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  • Oregon Faces Critical Gas Tax Vote and $650M Budget Crisis in 2026 Legislative Session

    Oregon Faces Critical Gas Tax Vote and $650M Budget Crisis in 2026 Legislative Session
    2026/02/24
    Oregon is navigating significant political and economic crossroads as lawmakers grapple with competing budget crises and transportation funding debates during the state's 2026 legislative session.

    The most pressing issue facing the state is a controversial gas tax referendum scheduled for May. According to KGW News, the Oregon Senate passed Senate Bill 1599 on Monday, moving a vote on transportation tax increases from November to May. The bill passed 17-13 and now heads to the House, where it must pass by Wednesday to meet state election deadlines. The underlying transportation package, secured in a special session last fall, includes a six-cent increase to the state's gas tax along with higher vehicle registration and title fees. ODOT reports a 242 million dollar budget shortfall without these new revenues, which could result in delayed road maintenance, reduced transit service, and postponed bridge and seismic safety projects. However, House Republicans staged a walkout Monday in protest, arguing the date change undermines the 250,000 Oregonians who signed a petition to force a referendum.

    Beyond transportation, Oregon faces a broader 650 million dollar budget gap for the 2026-2028 cycle. According to the Wild Steelheaders legislative update, state agencies handling natural resources receive only 2.5 percent of the General Fund, meaning even modest budget cuts will significantly impact agencies like the Oregon Department of Fish and Wildlife.

    On the development front, controversial legislation is advancing in the Senate. According to OPB, Senate Bill 1586 would expand tax incentives for semiconductor and biotech manufacturers and bring 373 acres of rural farmland north of Hillsboro into the city's urban growth boundary. Supporters argue Oregon must compete with other states on advanced manufacturing, while opponents worry the bill bypasses typical public input processes for land use changes.

    Economic conditions remain cautious. Cascade Bus News reports that Oregon's economy is healthy but vulnerable to federal policy shifts like tariffs, with tariff-driven uncertainty already reducing expected state revenue by hundreds of millions. Central Oregon is expected to see continued in-migration from higher-cost metros, steady tourism, and strong construction activity, though cost pressures remain elevated.

    In education, Portland Public Schools requested state lawmakers tap into education reserves to address a 50 million dollar deficit, according to KATU.

    Looking ahead, listeners should watch for the House vote on the gas tax referendum bill this week, ongoing budget negotiations between Democrats and Republicans, and continued debates over semiconductor industry incentives and Hillsboro's expansion plans.

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  • Oregon Businesses Face Double Hit: 15% Trump Tariff Increase and State Budget Crisis in 2025

    Oregon Businesses Face Double Hit: 15% Trump Tariff Increase and State Budget Crisis in 2025
    2026/02/22
    Oregon businesses grapple with fresh uncertainty as President Trump announced a 15% global tariff hike, up from 10%, following a Supreme Court ruling that struck down prior tariffs, according to OPB reports. The Oregon Department of Justice, leading a coalition of states, continues pushing for refunds on billions paid by firms statewide. Meanwhile, PacifiCorp agreed to a $575 million settlement with federal authorities over 2020 wildfires that scorched over a million acres, killed 11 people, and destroyed thousands of homes, as reported by the Associated Press.

    In politics, tensions escalate at the state Capitol where Republicans walked out of the Senate amid debates over Senate Bill 1599, aimed at shifting a gas tax referendum from November to May, per OPB. Governor Tina Kotek requested a major disaster declaration for counties hit by December's severe weather, while a Clackamas County judge eased public defense caseloads amid ongoing shortages. The legislature debates funding delays from House Bill 3991 referrals, threatening Oregon Department of Transportation operations and winter services, according to state updates.

    Economically, Oregon faces sluggish growth with high-tech job losses accelerating in 2025 and tariff impacts trimming state revenues, notes the Portland Business Journal via Oregon Business Industry. Central Oregon shows promise with ready industrial land and rising birth rates at St. Charles Health System bucking statewide trends, per Cascade Business News. A bipartisan NFIB victory halted a bill that could have spurred litigation and higher insurance premiums.

    Community efforts shine in education and infrastructure: Senators Merkley and Wyden champion expanded Head Start and restored funds for disabled students in Central Oregon. Portland Public Schools advances Cleveland High School modernization, set for demolition in July 2026 and featuring energy-efficient designs. Winter sports buzz from the Milano Cortina Olympics boosts local curling in Bend and hockey in Beaverton, OPB adds. Public safety saw a protester plead guilty to assaulting a federal officer during last year's Portland protests.

