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Over the past two weeks our office has continued to hear a steady stream of questions, concerns, and general uncertainty from constituents about the transportation taxes and fees in HB 3991 that were signed into law by the Governor in November. Given the volume of ongoing dialogue, we wanted to provide a brief update.
Last week, petition organizers submitted nearly 200,000 signatures to the Oregon Secretary of State’s Elections Division (more than double the roughly 78,000 required), to refer key tax and fee increases in the law to the November 2026 ballot. If and when enough of those signatures are verified by state elections officials, the contested tax and fee increases would be paused until voters have a chance to weigh in next fall, but we learned earlier this week that the Department of Revenue already preemptively called off the tax and fee increases from going into effect on January 1st, in anticipation that the 78,000 required signatures will be verified in the coming days.
What's exactly being paused? The 6-cent increase to the state gas tax, the temporary doubling of the transit payroll tax, and planned increases to vehicle registration and title fees. Oregonians will continue paying the current rates--such as a 40-cent gas tax, existing payroll transit tax level, and current title and registration fee--unless the signatures are rejected. What many may not know is that not every provision of HB 3991 is affected by the referral effort. Other non-revenue parts of the bill, including reforms to heavy truck taxation, enhanced legislative oversight of the Oregon Department of Transportation, and future road usage charges for electric and hybrid vehicles, are still set to take effect as lawmakers intended on January 1st.
This development arrives as agencies and budget writers are already adapting to shifting revenue projections, and it underscores how much uncertainty remains for funding state agencies as we head into the February session, and how hard legislative leadership will have to push to squeeze dollars towards their priorities. Our office will continue to monitor the verification process and share further updates on budget conversations in January, but until then have a Merry Christmas and a blessed New Year!
Department of Revenue press release announcing the pause of some HB 3991 provisions
This week we want to spotlight the City of Jefferson, which was awarded $50,000 through T-Mobile’s Hometown Grant Program, and the announcement came as a surprise during their Christmas at the Center event! The grant will fund Phase II of a new park space at the entrance to town, bringing interactive picnic tables, a community kiosk, a bike repair station, and more to the area. The project is inspired by the legacy of the late Glenny Marlatt, whose family was present for the special moment when the future park name was revealed: Glenny’s Corner.
It’s an exciting win for Jefferson and a great example of how community vision, local pride, and partnership can come together to create something lasting. Congratulations to the City of Jefferson, and thank you to T-Mobile for investing in small-town Oregon!
 Do you know of anyone in House District 11 who deserves to be acknowledged? Send us your nominations at Rep.JamiCate@oregonlegislature.gov
Free Sandbags Available Across House District 11
In preparation for the localized flooding that's occurring in our area, the Linn County Sheriff's Office and Jefferson Fire District would like you to know of the following sandbag locations in House District 11 to help you and your loved ones prevent flooding. Bags and sand are provided, but please bring your own shovel. The current locations are as follows:
City of Scio
Public Works Facility
38832 SW 6th Ave.
City of Crabtree
Vacant lot at 37410 Hungry Hill Rd.
Linn County Fair & Expo Center
3700 Knox Butte Rd. E
Albany, OR 97321
City of Brownsville
Central Linn Recreation Center
145 Park Ave.
City of Halsey
Corner of West 3rd. St. and West M St. near the basketball courts.
City of Jefferson
150 N 2nd St.
Knife River
Sand is in front of gate. Call (541) 327-2822 for bags.
39240 Hwy 99 E
Jefferson, OR 97352
 Lebanon Samaritan Pauses Labor & Delivery Services
Samaritan Health Services has announced a temporary pause in labor and delivery services at Samaritan Lebanon Community Hospital beginning January 15th, 2026, due to a regional shortage of OB/GYN physicians. Multiple provider departures across the Willamette Valley have significantly reduced available coverage, and despite expanded recruitment and efforts to secure temporary staffing, Samaritan has not been able to meet the level of inpatient coverage required to safely staff deliveries in Lebanon. Labor and delivery services at other Samaritan hospitals will continue without interruption, and Samaritan is hopeful services in Lebanon could resume as early as April 2026, depending on staffing.
