Concerns Raised Over Medicaid Reimbursement Cuts in Central Oregon
BEND, Ore. — Care providers in Central Oregon are expressing serious concerns following an announcement from PacificSource Community Solutions, which oversees coordinated care for Oregon Health Plan (Medicaid) members, regarding a 30% cut in reimbursement rates.
Central Oregon Speech and Language, a clinic based in Bend, stated that these cuts make it financially unviable to continue serving Medicaid patients without incurring losses. Consequently, the clinic intends to terminate its contract with PacificSource, which accounts for nearly a third of its patient load.
Owner and speech therapist Kristen Cain mentioned, “We’ve explored various options to remain in-network. However, operating at a loss is not sustainable. The current fees don’t cover treatment costs. If we don’t act swiftly, we risk limiting access to essential services for families who need our help most.”
Other healthcare providers in the area, including those offering occupational, physical, and psychological therapy, are also facing similar financial challenges, which could lead to service reductions or even closures throughout the region.
Providers warn that the consequences could be felt immediately, with longer wait times and fewer therapists available, potentially cutting off critical services for both children and adults who struggle with developmental delays, disabilities, and neurological conditions.
Central Oregon Speech and Language is urging state and federal legislators, PacificSource, and local communities to take action to restore reimbursement rates that accurately reflect the true costs of healthcare.
The clinic encourages families and community members to reach out to lawmakers to voice their concerns about what they describe as an unsustainable model that endangers the care accessible to vulnerable Oregonians.
In response, PacificSource issued a statement explaining, “As a not-for-profit health plan, our mission is to make healthcare accessible and affordable for our members. We are reviewing in-network provider agreements due to the difficult Medicaid landscape and the need to align reimbursements with the state-provided funding for Oregon Health Plan members. Given that funding is closely tied to the state budget, there’s limited flexibility, and we aim to ensure reimbursement structures are sustainable and fair among similar providers. Our priority is to operate within these constraints while maintaining access and accountability.”
PacificSource emphasized its commitment to collaborating with healthcare providers to find workable solutions that support the health and wellbeing of those who rely on their services.
