What Happened

In a ruling on May 17, Oregon's unique Health Care Market Oversight Program, (HCMO) fought off a legal challenge by the Oregon Hospital Association. The hospitals may appeal, but for now, the groundbreaking law will hold, securing its critical role in safeguarding the state's health care system. This ruling came just days before OHSU and Legacy Health have signed a binding, definitive agreement to unite as one health system under OHSU Health. This proposal has massive implications for Oregon’s patients, providers and communities. Health Care for All Oregon will be working to ensure that this proposal helps to create the simplified, equitable, and affordable healthcare system Oregonians deserve.

More Details ⬇️

In 2021, the Oregon Legislature enacted the bill creating the  Health Care Market Oversight (HCMO) program. Directed by the Oregon Health Authority (OHA), HCMO reviews transactions with health care entities such as hospitals, medical groups, pharmacy benefit managers, and private equity firms. All mergers and acquisitions are reviewed between healthcare parties that make at least $10 million annually. 

HCAO is carefully monitoring transactions filed with HCMO. One of the core charges of the program is to ensure that any proposal includes Oregon’s goals of achieving:

• Health equity

• Lower costs for consumers and payers

• Increased healthcare access

• Better quality of patient care

The HCMO program is designed to regulate significant transactions in the health care market, preventing monopolistic practices, and ensuring that health care services remain accessible and affordable for all Oregonians. The program's survival in court marks a significant victory for advocates of fair and equitable health care.

We know that as we work towards a universal healthcare system in Oregon, this program is essential in our fight against the hostile takeover of health care services by large corporate entities that prioritize profit over patient care. This oversight helps maintain a health care system that serves the needs of all residents.

HCAO will continue to support and enhance efforts promoting transparency and accountability in the healthcare market. Programs like the HCMO are crucial in building a health care system that prioritizes the well-being of individuals and communities over corporate interests. HCAO’s Legislative Committee is working to identify ways to strengthen the HCMO program. If you’re interested in helping on policy issues reach out to Trina Bauman on this and other volunteer opportunities.