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Supporters urge creation of separate Rail and Transit Department; carriers raise governance concerns

2934923 · April 8, 2025
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Summary

Senate Bill 1202 to create an Oregon Rail and Transit Department prompted robust testimony from rail and transit advocates who supported a dedicated agency and from freight carriers and others who urged caution and further study.

Senate Bill 1202 would establish a dedicated Oregon Rail and Transit Department to consolidate passenger rail and public transportation responsibilities currently housed in the Oregon Department of Transportation. The Joint Committee on Transportation held a lengthy public hearing and invited panels of supporters and opponents to testify.

Supporters — including rail and transit advocates, state and local elected officials, transit workers’ unions and national rail passengers representatives — argued a separate agency would focus policy and planning, improve coordination across modes and regions, make Oregon more competitive for federal rail funding, and support service expansion (including Amtrak Cascades and potential East‑of‑Portland services). John Newell of the Association of Oregon Rail and Transit Advocates (AORTA) and Meredith Richards of the National Association of Railroad Passengers cited examples from other states (notably Virginia) where a separate rail and transit department supported expanded passenger service and capital programs. ATU 757 testified in support and asked that a labor representative be included on the new department’s board.

Opponents including Union Pacific and other freight stakeholders urged caution. Union Pacific’s testimony recommended alternative approaches such as restoring a mode-based structure within ODOT, funding Connect Oregon, and ensuring coordination with private rail property owners; the company also argued that rail infrastructure is privately owned and that the state should work through existing ODOT structures. Several witnesses suggested additional study and stressed questions about funding, federal grant eligibility and how the new department would be resourced and interact with existing programs. The Oregon Transit Association testified neutral while conducting due diligence and requested more detail on federal funding implications and financing for a department.

The committee invited broad testimony and the hearing record will remain open for additional written comments submitted within the posted window. No committee vote was recorded in the transcript of the hearing.