcare services and the nurses, physicians and other staff employed by hospitals harms Michigan and our more than 10 million residents.

Hospitals are already bracing for busier emergency departments, sicker patients and higher rates of uncompensated care. We are extremely disappointed in the message being sent to healthcare providers to do more with less. Hospitals can only stretch resources so far before it impacts their ability to provide the care our communities need.

Hospitals need a real budget by Sept. 30 that supports healthcare and those who show up to work every day to care for Michiganders. It is time to stop playing political games and get to the table with real solutions that give our state the basic support that it needs.

Medicare & Medicaid Improve Michigan’s Health for 60 Years

The following statement can be attributed to Brian Peters, CEO of the Michigan Health & Hospital Association.

Today marks the 60th anniversary of Medicare and Medicaid making a monumental difference in improving the health of Michiganders and supporting healthcare providers.

This anniversary reminds all of us about the value these programs bring to the health of our citizens and access to care throughout Michigan. At a time when the federal government has taken steps to limit these programs that will result in Michigan hospitals losing $6 billion over the next ten years, healthcare providers will continue to do everything in our power to protect these vital programs and the people they serve.

Nearly half of Michigan residents receive health coverage from these two insurance programs, and 40% of all babies born in the state every year are covered by Medicaid, demonstrating the reliance our state has on publicly available health insurance coverage. These programs help vulnerable Michiganders receive preventative care, cancer treatment, and important hospital and post-acute services during their time of need.

Our message to lawmakers is clear: act now to protect these programs before it is too late. If the harmful policies signed into law earlier this month come to pass, we will see less healthcare services offered in all areas of the state, more uninsured and sicker patients, and longer wait times in emergency departments.

The creation of these programs was a huge step forward for the health of our country. We can’t afford to go backwards by undermining Medicare and Medicaid and what they do for millions of Michiganders.

New PwC Report Warns of Rising Hospital Costs and Mounting Financial Pressure on U.S. Healthcare System

The Michigan Health & Hospital Association (MHA) is drawing attention to a new national report from PricewaterhouseCoopers (PwC) that outlines the severe financial challenges facing hospitals across the country that could soon jeopardize patient care if urgent policy action is not taken.

The report, Inflator: Hospital Costs, from Wages to Hospital Gowns, highlights the mounting pressures on hospitals due to surging costs, workforce shortages and skyrocketing demand for behavioral health services, all while proposed tax cuts and Medicaid funding reductions threaten to widen the gap between costs and revenue.

“This report confirms what hospitals in Michigan and across the country are living every day: skyrocketing costs, growing demand and shrinking margins,” said MHA CEO Brian Peters. “We cannot afford policies that slash Medicaid funding or shift more financial burden to hospitals and patients. Without sustainable support, hospitals – especially those in rural and underserved areas – face real threats of closure.”

Key findings from the PwC report include:

  • Hospital margins have plummeted, dropping from an average of 7% in 2019 to just 2.1% in 2024, with additional declines reported in early 2025.
  • Drug spending surged by $50 billion (11.4%) in 2024, more than double the increase seen in 2023, largely driven by high-cost therapeutics in chronic disease areas like oncology, obesity and diabetes.
  • Behavioral health claims soared, with inpatient claims increasing by 80% and outpatient claims by 40% over a two-year span, reflecting the intensifying behavioral health crisis.
  • Tariffs and supply chain challenges continue to drive up the cost of everyday medical supplies, compounding inflationary pressures.
  • Medicaid cuts and federal tax policies could force the closure of service lines at facilities that rely heavily on government payers, impacting access to care for all residents.

The report also outlines how hospitals are working to offset financial pressures by investing in revenue cycle improvements and value-based payment models. Still, the report emphasizes that system-wide stability will require collaboration between payers, providers, policymakers and employers, especially as rural hospitals face ongoing threats of closure.

