# Oregon Lawmakers Address Medicaid Coverage Impact

Oregon state lawmakers and the Oregon Health Authority (OHA) have raised concerns about the federal budget reconciliation law HR 1, which introduces new eligibility paperwork and reporting requirements expected to cause nearly 600,000 Oregonians to lose health coverage. The House Committee on Health Care was updated on these developments, highlighting significant risks to Medicaid recipients and rural hospitals in Oregon. These changes may affect state healthcare procurement planning, particularly for Medicaid services and rural healthcare providers.

- Procurement professionals should anticipate potential shifts in Medicaid service demand and funding allocations due to coverage losses.
- Contractors serving rural hospitals and Medicaid programs may face changes in contract requirements or funding availability.
- Agencies and vendors should evaluate impacts on healthcare IT systems supporting eligibility and reporting compliance.
- Organizations involved in Medicaid-related services should engage with state health authorities to understand evolving procurement needs and policy responses.

**Jurisdictions:** sled
**Industries:** Healthcare
**Topics:** Regulatory Compliance
**Published:** September 17, 2026

### Government Entities
- Oregon Health Authority (OHA)
- House Committee on Health Care

### Key Quotes
> Hundreds of thousands of Oregonians are about to be kicked off Medicaid and rural hospitals are at risk, all because Trump's bill gave trillions in tax giveaways to the top 1%. It's not right and many people are going to needlessly suffer.
> — Cyrus Javadi, Representative

> People who are already doing everything right are being told to prove it over and over again, or they’ll lose their care. Trump and Congressional Republicans are tearing people down and harming our communities.
> — Lesly Muñoz, Representative

> We didn’t put Oregon in this position. Trump did. Every option has real costs for real people, and now it’s on us to figure out how to protect people in this state from the mess he made.
> — Rob Nosse, Representative

### Sources
- [Healthcare Release 9/26](https://www.oregonlegislature.gov/housedemocrats/Documents/State%20Lawmakers%20Warn%20Trump%20Budget%20Law%20Will%20Strip%20Health%20Coverage%20from%20Hundreds%20of%20Thousands.pdf) - OR
- [Healthcare Release 9/26](https://www.oregonlegislature.gov/housedemocrats/Documents/State%20Lawmakers%20Warn%20Trump%20Budget%20Law%20Will%20Strip%20Health%20Coverage%20from%20Hundreds%20of%20Thousands%20(1).pdf) - OR