As far as space, they go to the cities where they can get services & housing. Smaller towns have limited areas to live.
The medical services are being affected. People in smaller towns have had a hard time getting in to be treated for real emergencies because it's being used like a doctors office for non-emergencies. One town (last thread on it was shut down so I won't name it) had trailers brought in by the state to try to relieve & keep the non-ER cases from going to the Emergency Room.
If this happens in smaller communities, I would think the larger cities like New York have the same issues.