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October 25, 2023
Media Contact: Jonathan Modie, 971-246-9139,
PHD.Communications@oha.oregon.gov
State health officials take steps to preserve mental health services and medical care in downtown Eugene
Regulators approve changes at PeaceHealth’s Sacred Heart University District Hospital to avert closures at Gov. Kotek’s direction
PORTLAND, Ore.— Oregon Health Authority (OHA) officials have ruled on a waiver request from PeaceHealth that will enable it to continue delivering inpatient mental health care to patients in downtown Eugene at PeaceHealth’s Sacred Heart University District Hospital.
This is the first of a multi-step process involving both state and federal requirements that PeaceHealth must meet. OHA’s Public Health Division and Behavioral Health Services will have other decision points in the future as PeaceHealth works toward a permanent solution.
In August, PeaceHealth announced plans to close its Sacred Heart University District Hospital (SHUD) facility and the emergency department, and relocate its rehabilitation unit to Sacred Heart Riverbend in Springfield. State officials were concerned that this closure would impact the mental health treatment beds, and could lead to full closure of all services in Eugene.
PeaceHealth has indicated it will open and operate an urgent care center in downtown Eugene. It is offering expanded urgent care services separate from the waiver and the hospital license.
In response, Gov. Tina Kotek directed her staff and OHA officials to work with PeaceHealth to avoid a full closure of all services on the University District campus. While state regulators do not have authority to prevent a hospital’s decision to close, Gov. Kotek’s office and OHA listened to community concerns, including those expressed by local officials about a potential closure’s impact on access to services in Eugene and emergency preparedness.
Gov. Kotek’s priorities, driven by Oregon’s behavioral health crisis and feedback from the Eugene community, were to preserve behavioral health capacity on the University District campus, ensure transitional access to medical services and ensure greater communication with the community.
Following discussions between state officials and PeaceHealth, regulators have issued a waiver regarding operations of the emergency department and radiology services at Sacred Heart University District Hospital. The waiver sets terms that will enable PeaceHealth to:
- Consolidate its emergency medical care resources at the Sacred Heart Riverbend for a period of six months beginning Dec. 1, 2023.
- Continue to operate behavioral health beds at Sacred Heart University District Hospital under a modified hospital license.
- Continue to operate 27 acute rehabilitation beds at Sacred Heart University District Hospital under a modified license.
State regulators also outlined conditions for the approvals. To maintain the waivers and variances, PeaceHealth will be required to notify community members about the changes; ensure adequate patient transportation in close coordination with emergency medical services and law enforcement officers in Eugene and Springfield; and report patient data on a monthly basis to state health regulators.
OHA Interim Director Dave Baden said, “I appreciate Gov. Kotek’s urgent focus on preserving vital mental health and medical care in Eugene and PeaceHealth’s willingness to work with us to find viable solutions. These steps will preserve access to care for Eugene residents in coming months, at a time when we cannot afford to lose health care capacity in our state, especially for people experiencing a mental health or substance use crisis.”
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