    Looking Ahead: Watch the gas tax referendum timeline, ODOT's $242 million funding gap resolution, and OPB's live "Think Out Loud" on Oregon's dating scene March 5 in Portland.

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  • Oregon's Economic Recovery: Challenges, Innovations, and Bipartisan Solutions in 2026

    Oregon's Economic Recovery: Challenges, Innovations, and Bipartisan Solutions in 2026
    2026/02/19
    Oregon's economy continues to face significant headwinds as the state legislature navigates a challenging 2026 session focused on job creation and fiscal stability. Business bankruptcies surged 25 percent last year to their highest point since 2013, according to reporting from the Oregonian, with Oregon's decline occurring nearly four times faster than the national average. High-tech employment losses accelerated in 2025, adding to concerns about the state's competitive position.

    Governor Tina Kotek's economic development agenda is gaining traction in the legislature. Her HB 4084 economic development bill passed its first House committee on a bipartisan basis and now moves forward, though concerns remain about permitting timelines. The Oregon JOBS Act, or SB 1586, advances several pro-growth initiatives including doubling Oregon's research and development tax credit and expanding it beyond semiconductors to advanced manufacturing and biotech, according to the Springfield Bottom Line. The bill also creates new tax abatements for equipment purchases to support business expansion.

    On the fiscal front, the Oregon Senate passed SB 1507 on a party-line vote, adding more than 311 million dollars in expected revenue by eliminating certain federal tax breaks and expanding earned income tax credits for low-income Oregonians. All Democrats voted for the measure except one, while all Republicans opposed it. The legislative revenue office projects this will help close part of a roughly 350 million dollar budget hole still facing the state.

    Education and workforce development received a boost when Lane Community College received 1.6 million dollars in federal funding from the U.S. Department of Labor to upgrade equipment at its Industry and Trades Education Center, as announced by U.S. Senators Ron Wyden and Jeff Merkley. The grant supports training in advanced manufacturing and cybersecurity.

    In local government, Oregon City Council voted to grant a six-month extension to a proposed data center project, with school district leadership expressing support for the economic development opportunity. Meanwhile, some ambitious bills have stalled. A proposal to reshape Oregon's school funding formula faced opposition from key education lobbying groups, and a liability waiver reform bill for ski resort operators advanced with Democratic Senate leadership directing it toward passage.

    Regarding weather, the Oregonian reports Mount Hood received up to two feet of snow between February 16 and 18, though it remains insufficient to recover from months of snow drought.

    Looking ahead, Oregon lawmakers continue wrestling with transportation funding challenges, including potential cuts to the Safe Routes to School program, while the legislature works to finalize budget priorities before the short session concludes.

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  • Oregon's Tax Overhaul and Business Priorities Spark Legislative Showdown

    Oregon's Tax Overhaul and Business Priorities Spark Legislative Showdown
    2026/02/17
    Oregon's legislative session is heating up with key developments in taxes, business priorities, and education funding. The Senate passed SB 1507 on Monday, eliminating certain corporate tax breaks from the federal H.R. 1 package to generate $311 million in revenue, while expanding the Earned Income Tax Credit for about 200,000 low-income households from 9% to 14% for individuals and up to 17% for families with young children, according to KATU and KLCC reports. All Republicans opposed the measure, calling it a tax hike on businesses, as the bill heads to the House amid a lingering $350 million budget shortfall.

    Business leaders at Oregon Business & Industry updated their legislative priorities, highlighting threats like prevailing wage rules stalling housing projects and successes such as HB 4073 advancing for rulemaking transparency, per the OBI Capitol Connect Newsletter. Yet economic strains persist: business bankruptcies surged 25% last year to levels not seen since 2013, The Oregonian reports, while Central Oregon shows promise with EDCO forecasting growth in high-tech, manufacturing, and lifestyle sectors through 180 active projects.

    In education, a proposal to overhaul the 27-year-old Quality Education Model faces resistance from school groups after declining enrollment forced district cuts, KCBY notes. OSU-Cascades seeks $42 million in state funding for a health and recreation center on remediated land, backed by student fees and lawmakers. Transportation woes loom as ODOT eyes redirecting $27 million from Safe Routes to School to plug a $242 million hole, BikePortland reports.

