James McGovern

A PeaceHealth hospital executive was placed on administrative leave over concerns he tried to influence patient care.

The leave follows PeaceHealth's controversial decision to replace its local emergency room physicians with a Georgia-based company.

Eugene lawmakers are calling for more transparency and accountability from the hospital system.

Eugene lawmakers called for transparency and accountability in the wake of news that Dr. James McGovern, chief hospital executive for PeaceHealth, was placed on administrative leave. McGovern is being investigated for allegations he acted beyond his administrative functions and attempted to influence patient care decisions.

Concerns around emergency medical care at PeaceHealth’s Lane County hospitals have been growing since the hospital system announced it would not renew its long-standing contract with Eugene Emergency Physicians, instead contracting with Georgia-based management services organization ApolloMD. The move has prompted a lawsuit questioning the legality of the proposed transaction.

Rep. Nancy Nathanson, D-Eugene, raised questions about what happened regarding McGovern’s conduct, how many patients were affected and what safeguards will be set moving forward.

“This situation highlights a pattern of instability and lack of communication that has worried both providers and patients in our community and is exactly why we are trying to separate accountants and attorneys and administrators from the responsibility for patient care,” Nathanson said.

Rep. Lisa Fragala, D-Eugene, said the administrative leave highlights the need for greater oversight of hospital leadership decisions that could impact the safety of patients.

“Patients and frontline providers must be able to trust that medical decisions are being made by appropriately licensed professionals,” Fragala said. “These allegations are deeply concerning, and they reinforce why we’ve been pushing for greater transparency and adherence to Oregon’s patient-protection laws.”

House Majority Leader Ben Bowman, D-Tigard, said the development raises more questions that the community deserves answers to regarding the staffing change’s compliance with SB 951, which prohibits the corporate practice of medicine.

“This revelation raises alarming questions about PeaceHealth’s decision to drop Eugene Emergency Physicians (EEP) and replace them with ApolloMD,” Bowman said. “Was it retaliation for EEP doctors not complying with medical directives from unlicensed administrators? What conversations did Mr. McGovern have with ApolloMD about his role in medical decision making?”

Medical staff at PeaceHealth passed a resolution calling for reversal of the hospital system's decision to contract with ApolloMD, "in light of the strong concern that the decision may have been influenced by retaliatory factors related to the events that have been documented."

Lawmakers emphasized PeaceHealth will need to restore public trust with transparency and meaningful engagement with healthcare workers and community members.

The Register-Guard has reached out PeaceHealth for comment.