Hedeman barely missed winning a second consecutive PBR world title in 1996, losing to Owen Washburn as he came in second. He then finished third in the world during the 1997 PBR season. His last ride was at the PBR Bud Light Cup Series event in Odessa, Texas in 1998, when he landed on his head after getting thrown off and herniated a disc in his previously injured neck, which required surgery. After some consideration, he officially retired in 1999. He was leading the PBR World Standings in 1998 at the time of his injury.