Hospital Association Supports Gov. Tina Kotek's Recommended Budget, Urges Legislators To Take Action To Protect Access To Care In 2025 -12/02/24

PORTLAND, Ore.—The Hospital Association of Oregon applauds Gov. Tina Kotek for including funding in her 2025 budget to support maintaining health care services in Oregon. Taking action to fully fund the Oregon Health Plan (OHP) and increasing OHP payments to community hospitals is critical for protecting access to vital health services, such as maternity care, in communities across the state. 

“Adequate funding of the Oregon health plan is not just about access to care for vulnerable Oregonians, but about the availability of services for us all,” said Becky Hultberg, president and CEO of the Hospital Association of Oregon. “Absent meaningful steps like these to help hospitals cover the cost of providing care, Oregon’s community hospitals will be forced to make tough decisions about what services they can provide.” 

For the past five years, Oregon’s community hospitals have struggled to cover the cost of providing care. About half of Oregon hospitals consistently lose money and many more barely make ends meet. The state’s insurance program, OHP, contributes to hospitals’ financial distress by paying hospitals only 70 cents for every dollar of care they provide to OHP members. 

 “As enrollment in OHP continues to grow, it is becoming more urgent for the state to commit to covering the cost of this program. The governor’s recommended budget is a step in the right direction,” Hultberg said.

Since 2020, OHP enrollment has grown from 1.1 million to more than 1.4 million, making it Oregon’s largest insurance provider. OHP covers one in three Oregonians, including 56% of Oregon kids.

“Unfortunately, we’re reaching a point in our state where having health insurance doesn’t mean you have access to care,” Hultberg said. “We urge legislators to take important actions like the ones outlined in the governor’s budget to help stabilize our community hospitals and protect Oregonians’ access to the services they and their families rely on.”