New Healthcare Law in Oregon Creates Coordinated Care Organizations

Oregon Gov. John Kitzhaber announced that he signed a healthcare reform bill that could save the state up to $3 billion over five years.  

The law will establish coordinated care organizations for Oregon Health Plan members that will focus on the integration of services, prevention, reduction of administrative overhead and improvement of patient-centered care models.

A third-party analysis found that the coordinated care organizations could save more than $1 billion in Medicaid costs over three years and more than $3.1 billion in total fund costs over five years. 

The state has to receive a federal approval before creating the new provider groups.

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