BAH release - Hospital Association of Oregon findings highlight statewide pressures, reinforce importance of Bay Area Hospital’s partnership exploration - COOS BAY, Ore. (May 1, 2025) – A new report released today by the Hospital Association of Oregon highlights ongoing financial pressures affecting hospitals statewide. According to the 2024 Oregon Hospital Utilization and Financial Analysis report, about half of Oregon’s hospitals are losing money. More than two-thirds lack sufficient resources to sustain essential patient services and 70% are struggling to make ends meet – operating with margins below 5%, indicating significant financial challenges. “It is not sustainable to have 70% of the hospitals in our state operating with negative or negligible margins,” Becky Hultberg, president and CEO, Hospital Association of Oregon, said in the report. “Oregon must start bending this curve, or we will see a cascade of service closures, hospital consolidations, or hospital closures. Oregon already has the second-fewest hospital beds per capita. We can’t afford to lose these beds.” Bay Area Hospital President and CEO Brian Moore, who is also quoted in the new report, highlighted the significance of the findings. He emphasized that these results underscore the necessity for the hospital to proactively explore solutions, including a potential partnership with Quorum Health, to strengthen its financial stability and sustain high-quality care. “We’ve been clear all along – Bay Area Hospital, like so many others across Oregon, is facing serious financial pressures due to low reimbursement rates and increasing expenses,” said Moore. “Nearly 85% of our patients are covered by government insurance like Medicaid (also known as the Oregon Health Plan) and Medicare, but reimbursements fall short of covering the real costs. That’s why we’re exploring a thoughtful partnership to help secure our future, protect local jobs, and continue delivering high-quality services to our community.” Between 2020 and 2024, hospital payroll and supply costs soared by over 40%, while Medicaid and Medicare reimbursed hospitals at just 56 cents and 82 cents, respectively, per dollar spent. The Hospital Association of Oregon report also points to record-setting patient demand at Oregon hospitals, with more than 1.5 million emergency department visits in 2024 – the highest number ever recorded – further emphasizing the need for sustainable solutions. “We are committed to a solution that invests in the hospital’s future, sustains critical services and serves this community for generations,” Moore added. “Our ongoing discussions with Quorum Health are part of a responsible, proactive approach to keeping Bay Area Hospital strong and stable for the long term.” To read the 2024 Hospital Utilization and Financial Analysis report, visit our site. To learn more about Bay Area Hospital’s partnership exploration efforts, visit bayareahospital.org/here-for-good/.