February 24, 2025
Even as they face significant financial headwinds, Oregon’s hospitals have increased their community benefit spending by 29% from fiscal year 2018 to fiscal year 2023, according to the Hospital Association of Oregon’s latest Community Benefit Report.
The report—based on newly released data from Apprise Health Insights—shows in fiscal year 2023 alone, hospitals spent $2 billion on community benefit programs, including $1.63 billion on unreimbursed care. According to the Oregon Health Authority (OHA), hospitals’ exceeded their total minimum community benefit spending floor by 39.8% in 2023. Under HB 3076 (2019), OHA establishes community benefit spending floors for hospitals based on their revenue, past spending, financial health, and community needs.
Hospitals’ impact extends beyond their walls into schools, workplaces, and neighborhoods. Community benefit programs include a wide range of health-related services, including charity care—free or discounted services for people who cannot afford to pay—support for public health programs like Medicaid, medical education, health screenings, prevention services, and investments in community health.
Continued community investments come at a time when hospitals are facing mounting financial pressures. Rising expenses and payments from health insurers that don’t cover the cost of care continue to strain hospitals. In fiscal year 2023, 54% of Oregon hospitals reported operating losses.
“Oregon’s hospitals remain committed to their communities, providing services and support beyond direct patient care,” said Becky Hultberg, president and CEO of the Hospital Association of Oregon. “But these investments should not be a substitute for improved payment for care to improve health outcomes and make care accessible to those who need it most.”
Oregon’s expansive Medicaid coverage has improved patient access to care but has also put significant financial pressure on hospitals. With Medicaid covering only 56% of the cost of care, hospitals faced a funding gap of approximately $1 billion in 2023.
“Hospitals’ impact can be felt throughout our communities—but they need a stable financial foundation upon which they operate,” Hultberg said. “We will continue to advocate for policy solutions that strengthen our health care system and protect access to care for all Oregonians.”
