ALBANY, N.Y. (WNYT) – Healthcare leaders and state lawmakers gathered in Albany on Tuesday to warn that Upstate and rural hospitals are facing mounting financial pressure from potential federal funding cuts and state budget constraints. IHA President and CEO Kevin M. Kerwin thanked lawmakers for their support, saying hospitals play a vital role beyond providing medical care. As of June 2025, 62% of Upstate and rural hospitals were operating below a 3% margin benchmark, with many already struggling financially. Kerwin said federal cuts could strip coverage from hundreds of thousands of New Yorkers, disproportionately affecting rural communities, while state budget pressures threaten existing commitments. “These are economic development decisions as much as healthcare decisions.”Lawmakers and healthcare leaders said swift state action is needed to preserve access to care and economic stability across Upstate and rural New York.