In this episode of Oregon D.O.G.E., Senator Mike McLane is joined by Senator Suzanne Weber and Representative Ed Diehl to unpack one of the most bloated and under-scrutinized agencies in Oregon government: the Oregon Health Authority (OHA).
Once envisioned as a streamlined solution to improve access and efficiency in healthcare, OHA has grown into a $39 billion behemoth that now controls nearly one-third of Oregon’s biennial budget.
So the question is: Are we getting better healthcare—or just bigger bureaucracy?
📊 A Budget Surge with No End in Sight
OHA has requested a budget increase of 11% over the previous biennium, bringing its proposed total to $39.6 billion. That number alone is staggering—but what’s even more alarming is what Oregon is getting in return.
Despite the unprecedented spending:
- Oregon ranks last in the country in hospital beds per capita
- Oregon is in the top 3 states for nurse pay, yet care is being delayed or denied due to regulatory backlogs
- Some insured patients are being told to bring $4,000 upfront to access routine surgeries
Oregonians are paying more—and getting less.
🚨 $1 Billion for Non-Citizen Coverage—Without Oversight
One of the biggest political flashpoints in this episode is OHA’s “Healthier Oregon” program, which uses over $1 billion in general fund money to provide full health coverage to non-citizens, including undocumented immigrants.
While the goal of increasing access is important, lawmakers question:
- Where is the data showing outcomes?
- How is this sustainable when Oregon’s general fund is already under pressure?
- Shouldn’t transparency and metrics be required at this scale?
Senator Weber put it bluntly:
“We’re putting billions into a system with no clear reporting, no metrics for outcomes—and fewer Oregonians are trusting it every day.”
🏥 Rural Clinics Delayed by Bureaucratic Red Tape
Multiple times in the episode, the conversation returns to how OHA’s own regulations are blocking access to care—especially in rural areas.
In one case, a fully funded dialysis center in Hood River was delayed for years due to redundant licensing steps. Meanwhile, patients had to travel long distances for life-saving care.
These aren’t isolated incidents. Lawmakers cited numerous examples of clinics or nonprofits being told they can’t open or expand until they navigate pages of unclear, inconsistent, or ever-changing rules.
🧾 Where Did the Mental Health Funds Go?
Adding to the list of concerns: a June 2023 audit found that OHA had mishandled nearly $600,000 in federal mental health funding—money that was supposed to go toward behavioral health and addiction services.
Instead, the money was reportedly spent on renovations and facilities upgrades for OHA offices.
Rep. Diehl called it what it is:
“A really good way to make sure we don’t get those grants again.”
And others questioned whether that $600,000 figure was actually understating the scale of mismanagement.
👥 256 Employees Just for Equity?
Another major focus was OHA’s Equity & Inclusion Division, which has grown to 256 staff and a budget of $55 million per biennium.
That’s larger than many entire departments in state government.
The lawmakers questioned:
- Are Oregonians seeing tangible improvements in care equity?
- How are these employees being held accountable?
- Is the spending aligned with core health outcomes—or just political optics?
⚖️ Lawsuits, Layoffs & System Collapse?
OHA is now facing lawsuits from Oregon counties over its handling of addiction funding—a sign that even other parts of government are losing trust in the agency.
Combined with mounting healthcare worker burnout, increasing insurance costs for public employees, and a general lack of transparency, this episode paints a picture of a system that’s rapidly approaching a breaking point.
As federal COVID dollars dry up, Oregon must ask: Can we afford this?
🎙 Final Takeaway
This episode of Oregon D.O.G.E. doesn’t just critique—it calls for action.
OHA has become too powerful, too unaccountable, and too disconnected from the people it was designed to serve. Lawmakers demand better metrics, tighter oversight, and a renewed focus on outcomes—not optics.
If Oregon is serious about fixing its healthcare system, it starts with auditing the agencies running it.
🎧 Listen to the full episode on YouTube, Spotify, or your favorite podcast platform.