Landmann-Jungman Memorial Hospital Avera Recognized as State’s First Rural Emergency Hospital
The local governance board of Landmann-Jungman Memorial Hospital in Scotland, SD, made the decision to convert from Critical Access Hospital status to Rural Emergency Hospital (REH) status in March 2025. REH is a new provider type designed by the Centers for Medicare & Medicaid Services (CMS). This change was effective July 1, 2025, making Landmann Jungman the first REH in the state of South Dakota.
This designation looks to innovative payment reform and prioritizing close alignment between outpatient services and rural community health care needs.
“We have done an extensive analysis from various perspectives, including operations, finances and patient needs. The board sees this as a better option for our local health care facility and sustaining local health care into the future. We are excited for opportunities that will exist to enhance local health services,” said Melissa Gale, CEO and Hospital Administrator.
The main change was discontinuation of hospital inpatient services. Landmann-Jungman had a low average daily census for inpatient hospital care of less than one patient per day, including acute care and swing beds. “Health care has made a significant shift to outpatient services which we will still offer and will allow for enhancement,” Gale said.
The hospital will continue to be able to admit patients to observation status. If patients need a higher level of care, then they will be transferred to the level of care that can meet the patient’s needs. The local nursing home can still take skilled nursing patients as an alternative to hospital swing bed.
Landmann-Jungman will continue to offer all other services including 24/7 emergency room, therapy, laboratory services, radiology (imaging), and outpatient injections/infusions. Local clinic services, retail pharmacy services, and independent living services offered by LJMH remain the same as prior to the new designation.
“We can expand outpatient services and be creative with bringing in additional needed equipment, services and ideas,” Gale said. The hospital will receive enhanced payments from Medicare through the REH designation. “This model allows us to keep a maximum amount of services in the community and maintain all of our staff while providing a consistent revenue stream for the facility,” she added. The future is bright for healthcare in Scotland.