A rumor’s been brewing for quite some time that Kaiser Permanente has entered into negotiations to purchase the Oregon Medical Group in Eugene, an independent practice with 120 medical providers, including physicians, nurse practitioners and physician assistants.
“But there’s absolutely no truth to that rumor,” insisted Chris Noah, CEO. “We’re not interested in selling and have never entered into any negotiations with Kaiser.”
What seems to be true, however, is Kaiser’s desire to move down the I-5 corridor into Albany, Keizer and Eugene, and eventually Medford, according to inside sources. Currently Kaiser is limited to the Portland metropolitan area, Salem and southwest Washington.
Word on the street is that Kaiser has already recruited a physician in Salem interested in retiring to Eugene who’ll lead a team of three physicians. Kaiser, according to this source, had intended to open such a clinic next January, but has delayed plans until fall of 2015.
When asked about its expansion plans, Michael Foley, Kaiser’s communication manager told The Lund Report that “we do not have expansion plans to announce at this time,” adding that Kaiser is always evaluating such opportunities “with its integrated model of care that keeps the focus on patients and creating better health.”
This is not the first time rumors have surfaced about Kaiser’s desire to compete with PeaceHealth, the dominant Catholic hospital player in the Eugene market. In an article that appeared last December in the Catholic Sentinel, a Kaiser spokesman refused to deny the rumor was true.
Had Kaiser been successful in buying the Oregon Medical Group it would have caused fractious issues to people on Medicaid with Kaiser limiting its participation.
And, Trillium Community Health Plan, the coordinated care organization in Eugene, relies heavily on the Oregon Medical Group to care for its Oregon Health Plan members, and has an extended contract with that physician group., according to Debi Farr, public relations specialist, “As far as we are concerned, it’s business as usual.”
Oregon Medical Group's services are very comprehensive except for surgical sub-specialties.
And, more than one out of every three people in the Eugene metro area sees an Oregon Medical Group physician as their primary care provider, according to its website.
Kaiser reported a $15.5 million first-quarter net loss as of March 31, and had 467,515, down 1.1 percent. To review similar data for the other six leading health plans in Oregon, click here.
Diane can be reached at [email protected].