The MHA is supporting Michigan hospitals facing these mounting challenges through the following actions:

  • Advocating to preserve and strengthen the federal 340B program, which enables hospitals to purchase outpatient medications at discounted rates, freeing up resources to serve low-income and uninsured patients.
  • Working with state policymakers to expand access to mental health and substance use treatment, reduce emergency department (ED) strain and support hospitals’ efforts to meet growing behavioral health needs. This includes Senate Bill 806, which expands the three-hour assessment responsibility by allowing clinically-qualified staff to conduct pre-admission screenings for behavioral health patients seeking care in the ED.
  • Leading efforts to expand the healthcare workforce pipeline through partnerships with post-secondary educators, awareness campaigns and recruitment and retention initiatives to help hospitals manage staffing costs while maintaining high-quality care.
  • Working to add Michigan to the Nurse Licensure Compact, allowing nurses to practice across state lines without the burden of obtaining additional licenses.
  • Advocating against Medicaid cuts and pushing for reimbursement rates that reflect the true cost of care, especially for safety net and rural hospitals that disproportionately rely on public payers.

The full report is available on the PwC website.

Medicaid Funding Cuts Are Disastrous for Michigan Healthcare

The following statement can be attributed to Brian Peters, CEO of the Michigan Health & Hospital Association.

The budget reconciliation bill passed by Congress is disastrous for access to care for Michiganders and the healthcare providers who care for them.

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. The added bureaucratic requirements for Michiganders to maintain their health insurance will also take away health insurance benefits from our neighbors, friends and family, resulting in increased uncompensated care for healthcare providers. In total, this bill will cost Michigan hospitals more than $6 billion in total Medicaid funding over the next ten years.

This bill is an attack on Medicaid, expanded health insurance coverage and healthcare access. We are extremely disappointed with the actions taken by Congress. Today is an extremely large step backwards for making and keeping our communities healthier.

MHA Meritorious Service Award Recognizes Bob Riney

Bob Riney, president and CEO, Henry Ford Health, accepts the MHA Meritorious Service Award at the MHA Annual Meeting.

The MHA announced the 2025 winner of its highest achievement award June 26 during the association’s Annual Membership Meeting. Receiving the award for his decades of healthcare leadership is Bob Riney, president and CEO, Henry Ford Health, Detroit.

Riney is honored for his decades of healthcare leadership, which spans more than 45 years of service at Henry Ford Health. Riney has been instrumental in the growth of Henry Ford Health and its role serving communities throughout Michigan and beyond during his tenure. Riney’s career with Henry Ford Health began in 1978 as a college student and has since evolved into many executive roles, including chief operating officer, chief administrative officer and chief human resources officer. Following his appointment as CEO in 2022, Henry Ford Health has executed several large projects.

Riney spearheaded a joint venture agreement with Ascension Michigan hospitals, uniting the two major health systems across southeast Michigan. This grew Henry Ford Health from five to 13 acute care hospitals; approximately 33,000 to 50,000 team members; and 250 to more than 550 sites of care, while expanding access to advanced clinical care and cutting-edge research for communities throughout Michigan and beyond.

Riney has also been key in the creation of Destination: Grand, which completely reimagines the Henry Ford Hospital campus in Detroit to improve the patient experience and drive medical innovation. It will include a new 20-story, 1.2-million-square-foot hospital facility with all private patient rooms, a new emergency department more than double the size of the existing one, 28 operating rooms and its own central energy hub, positioning it as one of the largest fully electric-capable hospitals in the country.

His involvement with the MHA spans 25 years, including working on various committees and issues that focus on the healthcare workforce, patient safety and board governance. Riney served on the MHA Board of Trustees for 14 years, including as chair during the 2016-17 MHA program year.

Riney is a graduate of Wayne State University and a lifelong Detroiter. He remains active on many community boards, including the Alfred I. duPont Charitable Trust, Detroit Zoological Society, M1 Rail Transit Authority, The Parade Company, Hudson-Webber Foundation, Caymich Insurance Company, Detroit Regional Chamber, Business Leaders for Michigan, Downtown Detroit Partnership, Detroit Regional Partnership, The Detroit Economic Club and Motown Museum. In addition, Riney is the 2026 Mackinac Policy Conference Chair.

