Oregon’s 16 Medicaid Coordinated Care Organizations (CCOs) had mixed financial results during 2024, according to an analysis by the Oregon Health Authority (OHA). Nine of the CCOs operated at a profit, and seven operated at a loss. Profit margins ranged from 9.56% to a negative margin of -5.31%. Across all 16 CCOs, the net operating margin was 0.001%.
Oregon’s Medicaid program, which covers approximately 1.4 million people, is known as the Oregon Health Plan, or OHP. OHA contracts with CCOs to administer benefits. The CCOs receive a monthly per-person capitation rate. An annual incentive bonus for improving care quality is available. All 16 Medicaid managed care CCOs collectively spent 91.74% of their total revenue on member services through June 30, 2025, and administrative costs accounted for 8.26% of spending.
The 16 CCOs providing Medicaid managed care services under the state plan are: Advanced Health, AllCare CCO, Cascade Health Alliance, Columbia Pacific Coordinated Care Organization, Eastern Oregon Coordinated Care Organization, Health Care of Oregon, Intercommunity Health Network Coordinated Care Organization, Jackson Care Connect, PacificSource Community Solutions-Central Oregon, PacificSource Community Solutions-Columbia Gorge Region, PacificSource Community Solutions-Lane, PacificSource Community Solutions-Marion/Polk, Trillium Community Health Plan-Southwest, Trillium Community Health Plan-Tri-County, Umpqua Health Alliance, and Yamhill Community Care.
Between 2023 and 2024, total CCO expenditures per member increased by more than 10%. More Medicaid members received behavioral health care, for which Oregon Medicaid reimbursement rates were increased by an average of 30% starting in 2022. For those two reasons, behavioral health represented the biggest expense increase, the announcement stated.
“The mixed financial performance that CCOs experienced in 2024 happened for a good reason–more Medicaid members received the behavioral health care they need and Oregon behavioral health professionals were paid more for providing essential services after years of historic underfunding,” said OHA Chief Financial Officer Rochelle Layton. Reduced enrollment in 2024 also impacted CCO revenues, according to the announcement. The average decrease across all CCOs in 2024 was 8.46%.
The state’s announcement reported that to alleviate the financial pressures on the CCOs, during its regular 2025 session, the Oregon Legislature passed a budget bill that included a one-time, $30-million increase for the 2025 CCO capitation rates.
The announcement, Coordinated Care Organizations Had Mixed Financial Results, Creating A Nearly Break-Even Year, was released on September 19, 2025. The full text is posted online (accessed October 7, 2025).
For more information, contact: Amy Bacher, External Relations, Oregon Health Authority, 800 Oregon Street, Portland, Oregon 97232; Email: amy.bacher2@oha.oregon.gov; Website: https://www.oregon.gov/oha/
January 2026 00US26EUA0003