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Dear friends,
I hope you enjoyed a happy and healthy Thanksgiving together with family and friends. Next week, the final set of "legislative days" for the 2024 interim will take place at the Capitol in Salem. This is an opportunity for committees to hold informational hearings and introduce committee bills for the 2025 regular session. Those bills will be pre-session filed and read into the record on the first day of session, January 21. The Senate President will then assign them to committees for possible consideration.
The Senate Committee on Judiciary and the Joint Committee on Addiction & Community Safety Response, both of which I chair or co-chair, will be meeting on Wednesday, December 11. The Senate will also convene the following day, Thursday, to consider the Governor's appointments to various boards and commissions.
In addition to Legislative Days, Governor Kotek has called a special session of the Legislature on Thursday afternoon to approve emergency spending for costs related to this year's unprecedented wildfire season. Leadership anticipates that the special session will conclude on the same day. I hope they're correct!
You can review committee agendas (once posted) and watch live proceedings (and recordings) using the Legislature's online information system.
On November 14, Senator James Manning and I joined other local officials at the invitation of 4J Superintendent Colt Gill to attend the "Glasses Celebration" at Eugene's Chávez Elementary School. It was extremely moving to watch the students' reactions when they tried on their new glasses for the first time. The event was organized by Vision to Learn, a nonprofit organization that provides vision screenings, eye exams and glasses to children from low-income families at no cost.
Left to right: Eugene Mayor-elect Kaarin Knudson, 4J Board Member Judy Newman, Sen. James Manning, Mayor Lucy Vinis and myself.
Below you will find information on:
- December Revenue Forecast
- Session Accomplishments: Jobs, Economy, & Workforce
- Scholarships and Grants Available at OregonStudentAid.gov
I hope this information is helpful and informative for you or someone you know. As always, feel free to share your comments, questions or concerns with me by phone, mail or e-mail. Please stay healthy and safe this holiday season. Remember to check ODOT's TripCheck.com for road conditions and traffic information if you're traveling around our beautiful state.
December Revenue Forecast
Another robust economic and revenue forecast was released at a joint meeting of the Senate and House Revenue Committees by the Oregon Office of Economic Analysis (OEA). Below is a summary of the forecast. In 2025, state leaders need to focus on growing a fair economy, where wages and quality of life go up for all Oregonians, while protecting our state from the uncertainty in Washington D.C.
Revenue Outlook
Net General Fund resources for 2023-25 are up $945.4 million from the September 2024 forecast. The 2023-25 General Fund ending balance is now $2.8 billion versus September's projected ending balance of $1.8 billion. Lottery revenue for the 2023-25 biennium is up $37.1 million from the September 2024 forecast.
Reserve accounts are currently at $900 million (Education Stability Fund) and $1.7 billion (Rainy Day Fund). The projected ending balances for the 2023-25 biennium reserve account are as follows: Education Stability Fund $1 billion) and Rainy Day Fund $1.9 billion). The Rainy Day Fund is projected to receive $329 million following the end of the 2023-2025 Biennium.
Kicker Outlook
A personal kicker of $1.8 billion is projected for 2025. Corporate tax revenue of $1 billion is projected to be dedicated to K-12 education spending in 2025-2027.
OEA Economic Outlook
The overall economic forecast is stable. Jobs are slightly lower relative to the previous outlook, but these changes are by tenths of a percentage. Income is now higher relative to the previous outlook. This is in large part because of the huge upward revision to non-wage income reported in the Bureau of Economic Analysis's (BEA's) annual update of the National Economic Accounts. The nature of the economic outlook is for a modest rebound in migration leading to slow, but positive population gains in the state. The labor market is expected to remain at or near full employment. Unemployment will remain in the low 4 percent range while the share of working-age Oregonians with a job will be at or near an all-time high. Our strong labor market translates into average wage growth per workers of approximately 4 percent at an annualized basis.
OEA Corporate Activity Tax Projections
Anticipated revenues for the current biennium are down $5.9 million, along with a projected decrease of $40 million for 2025-27. Including a change in the beginning balance, available resources for 2025-27 are down $48 million to total $3.3 billion.
