GRH and Wallowa Memorial Hospitals receive state maternity program funding
By Garrett Christensen on Friday, May 29th, 2026 in More Top Stories Northeastern Oregon News
LA GRANDE & ENTERPRISE – In a press release yesterday, Oregon Governor Tina Kotek, the Oregon Health Authority (OHA) and the Hospital Association of Oregon announced that the Centers for Medicare & Medicaid (CMS) approved Oregon’s proposed state directed payments for maternity care services in various rural communities.
In total, $37.5 million dollars in federal funding will be allocated to 21 rural hospitals across Oregon. As written in the press release from the OHA:
“For rural hospitals, many of which will navigate reductions in Medicaid funding due to H.R. 1, these payments will help provide additional staffing and essential medical equipment, sustain and create good paying jobs and invest in strategies that improve overall quality of care of maternity services, such as supporting community outreach to pregnant Oregon Health Plan (OHP) members.
The directed payment is part of a one-time $25 million investment authorized by the Legislature in House Bill 5025 (2025). The coordinated effort is led by Governor Kotek with OHA and the Hospital Association of Oregon to strengthen maternity services. Roughly half of all births in the state are covered by OHP, and Medicaid funding changes have already begun to impact rural healthcare providers in Oregon and across the country.
At a time when Oregon’s rural hospitals are increasingly impacted by federal policy changes, these payments are designed to stabilize maternity services, strengthen access to care, and create good paying jobs in communities with limited resources. The funding aims to ensure safe, reliable services for OHP members. The investments are expected to improve access to prenatal and postpartum care, reduce preventable complications, and promote more equitable maternal health outcomes across rural Oregon.”
Within Northeast Oregon, both the Grande Ronde Hospital (located in La Grande) and the Wallowa Memorial Hospital (located in Enterprise) were selected to receive funding for expanded/stabilized maternity services. How much the hospitals will receive individually was not specified in the most recent release.
The specific funding allocation is part of a one-time $25 million dollar investment approved by the Oregon legislature to “support, stabilize, improve and expand rural maternity hospital services.”
