|
Dear OSCC Members & Colleagues –
One week left to go in the 2026 legislative session. Here’s where we stand on the three pillar issues of the 2026 session thus far:
1. Budget/Taxes: SB 1507 is the key linchpin bill that leadership is counting on to balance the 2025-27 budget – a $300 million tax increase that disconnects from some important tax incentives that were contained in the big federal tax cut bill of 2025 – HR 1. The bill has now passed over the objections of the business community and is on Governor Kotek’s desk, where OSCC and others have formally requested a veto.
On the budget side, pay attention to House Bill 5204, which is the final budget reconciliation bill. What you’ll notice is that due to a positive February revenue forecast and the passage of SB 1507, budget writers did not need to make significant cuts to state government. In total, only about $128 million in General Fund reductions were made. In total, HB 5204 actually added a net $193 million in spending to the state budget.
2. Gas Tax Referendum Date: SB 1599. Senate Democrats found their votes to pass this bill last week, and the House is scheduled to debate it and vote on it today. However, Secretary of State Tobias Read informed legislators he would need this bill passed by February 25th in order to accommodate official deadlines to facilitate putting the gas tax referral on the May ballot. Now all eyes are on Secretary Read as to whether he holds firm on his deadlines or moves the goalposts again in favor of his political party.
In a separate bill – Senate Bill 1601 – budget writers reapportion over $200 million from various ODOT special appropriations to fund highway maintenance and operations for the next fiscal year.
3. Moda Center Renovations: SB 1501. The bill to help keep the Portland Trailblazers in Portland commits $360 million of state bonding authority to update the Moda Center and give the State an ownership stake in the arena. It appears that the votes for this bill will likely materialize through time honored tradition of end-of-session budget “horse trading” that can be seen with the projects funded in HB 5204 and also Senate Bill 5701 as well as the significant increase in future funding for county fairgrounds in Senate Bill 1601.
URGENT UPDATE: Lodging Tax Issues IMMINENT
OSCC will be focused this week on the two TLT bills now being considered in the Senate:
HB 4134: Statewide TLT tax increase. HB 4134 passed the House with the 36 votes it needed last week.
After OSCC testified against the bill on Thursday evening, the Senate Finance and Revenue committee passed the bill out on Friday afternoon.
HB 4134 increases the state TLT tax from 1.5% to 2.75%. OSCC is opposing this bill and encourages all chamber members to contact your Senator to oppose this tax increase that will hurt the tourism sector and make travelling more expensive for Oregonians.
HB 4148: Transient Lodging Tax diversion to Local Government. The new version of the bill would allow local governments to increase their share of local TLT revenues to pay for more general government purposes and away from tourism promotion. The new version of the bill is now a 50/50 split between tourism promotion and general government operations.
However, the new version of the bill contains a “poison pill” that OSCC continues to oppose. It creates a “resiliency grant” program – funded out of the 50% dedicated to tourism promotion – that permits local governments to give cash grants to food service and lodging businesses.
OSCC’s position is this: Our small businesses need customers that comes from promotion, not grant programs or handouts paid for by their own tax dollars.
OSCC testified against this bill this morning. MORE CHAMBER TESTIMONY IS NEEDED!
Please submit comment to the Senate Finance and Revenue Committee TODAY. OSCC has issued an ACTION ALERT on this
bill. Immediate help is needed!
SB 1517 / SB 1593: Recreational Liability Waivers. OSCC continues to push for SB 1593, as does the Oregonian newspaper and the vast majority of the legislature.
OSCC has issued an ACTION ALERT in SUPPORT of SB 1593 and in OPPOSITION to SB 1517.
The House Rules Committee took testimony this morning, the vast majority of which was in opposition to SB 1517.
Again, CHAMBER VOICES ARE NEEDED to Oppose SB 1517. This testimony from the Health & Fitness Alliance is the best, concise summary available to use.
These are the issues we can impact TODAY. Please take a minute to show the engagement from our local chambers and business communities.
|
