Oregon House Bill 2647, introduced on January 13, 2025, aims to facilitate urban growth by allowing cities outside the Metro area with populations under 55,000 to expand their urban growth boundaries for light industrial and open space uses. The bill, sponsored by Representative Evans, seeks to address the need for industrial land in smaller cities while balancing it with the preservation of open space.

Key provisions of the bill permit cities to identify up to 80 acres of land contiguous to their existing urban growth boundaries for this purpose. Notably, the legislation mandates that no more than 50% of the identified land can be designated for industrial use, which includes high-tech facilities such as semiconductor manufacturing. The remaining land must be preserved as open space or parks. This dual focus aims to promote economic development while ensuring environmental considerations are met.

The bill also sunsets a previous program established in 2011 that designated regionally significant industrial areas, indicating a shift in how Oregon approaches industrial land use planning. The sunset provision is set for January 2, 2035, suggesting a temporary measure that will require future evaluation.

Debate surrounding House Bill 2647 has highlighted concerns about potential impacts on agricultural and forest lands, as the bill allows local governments to amend urban growth boundaries without adhering to certain statewide land use planning goals. Critics argue that this could lead to unchecked development and loss of valuable agricultural land. Supporters, however, contend that the bill is essential for fostering economic growth in smaller communities, particularly in light of increasing demand for industrial space.

The implications of this legislation could be significant for Oregon's economic landscape, particularly in rural areas seeking to attract new industries. Experts suggest that if passed, the bill could stimulate local economies and create jobs, but it will also require careful monitoring to ensure that environmental and agricultural interests are not compromised.

As the legislative session progresses, stakeholders from various sectors will be watching closely to see how this bill evolves and what it means for the future of urban growth and industrial development in Oregon.