    Mount Hood faces up to two feet of snow through February 18, but it's too little to offset the season's drought, The Oregonian says. Public safety incidents include a Portland ICE facility land use probe and resident lawsuits over tear gas from protests, per KATU and KGW.

    Looking Ahead: Watch for House action on the tax bill, Moda Center renovation funding debates, and Central Oregon Caucus priorities like HB 4084 for job growth. Governor Kotek leads in polls against GOP challengers.

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  • Oregon Legislature Tackles Gas Tax, School Funding, and Economic Growth in 2026 Short Session

    Oregon Legislature Tackles Gas Tax, School Funding, and Economic Growth in 2026 Short Session
    2026/02/15
    Oregon's 2026 short legislative session, underway since February 2, is moving swiftly toward its March 8 conclusion, with key deadlines passing this week for bill agendas. Oregon Business & Industry reports Republicans criticizing Democrats over a gas tax referendum, while Senate Bill 1599, sponsored by top Democrats, aims to shift a voter referendum on gas tax hikes and road fees from November to May, drawing backlash at its first hearing according to OPB. Lawmakers are also debating House Bill 4002 to cap each of the 90 legislators at 30 bills in long sessions, seeking efficiency after over 3,400 bills last year, per KLCC and OPB.

    In education, districts face budget cuts amid declining enrollment, prompting proposals like Senate Bill 1555 to overhaul the 27-year-old school funding model with new cost-based standards, as covered by KVAL and Salem Reporter. Economic bright spots include Central Oregon's robust growth, with EDCO forecasting diversification in high tech, manufacturing, and lifestyle sectors, plus workforce expansions at Redmond High School and Central Oregon Community College. Southern Oregon gears up for 2026 projects like Medford Airport expansion, rural fiber broadband to Shady Cove, and Creekside Quarter downtown revitalization, boosting housing and jobs per Buying Southern Oregon. The Oregon JOBS Act, SB 1586, advances R&D tax credits and manufacturing incentives, gaining bipartisan nods according to Daily Astorian.

    Public safety headlines feature a Salem coworker assault suspect arrested in California after a chase, per KGW, alongside union pickets at Kaiser Sunnyside and Portland Community College bargaining tensions from Oregon AFL-CIO. No major recent weather events reported.

    Looking Ahead: Watch the February 16 hearing on the JOBS Act, ongoing campaign finance fixes, and transportation budget scrambles amid a $242 million ODOT shortfall, with potential cuts to Safe Routes to School.

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  • Oregon Legislature Kicks Off 2026 Session with 300 Bills, Moda Center Deal, and Economic Strategies

    Oregon Legislature Kicks Off 2026 Session with 300 Bills, Moda Center Deal, and Economic Strategies
    2026/02/12
    Oregon lawmakers have kicked off the 2026 short legislative session with nearly 300 bills, tackling taxes, education funding, and economic growth amid a projected budget gap. Senate President Rob Wagner proposed legislation for the state to co-own Portland's Moda Center with the city, aiming to raise hundreds of millions for renovations to keep the Trail Blazers in town without extra taxpayer costs, according to KGW News. Meanwhile, Portland discovered $8.5 million in unspent arts tax funds, sparking questions about artist payouts. NFIB reports tracking bills like HB 4015 for federal tax conformity and opposition to SB 1507, which would disconnect from federal bonus depreciation to preserve $291 million in state revenue.

    On the economy, Central Oregon shows promise with EDCO forecasting steady expansion in lifestyle products, high tech, and manufacturing, supported by over 180 active projects and enterprise zone tweaks. Governor Tina Kotek backed House Bill 4084 for FastTrack permitting and $40 million in industrial site funding to boost jobs. Federal grants announced by Senators Merkley and Wyden total over $92 million for housing, health, education, and infrastructure, including $2 million for Portland affordable housing and funds for rural dental clinics and firefighter training at Central Oregon Community College.

    Transportation faces a deepening funding pothole, with ODOT eyeing short-term debt and cuts after failed gas tax hikes, as noted by KLCC. School districts brace for budget cuts as lawmakers debate overhauling the 27-year-old funding model via Senate Bill 1555, facing opposition in Salem. No major recent weather events reported, though communities like Sumpter upgrade centers for wildfire resilience.