Session Accomplishments: Jobs, the Economy and Workforce
Following the 2024 short Legislative Session, I'm sharing in-depth summaries of bills passed by subject area. Below is a comprehensive listing of accomplishments related to jobs, the economy and workforce — by Senate/House bill and in numeric order:
Senate Bills
SB 1515 - Improving Paid Leave Oregon: This legislation aligns Oregon Family Leave Act (OFLA) and Paid Leave Oregon. These two protected leave programs assist Oregonians when employees need to take a leave of absence. Protection under SB 1515 includes a two-week temporary leave with OFLA for employees in the legal process of fostering or adopting children. The bill also adds protection for employers regarding scheduling conflicts of employees due to paid leaves of absence.
SB 1575 - Protecting Small Businesses: Currently, contractors and subcontractors who have construction agreements with governmental bodies have a "duty to defend" clause, which requires them to defend themselves and the government body in the event of a lawsuit or claim that alleges property damage by the construction or design of the project. This legislation limits the governmental bodies' ability to include a duty to defend clause in a construction agreement, except to the extent the person's liability or fault is determined by adjudication, dispute resolution, or a settlement agreement. I was proud to champion this legislation for several sessions before it finally passed in 2024.
SB 1580 – Safeguarding Oregon Workers' Compensation: In Oregon, workers' compensation laws require employers to maintain insurance coverage for their employees to receive compensation for workplace injuries. This legislation provides that an employer commits a Class A misdemeanor if the employer knowingly submits a false payroll report to the Workers' Compensation Board, or an insurer, with the intent to decrease the employer's premium for coverage under workers' compensation laws.
SB 1585 - Task Force on Supplemental Nutrition Assistance Program (SNAP) Benefits: The federal government created the Restaurant Meals Program, which allows states the option for people on the Supplemental Nutrition Assistance Program to purchase ready-made meals at restaurants. This legislation creates a task force to create a plan for Oregon SNAP recipients to access this federal program and report back to the legislature by January 31, 2025.
SB 1595 - Family Financial Protection Act: The Unlawful Debt Collection Practices Act (UDCPA) sets parameters on how a debt collector may attempt to collect unpaid debts. Oregon statute also has minimum exemptions that protect a limited amount of an individual's money from collections for unpaid debts. This legislation improves outdated and flawed consumer protection and debt statutes by strengthening economic protections for Oregonians working to pay back their debts and providing recourse for Oregonians subjected to unfair debt collection practices. The bill phases in an increase in the minimum amount of wages protected from garnishment to reach Oregon Standard Minimum Wage on July 1, 2027. It also increases the values protected for vehicles and homesteads, and creates a new $2,500 bank account balance protection. Additionally, the bill strengthens the UDCPA by expanding the statute of limitations to three years and protects consumers from unfair attorney fees.
House Bills
HB 1514 - Ensuring Paid Leave Oregon Remains Solvent: The Oregon Legislature established Paid Leave Oregon in 2019, and in January 2023, employers and employees began making contributions to the fund so that benefits could start in September 2023. This legislation requires the director of the Oregon Employment Department to conduct periodic assessments of the Paid Family and Medical Leave Insurance Fund to determine the solvency of the fund and specify actions the director may take to address the sustainability of the fund.
HB 4004 - Increases Penalties for Violating Child Labor Laws: This legislation allows the Bureau of Labor and Industries (BOLI) to impose a civil penalty of up to $10,000 for child labor law violations, even when a penalty is also paid to the U.S. Department of Labor. The bill also states that BOLI doesn't need to give a refund for penalties already paid in a federal case.
HB 4045 - Expanding Early Retirement for First Responders: The Public Employees Retirement System (PERS) offers additional benefits to Tier One and Tier Two PERS members, who often hold positions like law enforcement, parole and probation, deputy district attorneys investigators, corrections officers, school police officers, and some residential care workers. This legislation lowers the retirement age from 60 to 55 for police and fire professionals. It also adds more professions to Tier One and Tier Two PERS, including forensic scientists and evidence technicians employed by the State Police, as well as district attorneys.
HB 4080 - Offshore Wind Energy Roadmap and Labor Standards: Oregon has significant potential for energy production through offshore wind projects on the southern coast. In anticipation of the Federal Bureau of Ocean Energy Management announcing the leasing auctions of two Wind Energy Areas offshore Oregon, near Coos Bay and Brookings, the legislature passed House Bill 4080. The bill directs the Department of Land Conservation and Development (DLCD) to develop an Offshore Wind Roadmap to define standards for offshore wind energy development and approval processes. It also requires offshore wind project developers and contractors to follow standards for apprenticeship utilization, recruit certain minority groups, pay and receive benefits, comply with state employment laws, and use steel or iron produced in the United States.
