Representative Ruiz advocates for House Bill 2735 to boost Oregon's IDA funding

The House Committee on Revenue convened on April 22, 2025, to discuss House Bill 2735, a bipartisan proposal aimed at enhancing Oregon's Individual Development Account (IDA) program. The meeting focused on increasing the annual cap on tax credits for IDA donations from $7.5 million to $16.5 million, a change that would take effect for tax years beginning January 1, 2025.

State Representative Ricky Ruiz, who introduced the bill, emphasized the importance of the IDA program in promoting economic equity and financial stability for Oregonians. He noted that the current funding cap has not been adjusted since 2009, failing to keep pace with inflation and the rising costs of essential goals such as homeownership and education. Ruiz argued that without this increase, the number of participants in the program could drop significantly, limiting access for many Oregonians seeking to improve their financial situations.

The committee heard testimony from various stakeholders, including Justice Hager from Neighborhood Partnerships, who highlighted the program's success in matching participants' savings and fostering financial literacy. Hager pointed out that the IDA program has been a stable source of funding for over 25 years, but the lack of adjustment for inflation has necessitated additional funding from the legislature in recent years.

Amy Stuczynski, also from Neighborhood Partnerships, provided insights into the management of IDA funds and the positive outcomes achieved by participants. She noted that the program has helped Oregonians save over $29 million, matched by $72 million from the state, leading to improved financial capabilities and long-term stability for participants.

Further testimony came from Peter Hainley, Executive Director of CASA of Oregon, and Tara Garkow from Homes for Good, both of whom shared personal stories and data illustrating the program's impact on communities across the state. They urged the committee to support the bill to ensure continued access to the IDA program for those in need.

The meeting concluded with a call for support of House Bill 2735, as committee members recognized the critical role of the IDA program in fostering financial independence and community resilience in Oregon. The committee's next steps will involve further discussions and potential voting on the proposed legislation.