Ludwig Community Benefit Award Honors Hospital Programs

The MHA announced the winners of its 2025 Ludwig Community Benefit Award during the association’s Annual Membership Meeting June 26. The honorees include programs supported by Corewell Health Lakeland Hospitals St. Joseph Hospital; Lake Huron Medical Center, Port Huron; and MyMichigan Health, Midland. The award is named in memory of Patric E. Ludwig, a former MHA president who championed investing in the community’s overall health. The award is presented to member organizations integrally involved in collaborative programs to improve the health and well-being of Michigan residents. Each winner will receive $5,000 from the MHA Health Foundation to reinvest in their programs.

Corewell Health in Southwest Michigan, in collaboration with the Michigan Public Health Institute’s Achieving Birth Equity Through Systems Transformation Taskforce, created the Corewell Health Center for Wellness (CHCW) in Benton Harbor to be a trusted resource to provide education in prenatal, childbirth and postnatal care in Southwest Michigan. The CHCW offers free childbirth education, breastfeeding support, safe sleep education, navigation to essential community resources and culturally informed guidance tailored to the unique needs of their community. The programs served 370 community members in 2024 with a 100% retention rate in classes. The number of families who maintained breastfeeding at two weeks post-partum through the program exceeded the national breastfeeding rate by 20 percentage points.

These results show how the CHCW enhances clinical outcomes and builds a resilient, empowered community where mothers and families can thrive. The childbirth educasstion classes are currently supported by a dedicated team that includes a certified childbirth educator, a community-based doula, a lactation consultant, a community health educator, a community health worker and a senior project specialist.

For more information on the taskforce, contact Kyna King, senior project specialist, Corewell Health in Southwest Michigan.

Lake Huron Medical Center, Port Huron, partners with the People’s Clinic for Better Health, which has been providing life-saving healthcare at no cost to the uninsured and under-insured in St. Clair County for more than 35 years. Located in the St. Clair County Community Mental Health, the clinic is open five days a week as both a free clinic and a Medicaid clinic, accepting patients who are 18 years or older, who are without insurance, or receive Medicaid coverage. The clinic offers routine health screenings, women’s health, non-emergency maintenance care of chronic illness, wellness checkups, specialist referrals, lab and radiology testing, diabetes education and benefits counseling.

The clinic works closely with community and social service partners to best serve its patients and improve health outcomes. The People’s Clinic for Better Health recently added a mobile unit, which goes to locations like the area soup kitchen to help the clinic reach further into the community.  Overall, 63% of patients reported an improvement in their health in 2024-25 and 97% of patients needing specialty referrals were referred to accepting service providers.

For more information on the People’s Clinic for Better Health, contact Mallory Moore, foundation director, Lake Huron Foundation.

MyMichigan Health, Midland, established Continuing Care Clinics to reach the residents throughout MyMichigan Health’s 26-county service region who do not have timely access to a primary care physician. These clinics provide timely care during critical transitions in health, such as after discharge from a hospital, emergency department, long-term care facility or while patients are waiting to establish care with a new primary care provider. New patient appointments and transition-of-care visits are provided within seven days of discharge.

MyMichigan has been successful at reducing poor health outcomes, as patients receiving care through this model have a lower risk of readmission compared to those at other similar clinics in the community. The multidisciplinary team of clinicians creates personalized care plans that help patients successfully transition home and reduce the risk of readmission. Patients also receive referrals for preventative screenings, which further supports community wellness. The Continuing Care Clinics also work closely with community partners to improve patients’ ability to access essential resources, including food, transportation and medication delivery, which helps patients manage their health and improve their recovery.

Visit the MyMichigan Health website for more information about MyMichigan Health’s Continuing Care Clinics.

To learn more about the MHA’s annual Ludwig Community Benefit Award, contact Erin Steward at the MHA.