May 8, 2025

Federal grant cuts threaten hospital disaster readiness

Editor's Note

Eliminating the Federal Emergency Management Agency’s (FEMA’s) key disaster preparedness grants could weaken hospital infrastructure and jeopardize care during future crises, according to a May 5 report in Modern Healthcare.

As detailed in the article, the Trump administration has cut $3.3 billion in annual funding by ending the Building Resilient Infrastructure and Communities (BRIC) and Flood Mitigation Assistance programs, prompting concern among health system leaders. The May 2 federal budget proposal also outlines the potential elimination of another $240 million tied to the Hospital Preparedness Program under the Administration for Strategic Preparedness and Response.

Hospitals have used BRIC grants to mitigate disaster risks by reinforcing potable water systems, elevating equipment above flood zones, and building emergency shelters. As Modern Healthcare reports, BayCare Health System in Florida relied on such grants to draft critical water infrastructure plans, which proved essential when Hurricane Milton damaged the local supply. Without this funding, the nonprofit said, projects that ensure hospital operability during disasters may falter.

Citing another example, the article details how Columbia Memorial Hospital in Oregon had planned to use a $14 million BRIC grant to relocate essential generators to its roof and construct a shelter for disaster response. That award is now canceled, and the hospital is unsure how to proceed. FEMA previously funded 75% of BRIC project costs, with states covering the remainder, but with the grant terminated, providers may be forced to bear the full cost or forgo infrastructure improvements entirely.

Experts warn this decision undermines one of the few federal programs focused on disaster prevention rather than recovery. Additional proposed cuts to the Hospital Preparedness Program, a public-private coalition model created after 9/11, raise further concern. The administration characterized it as redundant, arguing states can manage such functions independently. However, public health advocates quoted by Modern Healthcare warn that if such funding is removed, alternative support pathways must be created to maintain critical infrastructure.

Read More >>

Join our community

Learn More
Video Spotlight
Live chat by BoldChat