Providence CEO Explains OB Closure, Trauma Program Swap at Oregon Hospital
Providence CEO Erik Wexler told Becker's that Providence Seaside Hospital in Oregon closed its inpatient labor and delivery program in October 2025, citing low delivery volumes and shortages of maternity-trained staff, with a nearby non-Providence hospital taking on its obstetric patients while the emergency department still handles labor and delivery emergencies. At the same time, Providence opened a level 4 trauma program at the same hospital, which Wexler said had treated 150 patients through June 2026, a figure he expects could exceed 300 by year's end. Wexler said Providence's Medicaid payer mix is higher than average and reimbursement often falls far below the cost of care, and he said he is more concerned about rural and financially unstable hospitals closing programs for financial reasons alone, which he said could create access problems.