Oregon has launched a comprehensive health care initiative, Healthier Oregon, which provides full coverage under the Oregon Health Plan (OHP) to all residents meeting specific income and residency requirements, regardless of immigration or citizenship status. The policy, effective from July 1, 2023, is set to allocate over $1.5 billion in state and federal funds.
The Healthier Oregon plan is designed to offer medical, dental, mental health, and prescription benefits broadly, aiming to remove immigration and citizenship status as barriers to health care access. This move is part of a broader effort by state officials to achieve "equity in health access," as declared on the Oregon Health Authority's website.
The plan has, however, faced significant opposition. Critics argue that the allocation of such substantial funds to noncitizens' health care comes at the expense of other critical state services, including law enforcement. Assistant Secretary of Homeland Security Tricia McLaughlin expressed concerns over Oregon's budget, highlighting that the state will spend $500 million more on health coverage for immigrants with no legal status than on state police in the current budget period.
Oregon's budget for 2025–2027 reflects a commitment of approximately $1.5 billion to immigrant health care, nearly double the planned expenditure on the entire public safety system of the state. McLaughlin's comments underscored the mounting criticism that Oregon's leadership prioritizes the needs of illegal immigrants over those of its residents, especially as crime rates and emergency response costs rise.
The controversy is set against a backdrop of other Democrat-led states reevaluating similar health care programs. Under the Biden administration, states like California, Illinois, and Minnesota expanded taxpayer-funded medical coverage to illegal immigrants but have since faced financial difficulties. California's program, once championed by Gov. Gavin Newsom, ballooned to an $8.5 billion annual cost, leading to applicant freezes and benefit scale-backs due to overwhelmed systems and long wait times.
Illinois, too, has seen rollbacks in coverage as a result of a $3.2 billion budget deficit. MinnesotaCare has undergone significant reductions after budget overruns. Despite these precedents, Oregon remains steadfast in its approach, with state officials insisting on the moral obligation to provide health access regardless of legal status.
The financial implications of Oregon's policy are not insignificant. Because illegal immigrants do not qualify for federal Medicaid reimbursement, the state must shoulder nearly all associated costs. As enrollment and demand grow, the fiscal burden may increase, potentially resulting in higher taxes for residents to cover the expenses.
For now, Oregon stands out for its commitment to inclusive health care funding, even as it faces scrutiny over its budget priorities and the sustainability of such a generous program.