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Oregon giving out $37 million to preserve rural maternity care. Hospitals still worry about closures

The one-time aid combines $15 million in state money with more than $22 million in federal matching funds, officials said.

  • Nearly two dozen rural hospitals in Oregon will receive $37.5 million in combined state and federal funds to support labor and delivery care amid upcoming Medicaid cuts.
  • The funding program includes $15 million from the state and over $22 million in federal matching funds, approved last month by the Centers for Medicare and Medicaid Services.
  • Oregon officials describe this funding as a short-term financial aid to address challenges such as rising costs, staffing shortages, and Medicaid changes in rural hospitals.
  • Funds will be distributed based on Medicaid patient volume to provide temporary support to these rural hospitals.
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Oregon giving out $37 million to preserve rural maternity care. Hospitals still worry about closures

Nearly two dozen Oregon rural hospitals will receive $37.5 million in state and federal funds to shore up labor and delivery care ahead of Medicaid cuts going into effect next year, though state and hospital officials say the one-time funds are likely a limited solution.

·New York, United States
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The Hamilton Spectator broke the news in Hamilton, Canada on Monday, June 22, 2026.
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