Illinois Governor Bruce Rauner has signed a Medicaid funding plan, which will change the way that hospitals are reimbursed, after treating low-income patients. The Republican stated on Monday in Chicago that the proposal is a “major step forward” to ensure that hospitals located in impoverished communities are adequately funded. The legislation changes the state’s current $3.5-billion hospital assessment program, in order to comply with federal mandates that more patients be covered by cost-cutting managed care organizations. The updated formula also gives additional funding to hospitals, whose patients overwhelmingly rely on Medicaid coverage. Two hospitals in Southside Chicago say that they will be forces to close down, after it was known that they would have lack of funding under the plan. Legislative leaders in Springfield are currently working with the CEOs of the hospitals to resolve a solution. The plan now will be sent to the federal government for approval.