Oregon is investing $25 million to support hospitals in maintaining labor and delivery services, Gov. Tina Kotek said Jan. 20.
The governor has directed the Oregon Health Authority to distribute $15 million to support maternity care at small, rural hospitals with fewer than 50 beds. The remaining $10 million will be directed to larger hospitals, according to a news release.
The effort is a partnership between the Oregon Health Authority and the Hospital Association of Oregon.
“Hospitals are facing mounting challenges in keeping the services available that Oregonians rely on,” Becky Hultberg, president and CEO of the Hospital Association of Oregon, said in a news release. “This boost in payments is a good first step toward stabilizing maternity services — especially in rural communities — and demonstrates what’s possible when state leaders and hospitals work together toward shared goals.”
The investment comes amid years of mounting pressure on maternity care access across the U.S., especially in rural areas, where hospitals have faced labor shortages, declining birth rates and persistent financial strain. More than two dozen hospitals ended maternity care services in 2025, according to Becker’s reporting.
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