Samaritan emphasizes that this is a temporary pause, not a closure, and does not change its long-term commitment to OB/GYN services in the region. The health system is implementing transfer protocols for urgent situations, providing direct outreach and support to expectant parents, and keeping experienced labor and delivery nurses available to assist with obstetric emergencies in the emergency department. Samaritan is also continuing an expanded nationwide recruitment effort while working with staff and partners to restore full services as soon as it is safe to do so.
Is Oregon FFA Funding at Risk?
We've been hearing a lot of advocacy around FFA funding this week, and wanted to share a little additional information on what we know, and what we are still waiting to hear.
Earlier in the year, each state agency was asked to prepare a list of budget items to total a 2.5% general fund budget reduction, as well as an additional 2.5%--for a total 5% general fund reduction. These proposals were presented to Ways and Means subcommittees back during November's Legislative Days, where subcommittee members provided feedback to the full Ways & Means Co-Chairs about what suggested budget cut items they agreed with, and which they didn't. In the Oregon Department of Education's 2.5% budget cut recommendations, listed in the top third of budget items put forward to be considered if budget cuts end up being necessary, were two items impacting FFA.
Of the $700,000 Agricultural Summer Grant Program's two-year budget, $339,736 was proposed to be cut. This would result in the elimination of many Ag-related career and technical education opportunities, and no doubt would hit rural students hardest. The other item in jeopardy is the current $1.6M funding level for FFA directly, with the proposed cut being $809,704. Many FFA statewide opportunities would disappear with this cut, including support for the State Convention.
It's important to remember that these decisions are not final, and will be made during short session after the February revenue forecast (the last one in November showed much smaller revenue cuts being projected as necessary than September's), but it is always good to let Ways & Means members know which funding is most important to you, which is why we're pasting their emails below!
Ways & Means Subcommittee on Education Co-Chairs:
Senator Janeen Sollman - Sen.JaneenSollman@oregonlegislature.gov
Representative Ricki Ruiz - Rep.RickiRuiz@oregonlegislature.gov
Ways & Means Full Committee Co-Chairs:
Senator Kate Lieber - Sen.KateLieber@oregonlegislature.gov
Representative Tawna Sanchez - Rep.TawnaSanchez@oregonlegislature.gov
 The Lebanon Local Merges with The New Era
Beginning January 7th, Lebanon Local and The New Era will merge into a single weekly newspaper under The New Era name, serving east Linn County. They say the move is designed to strengthen long-term sustainability and deliver more timely, in-depth coverage of local government, schools, sports, and community life in Lebanon and Sweet Home.
Local newspapers remain a vital way to stay informed, connected, and engaged with what’s happening right here at home, so please help support our newly revamped local paper!
To read what owner Scott Swanson had to say, click here.
 
Oregonians will not see a higher gas tax in January: 5 things to know
The Oregonian/OregonLive
Several Oregon transportation taxes and fees will not increase in January after leaders of the campaign attempting to halt those increases on Friday submitted more than enough signatures to give voters the final say … It’s unclear what the halt on tax increases means for the Oregon Department of Transportation. The agency could cut its services and lay off workers to address its budget gap, but Democratic lawmakers and the governor have expressed an unwillingness to allow those cuts.
‘Able-bodied adults’ must work or lose food stamps, under new federal rules that affect 37,000 Oregonians
The Oregonian/OregonLive
The state of Oregon has announced that 37,000 “able-bodied adults” who don’t have young children or other dependents must start working or else lose their federal food aid, under a new law that took effect statewide on Dec. 1. The stricter rules are part of the “One Big Beautiful Bill Act” passed by congressional Republicans and signed by President Donald Trump in July.
Oregon’s unemployment rate climbs to among the highest in the U.S.
KOIN
New data shows that Oregon’s unemployment rate is now among the highest in the country. In its first update since the federal government shutdown, the Oregon Employment Department released its monthly September employment data on Wednesday. “Unemployment continues to drift up in Oregon,” said Oregon Employment Economist Gail Krumenauer. “Over the past year, Oregon’s unemployment rate has risen by a full point, from 4.2% to 5.2%.” As KOIN 6 News previously reported, the state hit its highest unemployment rate since the pandemic in July, with 5%. Since then, it has continued to outpace the national rate — now at 4.4%.
