The Growing Crisis in Rural Healthcare Facilities

Outdated buildings, reactive planning and complex funding are forcing rural leaders to rethink their strategies.

By Elaina Myers, Assistant Editor


Rural healthcare facilities in the U.S. are struggling with aging infrastructure, shifting care models and limited resources to plan and fund upgrades. With growing complexity challenges, rural healthcare leaders lack the support they need to align capital projects and facility investments with long-term community needs.  

A recent rural health planning report from Wold Architects and Engineers highlights how critical facility strategy has become. Rural leaders know what their communities need but lack the planning experience to make it happen. According to the report, 72 percent of organizations feel unequipped to manage capital projects. Josh Ripplinger, national healthcare practice leader at Wold, noted that rural providers tend to “jump to the conclusion phase rather than studying the problem through a three-pronged approach” of strategy, infrastructure and operations. Without the full process, facilities risk inefficient upgrades or opportunities for long-term improvements.  

The report also found that 85 percent of rural leaders believe the community value that healthcare buildings provide is often overlooked. Ripplinger explains that rural healthcare is more than just the hospitals. It also serves as one of the major employers and economic drivers in that region and yet is often “taken for granted” when it comes to investments. This perception can lead to delayed construction efforts and ignored technology advancements.  

Facility needs themselves are also changing. “There has been a huge increase in capacity needs for ambulatory care, particularly as it relates to behavioral mental health needs in these communities,” Ripplinger says. “But the problem is that many rural hospitals were originally designed around inpatient care.”  

Funding adds another layer of complexity. The report cites that only 18 percent of organizations have successfully pursued available funding programs. Ripplinger attributed this to confusion around what qualifies and a lack of established guidance.  

“Modern projects often require a combination of grants, federal programs and local funding, making the approach far more complex than traditional single-source financing,” Ripplinger says. 

In response, more organizations are turning to proactive planning. The report found that 92 percent of rural healthcare organizations are now pursuing master facility planning. Ripplinger emphasized that this shift is due to the fact that organizations are recognizing the value of having a roadmap.  

“Having a plan in place allows these facilities to take advantage of opportunities that come up. And in rural healthcare, opportunities tend to always present themselves,” Ripplinger says.  

Elaina Myers is the assistant editor of the facilities market. 



April 1, 2026


Topic Area: Maintenance and Operations


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