Ashland Confirms It Was Not Part of Asante’s Hospital Decision as $4 Million Contract Clause Draws Attention

By Diane Megaw On Dec 6, 2025

Asante Ashland Community Hospital Oregon — Asante Ashland Community Hospital

ASHLAND, Ore. — The City of Ashland recently acknowledged the announced changes at Ashland Community Hospital (ACH) and confirmed that the City is not involved in the decision-making process.

Earlier this week, Asante announced that Ashland Community Hospital will keep the ER open 24/7 but transition overnight and maternity care to Medford by spring 2026. ACH will transition to a satellite campus of Rogue Regional Medical Center (RRMC). Key outpatient services, such as surgery, lab, and imaging, will continue at the Maple Street campus.

The City and Asante initially entered into an affiliation agreement when the hospital was transferred to Asante. The contract required ACH to operate as a general hospital through 2028 and, if it didn’t, Asante agreed to pay the City $4 million.

Tidings Context

Ashland transferred the hospital to Asante in 2013 with a clause requiring general hospital operations through 2028 or a $4 million payment, but Asante says a satellite license may satisfy that requirement.

Asante confirmed that ACH would still be considered a general hospital because it would operate within a category recognized under Oregon regulations as a satellite facility under Rogue Regional’s existing hospital license.

Tidings Insight

A satellite campus lets Asante end Ashland inpatient and maternity services while keeping the ER and outpatient care open under Rogue Regional, so most day-to-day care stays local but overnight stays move to Medford.

The City’s Leadership Team will continue to review the agreement and monitor the transition as more details are finalized, but has made no decisions about legal action. The City confirmed its willingness to continue sharing reliable information with the community as it becomes available.