Hospital and health system CEOs are prioritizing several growth efforts in 2026 while addressing key constraints.
As hospitals plan for growth in the year ahead — through expanded capacity, new facilities, service lines and workforce investments — their leaders are also contending with industrywide headwinds, including persistent workforce shortages and looming reimbursement cuts.
Expanding care access is the top priority for Sutter Davis (Calif.) Hospital in 2026, CEO Michael Cureton told Becker’s.
“Like many health systems, we simply don’t have enough providers to meet the needs of our growing populations, which makes it essential that we continue strengthening our ambulatory footprint and investing in care models that bring services closer to patients,” Mr. Cureton said.
To support these efforts, the hospital maintains partnerships with medical groups committed to recruitment. Even modest improvements — such as extending urgent care hours — have helped stabilize emergency department demand and improve throughput, he said.
At Naples (Fla.) Comprehensive Health, the top growth priority for 2026 centers on quality. The system has focused on recruiting high-quality physicians and staff and demonstrating its differentiation by benchmarking outcomes against top-performing organizations nationwide, President and CEO Paul Hiltz told Becker’s.
“We start with that differentiation, and then we’ve worked simultaneously on access and making it easier for patients to schedule, either through Epic or through our call center,” he said. “That combination is working, because our volumes are growing.”
Key partnerships have supported these efforts. In June, NCH opened its freestanding orthopedic hospital in collaboration with New York City-based Hospital for Special Surgery.
“By making everything under one roof in orthopedics — we do the diagnostic imaging, [physical therapy rehabilitation], inpatient surgery and outpatient surgery all in one building — we believe that convenience has been a big piece of double-digit orthopedic growth,” Mr. Hiltz said.
In January, NCH and Miami-based Nicklaus Children’s Hospital formed a partnership to expand care for women and children, including the construction of the Van Domelen Pavilion for Women and Children on NCH’s North Hospital campus. The facility will serve as the hub for the Van Domelen Institute for Women and Children and will include modern labor and delivery suites, operating rooms and a level 3 neonatal intensive care unit.
“Across the country, more maternity units are closing than opening, and very few are expanding,” Mr. Hiltz said. “Partnerships like our collaboration with Nicklaus are a key growth strategy. They allow us to enhance both the quality and depth of what we offer, and to do so more quickly by working with world-class partners.”
Key constraints
Leaders also shared the most significant constraints they are addressing as part of their 2026 growth strategy. For Elaine Batchlor, MD, CEO of Los Angeles-based MLK Community Healthcare, capacity tops the list.
“As a small hospital operating one of the busiest emergency departments in the state — and serving one of its poorest communities — our most critical need is additional capacity to care for patients,” Dr. Batchlor told Becker’s. “Our finances have been under stress for several years, and now, with the devastating cuts to Medicaid in HR-1, it will be even more challenging to fund the growth our community needs.”
Changes introduced by the One Big Beautiful Bill Act to premium subsidies and Medicaid eligibility are projected to reduce hospital revenue across the U.S. by $68.5 billion in 2026 and 2027. California is projected to lose $4.3 billion — the third-highest state loss, according to a Dec. 15 report from Premier.
Mr. Cureton also cited space as the biggest constraint at Sutter Davis Hospital.
“The need for modern, flexible clinical environments outpaces what our current facilities can support,” he said. “While we work toward long‑term facility solutions, we are doubling down on operational efficiency — leveraging technology, including AI, and disciplined management practices — to ensure we can meet growing patient needs today while responsibly planning for tomorrow.”
At NCH, workforce challenges remain a top priority. The system is actively exploring a workforce housing solution, as affordable housing has emerged as a major constraint.
“We’re also looking at innovative recruitment strategies, and in some cases, recruiting into high schools and colleges to expand our pool of great candidates,” Mr. Hiltz said. “The sooner we can get someone into our employee base and help them grow their career, the better off we’re going to be.”
