Oregon Governor Seeks to Sue Over Failed Healthcare Website

Gov. John Kitzhaber (D) has announced he wants to file a lawsuit against Redwood City, Calif.-based Oracle, a computer technology company and contractor for the state's failed health insurance exchange site, according to a Spokesman-Review report.

In April, the board overseeing Oregon's health insurance exchange voted to abandon its glitch-ridden state-run site in favor of relying on HealthCare.gov.

Oregon spent at least $134 million on its exchange site. The state also spent $7 million processing paper applications after its site was plagued by technical problems that Oracle was unable to fix.

In a letter to Ellen Rosenblum, Oregon's Attorney General, Gov. Kitzhaber said a court challenge against Oracle —the second-largest software corporation in the world — will be difficult, but he believes the company needs to be held accountable for not delivering the services Oregon needed, according to the Spokesman-Review.

Ms. Rosenblum has the final authority to determine if a lawsuit is filed against Oracle, and she has told Gov. Kitzhaber her legal team is currently reviewing options and developing legal strategies, according to the report.

Oracle has stated it is not responsible for the failed launch of the healthcare exchange.

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