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.  

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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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