Oregon Legislature amends land use review processes in HB 2138

On April 16, 2025, the Oregon State Legislature introduced House Bill 2138, a significant piece of legislation aimed at reforming the review process for decisions made by municipal corporations. This bill seeks to clarify and streamline the judicial review of municipal decisions, particularly those related to land use and other municipal business transactions.

The primary purpose of House Bill 2138 is to amend existing statutes regarding how decisions made by municipal corporations can be challenged in court. Under the proposed changes, the bill specifies that decisions made in a judicial or quasi-judicial capacity by municipal governing bodies will be reviewed only as outlined in Oregon Revised Statutes (ORS) 34.010 to 34.100, with certain exceptions for land use decisions. This aims to reduce confusion and improve efficiency in the legal process surrounding municipal governance.

Key provisions of the bill include the transfer of petitions for review of land use decisions to the Land Use Board of Appeals, ensuring that such cases are handled by a specialized body. Additionally, it establishes clear timelines for filing petitions and notices of intent to appeal, which are crucial for maintaining order in the review process. The bill also addresses the authority of courts and the Land Use Board of Appeals in determining their jurisdiction over specific cases, directing disputes to the Court of Appeals for resolution.

The introduction of House Bill 2138 has sparked notable debates among lawmakers and stakeholders. Proponents argue that the bill will enhance the efficiency of municipal governance and provide clearer pathways for legal recourse, thereby benefiting both municipalities and citizens. Critics, however, express concerns that the bill may limit public access to judicial review, potentially undermining accountability in local government decisions.

The implications of this legislation are significant. If passed, it could reshape the landscape of municipal governance in Oregon, affecting how local governments operate and how citizens engage with them. Experts suggest that the bill could lead to a more streamlined process, but they caution that it must balance efficiency with the need for transparency and public participation in local decision-making.

As House Bill 2138 moves through the legislative process, its future remains uncertain. Lawmakers will need to navigate the competing interests of efficiency and accountability, making this a critical moment for municipal governance in Oregon. The outcome of this bill could set a precedent for how similar issues are addressed in the future, impacting not only local governments but also the communities they serve.