Oregon’s community hospitals are grappling with significant financial pressures that threaten their ability to serve as a critical safety net, said Becky Hultberg, president and CEO of the Hospital Association of Oregon.

In her letter, she states that for the past five years, hospitals in the state have faced mounting challenges, jeopardizing their capacity to provide essential health care services and maintain their role as trusted community partners.

Hultberg expressed appreciation for Gov. Tina Kotek’s prioritization of health care funding in her 2025 recommended budget. The budget aims to bolster Oregon’s hospitals by supporting access to maternity care, training more health care workers, and assisting hospitals that care for large numbers of low-income patients.

It also proposed renewing provider taxes to secure matching federal funds for the Oregon Health Plan (OHP).

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“This legislative session, our elected officials must act to protect access to health care in Oregon by supporting the governor’s recommended budget,” Hultberg wrote. She warned that without legislative action, OHP will lack sufficient funding to serve the one in three Oregonians on its rolls, putting care at risk as hospitals struggle with chronic underpayment from government health care programs.

Her letter highlighted that about half of Oregon hospitals consistently lose money, with many others barely making ends meet. OHP contributes to this financial distress by reimbursing hospitals only 56 cents for every dollar of care provided to its members.

On behalf of Oregon’s 61 community hospitals, Hultberg urged legislators to support the governor’s budget and HB 2010, Which seeks to reauthorize the provider taxes that help fund OHP and take action to increasing funding for hospitals serving OHP members.

“These steps will not only protect access to care for all Oregonians but will help hospitals continue their important role in keeping our communities healthy and vibrant,” she said.