The bill, signed into law the next day by Oregon Gov. John Kitzhaber (D), who is a physician, aims to consolidate the managed
care plans that administer the Oregon Health Plan into regional CCOs, which lawmakers expect will better manage chronic conditions
and preventive care. CCOs are the state's term for what have elsewhere been called accountable care organizations (ACOs)—made
up of coalitions of hospitals, health systems, physicians, and other health care providers as a new model for delivering coordinated,
cost-effective care. As with ACOs, Oregon's CCOs would be charged with creating savings through coordination of care, and
participating provider panels would share in those savings. (For a summary of the legislation provided by the Oregon Health
Plan, see Facts About New Oregon Law).