PeaceHealth Stops ApolloMD Outsourcing After Oregon Law
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- PeaceHealth announced in February it would end its contract with Eugene Emergency Physicians, which had staffed its Oregon hospitals for 35 years.
- PeaceHealth intended to replace those physicians with ApolloMD, an Atlanta‑based staffing chain, drawing widespread opposition from doctors, nurses, lawmakers, and local officials.
- Eugene emergency physicians sued on March 20, claiming the move violated Senate Bill 951, Oregon’s new law barring managed service organizations from owning practices or influencing clinical decisions.
- Judge in the case has repeatedly ruled the plan breaches the law, according to attorney Hayden Rooke‑Ley.
- PeaceHealth reversed its outsourcing plan on Wednesday, citing the looming legal defeat as the likely driver.
Why it matters: Oregon patients keep local ER doctors, while ApolloMD loses a multi‑hospital contract; PeaceHealth avoids a costly legal defeat and upholds the state’s anti‑outsourcing law, signaling to other systems that similar moves may be barred.
