Kaleida Health, one of Western New York’s largest healthcare systems, announced the closure of two therapy clinics in response to federal healthcare budget cuts stemming from the One Big Beautiful Bill Act. The affected facilities are the Buffalo Therapy Services clinics located on Maple Road in Amherst and at DeGraff Medical Park in North Tonawanda. Both clinics will cease operations on November 10, 2023, impacting approximately 30 employees and many patients who rely on their services.
These closures reflect a broader trend among healthcare providers in the United States as they navigate significant reductions in Medicaid funding, which are expected to continue over the next decade. Kaleida Health cited several factors influencing this decision, including decreased funding and reimbursement rates, the financial viability of the clinics, and the overall sustainability of healthcare services in the community.
Phil Stokes, a resident of Hamburg, expressed his disappointment regarding the closure. Stokes received treatment at the Maple Road location after suffering a traumatic brain injury from a car accident in 2017. He noted the importance of the clinic’s staff and the tailored support he received, saying, “They were very patient, they were compassionate, and they were very good at keeping me on track.” Stokes voiced concerns that the closures would hinder access to care for vulnerable populations, particularly for those on Medicaid. “Now it’s going to be more difficult for people to find a provider,” he added.
In an official statement, Kaleida Health emphasized the necessity of these cuts, stating that they are part of ongoing evaluations regarding the impact of the One Big Beautiful Bill Act. The healthcare system acknowledged the difficult choices faced by hospitals and providers across the region. “This unfortunate shift in the healthcare economic landscape does not diminish these teams’ skills or commitment to our patients and our community,” the statement read.
The organization is committed to supporting the affected staff during this transition period, with efforts ongoing to connect impacted employees with alternative job opportunities. Kaleida Health plans to continue providing services for an additional 90 days to assist most patients in completing their treatment plans. Patients will receive notifications about the closure timeline and information regarding alternative providers in the area.
As part of its response to the challenges posed by federal budget cuts, Kaleida Health is actively engaging with local, state, and federal advocacy groups to seek solutions that protect healthcare services in the region. The organization remains focused on delivering high-quality, patient-centered care, despite the difficult economic conditions it faces.
The closure of these clinics serves as a critical reminder of the ongoing challenges within the healthcare system, particularly as funding structures evolve and impact service availability across communities.