HB 4098 - CHIPS Child Care Fund: During the 2023 session, SB 4 established a grant program to support the semiconductor industry and incentivize economic development. The federal CHIPS Act funding opportunity includes requirements for recipients to craft location-specific child care for workers. House Bill 4098 directs Business Oregon to establish a CHIPS Child Care Work Group to develop recommendations for requiring businesses receiving state and federal semiconductor financial assistance to contribute to the CHIPS Child Care Fund. It also directs Business Oregon and the Bureau of Labor and Industries (BOLI) to develop a program to provide financial support and childcare subsidies to semiconductor construction workers.
HB 4127 - Warehouse Worker Protections: Warehouse workers perform dangerous jobs, and strenuous quota requirements may contribute to high injury rates. House Bill 4127 requires employers to provide each employee with written documentation summarizing any quota to which the employee is subject. It also grants current and former employees who have been disciplined for failing to meet a quota the right to request records of their written documentation of quota requirements and the employee’s work speed data for the 90 days immediately preceding the date of the employee’s request or separation from the employer. An employer’s failure to comply shall be subject to a civil penalty not to exceed $1,000.
HB 4154 - Semiconductor Talent Sustaining Fund: During the 2023 session, SB 4 established a grant program to support the semiconductor industry and incentivize economic development. This legislation requires the Higher Education Coordinating Commission to establish a statewide semiconductor industry consortium. It creates the Semiconductor Talent Sustaining Fund in order to build an education-to-industry pipeline and promote STEM in education.
HB 5701 - Stabilizing Oregon's Employment Related Day Care Program: The Employment Related Day Care (ERDC) program helps families who are working, in school, or receiving T emporary Assistance for Needy Families (TANF) pay for child care, including registration fees. Between January and August of 2023, more than 4,000 families enrolled in the program, a more than 50 percent increase in recipients. This legislation includes $163 million in new resources to stabilize Oregon's ERDC Program through the 2023-25 biennium.
Scholarships and Grants Available at OregonStudentAid.gov
Oregon's Higher Education Coordinating Commission (HECC) encourages all Oregonians pursuing postsecondary education in 2025-26 to apply for grants and scholarships through the state website OregonStudentAid.gov. This month, the HECC Office of Student Access and Completion (OSAC) officially opened the OSAC Scholarship Application for the next academic year. The State of Oregon has made accessing scholarships easy for Oregon students with its central site for more than 600 scholarships. Through the application, students can apply for many awards at one time.
OSAC awarded more than $12 million in privately funded scholarships in the last application cycle. Private scholarship funds support students across the state — including graduating high school seniors, GED-completers, and adult learners — in many postsecondary education pathways. Students could qualify for funds whether they are seeking degrees or certificates, whether they know their field of study or are just starting to consider their plans, and whether they are planning on attending a community college, a university, or an eligible career training program. Those who submit their scholarship application by the early bird deadline of February 18, 2025, will have the chance to win a $1,000 scholarship, and the final deadline is March 3, 2025.
OSAC administers these funds in partnership with private donors and partner organizations that establish the funds. More than 500 of the scholarships were established through the Oregon Community Foundation, and OSAC also works with numerous other partners. In addition to the continuing scholarships, HECC is pleased to report that several new scholarships were added for the 2025-26 academic year. Many are focused on supporting students from specific regions or schools across the state, while others focus on student background, experiences, or fields of study such as education, engineering, or STEM. View the full catalog here.
Also on the OregonStudentAid.gov site, students can learn about and apply for numerous state and federally funded grant programs such as the Oregon Opportunity Grant (OOG), Oregon Promise Grant, Oregon Tribal Student Grant, Oregon Student Child Care Grant, and more. Students should plan to complete any required applications and the key forms that determine eligibility for need-based aid: the Free Application for Federal Student Aid (FAFSA) or the Oregon Student Aid Application (ORSAA), which are expected to open in December. All new and returning students should complete one of these two applications to be considered for federal and/or state financial aid such as the Federal Pell Grant, the OOG, and more. Many scholarships, if they are need-based, also require FAFSA or ORSAA completion. Students should mark their calendars for upcoming applications and deadlines:
Need help with the financial aid process? OSAC and Completion offer a number of resources for students, families, educators, and community members to help with the financial aid process and with college and career planning. Under the Resources section of our website, you can find videos on financial aid topics, request a live presentation, or download or order free publications about financial aid opportunities.
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