Oregon moves forward with a new education accountability plan
OPB
Oregon is building a new education accountability system, and it’s pretty complicated. With 197 school districts, numerous charter schools, and other educational settings like the Oregon School for the Deaf and recovery schools, students receive instruction in many different ways. There’s not one clear way to make sure all these different schools are educating their students successfully. But Senate Bill 141, helmed by Gov. Tina Kotek, passed by the legislature this year, requires Oregon to figure it out. Quick.
Oregon: No Place to Die, Our death tax is the greediest in the nation.
Oregon Journalism Project
Imagine this: You recently retired in the state you love. You’ve raised a family, paid off a mortgage. Supported nonprofits and the local restaurants in your community. Against all odds, you’ve even put some money away for the grandkids. You’ve prospered through a good life, most of it in Oregon, but your accountant has just lowered the boom: You can’t afford to die here.
How Can 955 Home Forward Units Sit Empty When 7,500 People Are Sleeping Outside?
Willamette Week
Last week, WW revealed that Home Forward, the city’s housing authority that serves Multnomah County, owns 955 affordable housing units that sit vacant. That’s about 1 in every 7 units that Home Forward owns. A recent report by the real estate firm CoStar estimated that the vacancy rate across the 25,000 total affordable units in the city hovers around 7%—equivalent to 1,900 units.
Mississippi’s Reading Turnaround Holds Lessons for Oregon
Willamette Week
Earlier this year, the National Assessment of Educational Progress released its annual report card, including reading scores for fourth graders across the country. Reading scores at fourth grade are considered a vital bellwether for a student’s educational progress. Adjusted for demographics, Oregon landed 50th—at the very bottom.
Feds plan on lowering Detroit Lake to lowest levels ever. That has locals concerned
OPB
The U.S. Army Corps of Engineers is considering lowering Detroit Lake to its lowest levels ever, starting in the fall of 2026. It’s part of an effort to help threatened Chinook salmon move downstream. But some local residents and surrounding communities argue such a significant drawdown could create dirtier water and damage the sportfishing industry in Detroit. Greg Taylor, a supervisory fisheries biologist with the Army Corps, said the lower level makes it easier for the imperiled salmon to pass through Detroit Dam and survive downstream.
Oregon's Measure 110 program is failing to prove effective, final state-mandated audit finds
KGW
Since voters approved it back in November 2020, Oregon's Measure 110 has earned a surge of criticism, as its decriminalization of hard drugs in user quantities coincided with the explosion in fentanyl use and overdoses throughout the state. In the backlash, Measure 110's goals for funding robust addiction treatment capacity throughout the state — using revenue from the state's cannabis taxes — often went overlooked. But on Wednesday, a new audit conducted by the Oregon Secretary of State's office concluded that the state is overall failing to reach those goals.
Vacancy on Lebanon's City Council: Apply!
Are you looking to get more involved in the decisions happening in your community? The City of Lebanon is currently seeking applicants to fill a vacancy on the Lebanon City Council representing Ward 1. Eligible applicants must live within Ward 1 (generally the southwest portion of the city), be a registered voter, and have resided in Lebanon for at least six months. The appointed term runs through December 31st, 2026, with the opportunity to run for a full four-year term in the November 2026 election. A higher resolution map of Ward 1's boundaries is available here.
Applications must be submitted by 5:00 p.m. on January 26th, 2026 and can be completed online here or picked up at City Hall. Interviews will take place at the January 28th City Council meeting, with the selected candidate sworn in on February 11th. For more information, contact City Recorder Julie Fisher at 541-258-4264 or jfisher@lebanonoregon.gov.
Transportation Taxes and What Comes Next
Governor Finally Signs Her Tax Bill into Law
Green Peter Dam Drawdown Update
What Are Oregon's True Priorities?
Special Session Concludes with New Taxes
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