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OregonHB 20102025 Regular SessionHouseWALLET

Relating to funding to improve access to health care; and prescribing an effective date.

Sponsored By: Julie Fahey (Democratic)

Became Law

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Bill Overview

Analyzed Economic Effects

8 provisions identified: 1 benefits, 2 costs, 5 mixed.

PEBB premiums capped at 3.4% yearly

Beginning January 2, 2038, PEBB self‑insured plans must limit per‑member spending growth to 3.4% a year. The Board also adopts policies to hold premium increases to 3.4% a year. This aims to slow premium growth for public employees in these plans.

Health insurance premium fees through 2032

The law applies state premium assessments to insurer premiums and PEBB premium‑equivalents from January 1, 2020 through December 31, 2032. Agencies can still impose and collect these assessments for any calendar quarter ending on or before December 31, 2032. Insurers and public plans may pass some costs into premiums. The law does not set a specific rate here.

Hospital revenue assessments and reporting continue

The law defines net inpatient and net outpatient revenue for hospitals and requires an assessment on those revenues. The Oregon Health Authority director sets the rate and hospitals must file and pay by the 45th day after each quarter. The assessment applies to revenue earned from July 1, 2019 through December 31, 2032, or ends earlier if it loses federal matching. Assessments for quarters ending on or before December 31, 2032 can still be collected. Key hospital statutes stay in place until repeal on January 2, 2038, and any money left in the Hospital Quality Assurance Fund moves to the General Fund on December 31, 2038.

OHSU reimbursement rules change by date

Earlier amendments govern OHA reimbursements paid to OHSU from July 1, 2019 through June 30, 2032. Different amendments govern reimbursements paid on or after July 1, 2032. This clarifies which rules apply to payments in each time period.

Bigger health deals face review

Beginning January 2, 2038, a transaction counts as a health care market “material change” if one party’s average revenue is at least $25,000,000 and another party’s is at least $10,000,000. These deals fall under the state’s material change review framework. This adds review steps for large provider or payer deals and aims to protect essential services.

Health funds and rules shift in 2038

The law delays some repeals until January 2, 2038, keeping current rules in place longer. On that date, it removes a rule that sent certain assessments and penalties to the Health System Fund and ends a fee‑reporting exclusion. It makes listed statute changes operative January 2, 2038. Any money left in the Health System Fund moves to the General Fund on December 31, 2038. The Act itself takes effect on the 91st day after the 2025 session ends.

Managed care payments and fees to 2032

The law applies payment rules for Oregon Health Authority (OHA) to managed care organizations from January 1, 2020 through December 31, 2032. It also allows the state to keep imposing and collecting managed care assessments for any quarter ending on or before December 31, 2032. The related statutes are repealed January 2, 2038. These rules can affect plan funding and costs passed to premiums.

Insurer and care facility tax changes

Starting January 2, 2038, the law changes who is excluded from Oregon’s Corporate Activity Tax, removing some hospital exceptions and adding certain long‑term care facilities. It also changes how a specific insurer assessment counts in retaliatory tax calculations. Some insurers or facilities may pay more or less tax depending on their status.

Sponsors & Cosponsors

Sponsor

  • Julie Fahey

    Democratic • House

Cosponsors

  • Mark Gamba

    Democratic • House

  • Thuy Tran

    Democratic • House

Roll Call Votes

All Roll Calls

Yes: 78 • No: 25

Senate vote • 3/17/2025

Third reading. Carried by Meek. Passed.

Yes: 22 • No: 5

Senate vote • 3/12/2025

Finance and Revenue: Heard and Reported Out

Yes: 5 • No: 0

House vote • 2/27/2025

Third reading. Carried by Pham H. Passed.

Yes: 40 • No: 15

House vote • 2/20/2025

Revenue: Heard and Reported Out

Yes: 4 • No: 3

House vote • 2/11/2025

HBHHC: Heard and Reported Out with Amendments

Yes: 7 • No: 2

Actions Timeline

  1. Chapter 4, (2025 Laws): effective on the 91st day following adjournment sine die.

    4/21/2025House

  2. Governor signed.

    3/26/2025House

  3. President signed.

    3/20/2025Senate

  4. Speaker signed.

    3/20/2025House

  5. Third reading. Carried by Meek. Passed.

    3/17/2025Senate

  6. Second reading.

    3/13/2025Senate

  7. Recommendation: Do pass the A-Eng. bill.

    3/13/2025Senate

  8. Work Session held.

    3/12/2025Senate

  9. Public Hearing held.

    3/10/2025Senate

  10. Referred to Finance and Revenue.

    3/4/2025Senate

  11. First reading. Referred to President's desk.

    3/4/2025Senate

  12. Vote explanation(s) filed by Levy B, Nelson.

    2/27/2025House

  13. Third reading. Carried by Pham H. Passed.

    2/27/2025House

  14. Second reading.

    2/25/2025House

  15. Recommendation: Do pass.

    2/24/2025House

  16. Work Session held.

    2/20/2025House

  17. Public Hearing held.

    2/18/2025House

  18. Referred to Revenue by prior reference.

    2/14/2025House

  19. Recommendation: Do pass with amendments, be printed A-Engrossed, and be referred to Revenue by prior reference.

    2/14/2025House

  20. Public Hearing and Work Session held.

    2/11/2025House

  21. Public Hearing held.

    2/6/2025House

  22. Referred to Behavioral Health and Health Care with subsequent referral to Revenue.

    1/17/2025House

  23. First reading. Referred to Speaker's desk.

    1/13/2025House

Bill Text

  • Enrolled

    3/18/2025

    PDF

  • SFR Amendment -A3 (Proposed)

    3/12/2025

    PDF

  • SFR Amendment -A4 (Proposed)

    3/12/2025

    PDF

  • SFR Amendment -A5 (Proposed)

    3/12/2025

    PDF

  • SFR Amendment -A6 (Proposed)

    3/12/2025

    PDF

  • A-Engrossed

    2/14/2025

    PDF

  • House Amendments to Introduced

    2/14/2025

    PDF

  • HBHHC Amendment -2 (Adopted)

    2/11/2025

    PDF

  • Introduced

    1/10/2025

    PDF

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