    Looking Ahead: Watch for transportation package votes, SB 1507 work sessions next week, and Kotek's 2027 renewable energy push under Executive Orders 25-25 and 25-29.

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  • Oregon Leaders Unveil Moda Center Funding Plan to Secure Trail Blazers' Future and Boost Local Economy

    Oregon Leaders Unveil Moda Center Funding Plan to Secure Trail Blazers' Future and Boost Local Economy
    2026/02/10
    Oregon state leaders have unveiled a funding plan for major renovations to the Moda Center in Portland, aiming to secure the Trail Blazers' long-term presence and boost the local economy, with Governor Kotek and county officials emphasizing its critical role in retaining jobs and events, according to KGW News.[1][5] The 2026 legislative short session, underway since February 2, has introduced nearly 300 bills, including debates over federal tax code conformity in HB 4015 and SB 1507, which NFIB opposes for potentially costing businesses millions through disconnection from bonus depreciation, alongside proposals to raise payroll taxes for the Bureau of Labor and Industries.[2][6] Portland City Hall faces scrutiny over more than $100 million in unspent housing funds, up from $35 million last week, as reported by KGW and KATU.[1][9]

    In business and economy news, Governor Kotek testified in support of HB 4084, her Prosperity Roadmap bill, which includes $40 million for industrial site readiness and enterprise zone modernization to spur job growth.[7] Southern Oregon gears up for 2026 infrastructure wins like Rogue Valley International Medford Airport expansion, rural fiber broadband to Shady Cove and Trail, and Creekside Quarter downtown revitalization in Medford, promising housing demand and tourism boosts, per local development reports.[3] Federally, Portland secured millions for projects including Ellington Apartments redevelopment and safety upgrades on SE Chavez Boulevard, thanks to Senators Wyden and Merkley, as announced by Mayor Wilson.[4]

    Community updates include Salem-Keizer schools planning $25 million in cuts due to enrollment declines, targeting admin and blended classrooms despite gains in literacy and graduation rates, KATU reports.[8] Portland eyes police staffing increases via a proposed council resolution.[9] A St. Helens man faces charges for allegedly plotting to kill ICE agents.[1] No major recent weather events noted.

    Looking Ahead: Watch for SB 1507 work sessions this week on tax changes, gas tax referendum votes potentially shifting to May primary under SB 1599, and Blazers arena funding progress amid the session's March 9 close.[2][6][10][13]

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  • Oregon Legislature Tackles Budget Gaps, Economic Growth, and Immigration Justice in 2026 Session

    Oregon Legislature Tackles Budget Gaps, Economic Growth, and Immigration Justice in 2026 Session
    2026/02/08
    Oregon's 2026 legislative session kicked off this week in Salem, tackling a packed five-week agenda amid budget shortfalls and economic pressures. According to OPB, lawmakers face a $297 million gap in the Oregon Department of Transportation budget, prompting proposals to cut vacant positions and agency programs to avoid layoffs, while Governor Tina Kotek pushes House Bill 4084 for fast-track permits on large projects and $40 million for industrial land prep to boost jobs. Democrats are also advancing an immigration justice package in response to ICE raids, including bills to sue federal agents for rights violations and protect immigrant data privacy, as House Speaker Julie Fahey noted the chaos from federal actions creating fear for thousands.

    Economic development takes center stage, with Senator Janeen Sollman's JOBS Act aiming to expand R&D tax credits and open 1,700 acres in Hillsboro for advanced manufacturing, backed by businesses and local groups per Oregon Business and Industry. Federal funding flows in too: Senators Merkley and Wyden secured over $7 million for Central Oregon projects like canal piping for water efficiency and floating solar at Ochoco Irrigation District, while Portland gains $6.7 million for affordable housing at Ellington and Clara Vista sites, plus safety upgrades on Chavez Boulevard, as Mayor Keith Wilson highlighted.

    Infrastructure advances statewide, from Southern Oregon's 2026 projects like Medford airport expansion, Rogue X sports hub, and rural fiber broadband to Shady Cove, to federal cash for Milwaukie’s Kellogg Creek bridge replacement. No major weather events reported recently.

    Looking Ahead: Watch for debates on kicker rebate reforms, campaign finance tweaks, and BOLI payroll tax hikes by mid-March, alongside Moda Center renovations to keep the Trail Blazers in Portland.

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