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Oregon's community hospitals play a critical role in the economic stability of our state. 2009 began with an economic recession most have never experienced and many are still waiting to understand the true impact it will have, especially on our health care delivery system. With our state's unemployment rate exceeding double digits, employee-sponsored health care coverage evaporating and the demand for high-quality health care increasing, the financial challenges facing our state's community hospitals are vast, deep and real.

Did you know that Oregon's hospitals…

  • employed 55,836 workers in 2007, up 22% from 1997;
  • pay an average of $49,400 in annual wages with a total industry payroll of $2.7 billion;
  • generated an economic boost for Oregon of $7.8 billion in 2008; and
  • provided care for about 8.8 million patients, regardless of their ability to pay?

At the same time our state's hospitals are contributing to the economic stability of Oregon, the financing that is vital to expand access to health care and keep the status quo for high-quality, community-based health care and wellness programs is being jeopardized. 

Did you know that Oregon's hospitals…

  • had an average operating margin of 3.7% in 2008, a 23% decline from 2004;
  • more than half (56.8%) of the patients that enter a hospital in Oregon are either self-pay or insured by a government-sponsored program such as Medicare and Medicaid (Oregon Health Plan),  both of which pay less than cost for service provided;
  • receive 71 cents on the dollar for every Medicaid (OHP) patient that receives service,   requiring hospitals to make up the 29-cent difference out of their dwindling operating margin;
  • provided more than $982 million in uncompensated care in 2008, which is more than 300% from 2002;
  • treated more than 1.2 million patients in local emergency departments in 2008, up from 1.1 million in 2007;
  • lost $198 million in investment income in 2008, a negative $428 million swing from 2007?
    Investment income is typically used to offset the cost of care and other expenses.

Data Sources: OAHHS Databank and AHA Annual Survey
Click here to visit the data site for OAHHS

Updated: March 16, 2009

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