Lane County’s Public Health Department announced significant budget reductions as federal healthcare cuts approved by Congress in the so-called Big Beautiful Bill, or H.R.1, go into effect.
Lane County Public Health spokesperson Jason Davis said new work and eligibility requirements have dramatically reduced the number of people who qualify for Medicaid, also known as the Oregon Health Plan.
"Last year, when some of these changes were announced, they were still a ways off," Davis said. “Now they're coming to fruition. Now we're going to feel the pain at the local level."
Davis said Lane County Public Health is cutting costs wherever it can as the number of patients it can serve decreases. He said Lane Community Health Centers are not changing any services it offers to patients, but the wider community will likely be impacted by fewer people visiting those clinics.
“Without access to care, then we’re going to see more emergency room visits, we’re going to see more chronic health conditions and those chronic health conditions are going to be exacerbated,” he said. “Eventually, it's going to come back as a greater expense for taxpayers.”
Countywide, Lane Health Centers serve around 30,000 patients. Davis said the department expects that number to decrease.
High prescription drug prices and other health costs, as well as issues related to OHP provider PacificSource’s departure from Lane County, have also contributed to the Lane County Public Health’s financial challenges.
A total of 23 positions will be impacted by the cuts. Eight vacant jobs will be eliminated and 15 employees will be re-assigned or laid off. Davis said if some jobs become available again, some employees may be able to return.
The department is also using one-time reserves and reviewing all expenses and contracts.
After H.R. 1 passed, some members of Oregon’s Congressional delegation, including Rep. Val Hoyle, worried the cuts to healthcare subsidies and hurdles to stay on Medicaid could increase Oregon’s uninsured rate and lead to hospital or clinic closures.
Healthcare experts and Oregon lawmakers warned last year that the cuts could put the state’s already financially struggling system in more trouble, and make it more challenging for those serving the state’s low income residents to continue to operate.
