State Removes New Oregon State Hospital Leader One Month Into His Tenure

Just one month into his tenure, Oregon State Hospital’s superintendent has been removed from his post, the state health authority said Wednesday, an abrupt shakeup at a vital psychiatric institution that has churned through leaders in recent years.

The Oregon Health Authority had in June announced Sean Murphy’s appointment to the superintendent position, with the agency’s then-chief Sejal Hathi citing Murphy’s “deep experience in behavioral health, state hospital operations, civil commitment systems, correctional health, and large-scale public sector transformations.”

But Hathi resigned her own job as the state’s health chief soon after. She was replaced in an interim capacity by former Oregon Department of Human Services director Fariborz Pakseresht.

OHA had said Murphy, a former Washington state health official, would start his new position leading the state hospital on July 13.

He didn’t last long.

“Sean Murphy will no longer be serving as superintendent,” Pakseresht said in a 12:04 pm email to OSH staff, adding that the change was effective immediately.

The note referred staff to a press release the agency sent out around the same time, which said that “after careful consideration,” Pakseresht had decided to “not move forward with Sean Murphy’s trial-service period.”

Murphy’s original offer letter, reviewed by WW, said his trial period would last six months. It said his starting salary would be $29,949 per month—the equivalent of about $360,000 annually.

The June announcement of Murphy’s hiring said that, during his first four weeks at the helm, he would be accompanied by the previous interim superintendent Jim Diegel.

Now, the state says Diegel has returned to this interim superintendent role while it once again seeks a new permanent leader.

“Oregon State Hospital is a uniquely complex and important institution,” the health authority said in its statement. “It requires strong, trusted, accountable leadership, particularly given the needs of patients, families, employees, and the public. Because of this, superintendents are held to the highest standards possible. OHA’s focus is on ensuring that an institution as important as the Oregon State Hospital has the leadership it needs to fulfill its mission and serve patients safely and effectively.”

Efforts to reach Murphy by phone and email were not immediately successful. In a July 30 video on a state hospital social media page, he heralded the work of hospital staff committed to helping patients rebuild their lives.

Oregon State Hospital served more than 1,800 unique patients in 2025, the state says. The population has changed over the years. Where, once a large proportion were civilly committed or had simply checked themselves in, the hospital is now full of people who have been convicted or accused of crimes but found insane or mentally incompetent to stand trial, leaving essentially no room for anyone else.

The hospital reports more than 2,700 employees between its two campuses—the primary one in Salem and a newer one in Junction City—though it has struggled to hire qualified candidates for its positions. Its present budget, almost entirely drawn from the state’s general fund, is just over $500 million a year.