IBERIA PARISH (NEW IBERIA) — Iberia Medical Center, the only rural hospital serving Iberia Parish, is not facing closure despite recent concern following its inclusion on a federal “at‑risk” list post–tax and spending legislation, CEO Dionne Viator told KATC in an exclusive interview.
The confusion began last week when Iberia Medical appeared on a document sent to President Trump that labeled it among 33 rural Louisiana hospitals at risk of financial instability. Viator emphasized that they had not been alerted that the hospital was included and stated that there had been no prior communication to hospital leadership.
She clarified that Iberia Medical had not met the first criterion—operating at a loss for three consecutive years. However, it did meet the second, ranking in the top 10% nationally among rural hospitals in treating Medicaid patients.
“That’s something we’re very proud of in our community here in New Iberia. Our community is 36% Medicaid insurance,” Viator said. That robust Medicaid patient base is both a point of pride and a source of concern.
Despite the listing, Viator firmly refuted any suggestion that Iberia Medical Center is preparing to close its doors. “No—we’re not closing; we are here,” she said, underscoring the hospital’s ongoing commitment to its patients.
Looking ahead, Viator acknowledged that federal healthcare policies will have a significant local impact, particularly with upcoming reimbursement cuts. Starting in 2028, Medicare and Medicaid reimbursements are expected to decrease by 10% annually through 2035.
“That’s a long time into the future,” she remarked. “We have time for advocacy and changes, and the ability to give some thoughtful consideration of what we need to do as a hospital industry, not just the ones put on that list.”
Viator also noted that nearly 60% of the hospital’s Medicaid recipients are pregnant women, while another 20% are seniors dually eligible for Medicare. To support these vulnerable populations, Iberia Medical Center has staff dedicated to guiding patients through Medicaid application and renewal processes.
As state and federal reimbursement models evolve, Viator says the hospital will continue to focus on serving its community, ensuring residents are supported not only medically but also in navigating the complexities of healthcare coverage.
For detailed data on Medicaid coverage, click HERE.
