HD2 Legislative Update ~ 8/18/2025

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Representative Virgle Osborne

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To contact me, please click here: Rep.VirgleOsborne@oregonlegislature.gov


Friends & Neighbors

Hello Friends,

Here are some moments from the past few weeks and valuable community insights to help you stay informed.

~ Virgle

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Oregon Republican House News

TRANSPORTATION SPECIAL SESSION FUNDING UPDATE

ODOT Tax Hike

 

Governor Kotek’s special session is rapidly approaching. The proposed transportation package looks to raise approximately $990 million per biennium, or an estimated $5 billion over 10 years.

In my previous newsletters, I have talked in great detail about the proposed transportation package. Now that we have specifics about the bill, I want to break down what that would mean for Oregonians.

The bill, proposed by Kotek, will require the Division of Audits to conduct biennial reviews of ODOT’s spending on the State Highway Fund and capital projects — results would be reported directly to lawmakers. It also shifts the appointment of the ODOT Director from the Transportation Commission to the Governor, with new rules applying only to future appointments.

The Continuous Improvement Advisory Committee will see expanded membership, including experts in project delivery and environmental policy, and must now meet monthly. Quarterly reports to legislators will track performance and suggest efficiency improvements.

For large-scale “major projects” costing $250 million or more, the Joint Committee on Transportation will receive quarterly updates and maintain oversight of project scope, costs and budget changes. New rules will also ensure that if local governments expand state highway projects without funding the changes, the Legislature will review the costs before deciding on funding.

On the funding side, the bill increases gas taxes by 15%, raises registration and title fees (with higher rates for high-MPG and electric vehicles), doubles the transit payroll tax and gradually phases in a per-mile Road Usage Charge for EVs, hybrids and delivery vehicles. It also repeals outdated tolling provisions and boosts funding for roadside rest areas.

As I’m sure you’re aware, this bill raises several policy concerns.

ODOT is confronting significant unfunded labor cost increases due to recently negotiated union contracts. With no dedicated funding included in the current proposal, this could strain the agency’s budget as higher salary obligations take effect.

Additionally, the proposal grants the Department of Administrative Services (DAS) authority to adjust certain taxes by rule under specific conditions, prompting separation-of-powers and constitutional concerns. House Republicans are consulting Legislative Counsel on the legality of Section 12.

Similarly, the proposal empowers ODOT to define what types of vehicles fall under the Road Usage Charge (RUC), potentially expanding the tax base and raising related constitutional issues.

My office will continue to send updates throughout this special session. Please feel free to reach out with any questions or concerns you might have.

Capital Chatter: The blame for ODOT funding failure lies with … everyone? 

Oregon Capital Insider

The Republican plan was no tax increases whatsoever: “This proposal serves as a bridge – an interim plan – that seeks to rebuild Oregonians’ trust in ODOT before asking them to pay more.” To stabilize the Oregon Department of Transportation, Republican legislators prioritized road maintenance and better treatment of truckers by moving money from climate initiatives, passenger rail service and the statewide transit tax. Introduced on June 9 – the same day as the Democrats’ transportation package, House Bill 2025 – the Republicans’ HB 3982 went nowhere. The Legislature adjourned 18 days later.  “We always knew that wasn’t going to pass, but we would need it to show something,” Rep. Mark Owens, R-Crane, said on “Harney County Live” last month...

...During his radio interview, Owens shared his cellphone number, asking constituents to tell him what they think about the transportation. He estimated that 80% of the people he’d talked to so far were OK with a six-cent gas tax increase...

...“So, if you ask me that specific question, ‘Would I personally be OK with the six-cent gas tax if I knew three cents was going to the state and [would] bring back all the [ODOT] employees?’ They would make sure that our maintenance was done, as it has been the last few years. That the counties would receive their 30% so they continue to do the maintenance they can, and our cities receive 20%?  “Personally, I would say yes, too. I’m still trying to figure out where the majority of our community is that I represent,” he added...

“Maintenance of our roads is one of the core functions of government, state government, county government, city government. Am I disappointed that those that are in charge, the Democrats, did not figure out a way to make that happen without new taxes? I am.”  

LEGISLATORS ANNOUNCE OVER $500,000 FOR SUTHERLIN FIRE TRAINING CENTER

KQEN

Two local legislators have announced over a half-million dollars to support critical improvements to the Sutherlin Fire Training Center. A release from State Representative Virgle Osborne and State Senator David Brock Smith said the Sutherlin Fire Department will receive $504,000. The funding will help modernize training infrastructure, enhance firefighter readiness and strengthen emergency response capabilities for Sutherlin and surrounding communities. Representative Virgle Osborne said, “This funding is about making sure our local firefighters have the tools and training they need to respond effectively in times of crisis”. Osborne said, “The Sutherlin Fire Training Center” plays a vital role in preparing our first responders, and these improvements will ensure they’re equipped to protect our communities safely and efficiently”.

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In District News

INSIDE DOUGLAS COUNTY 08.15.25 – KQEN News Radio

State Representative Virgle Osborne talks about comments he received from residents while at the county fair, recent announcements regarding funding for the Rock Creek Hatchery, an Oregon Veteran’s Home in Roseburg, the upcoming special session and other topics.

Invitation to Hear from Local Youth

Was honored to visit the Boys & Girls Club of Umpqua Valley in Roseburg for a special event showcasing youth voices to local leaders.

As part of their Voices for Great Futures initiative, local teens shared some of the issues that matter most to them—and the solutions they envision for a stronger, healthier future. 

BGClub
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From the Oregon Archives

On this day 105 years ago, the 19th Amendment to the US Constitution was ratified, giving women the right to vote. Abigail Scott Duniway was one of Oregon's most vocal advocates for women's suffrage, spending years working to pass the law in our state.
The Oregon State Archives collection includes Scott Duniway's voter registration card. We can only imagine what a thrill it was for her to finally put her signature on this card and then cast her very first vote.
Images: Abigail Scott Duniway voter registration card - both sides, Oregon State Archives collection
Abigail Scott Duniway registering to vote, Oregon Historical Society.
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Yours Truly,

Osborne Signature

State Representative, House District 2

Capitol Phone: 503-986-1402
Capitol Address: 900 Court St. NE, H-375, Salem, Oregon 97301
Email: Rep.VirgleOsborne@oregonlegislature.gov
Website: https://www.oregonlegislature.gov/osborne​