A Critical Access Hospital (CAH) is a designation given to eligible rural hospitals by the Centers for Medicare & Medicaid Services (CMS) . The program was established in 1997 as part of the Balanced Budget Act, with the aim of offering small hospitals in rural areas to serve residents that would otherwise be a long distance from emergency care. To receive federal funding, Critical Access Hospitals must adhere to several guidelines, including having no more than 25 beds and an average duration of hospital stay under 96 hours. They must also be more than 35 miles from another hospital, with exceptions allowed for areas with poor roads or difficult terrain. Critical access hospitals must have all the equipment and medications required for essential medical treatment, and have agreements in place with larger hospitals for the transport of patients in need of further care. Pharmaceutical companies are legally required to pay for a portion of the medications used by critical access hospitals as part of the 340B Drug Pricing Program. Critical access hospitals are important because they offer more affordable, accessible healthcare to individuals living in rural areas.