The Oregon House passed House Bill 26 88 B on a final vote Thursday after hours of debate over whether the state should extend prevailing‑wage requirements to off‑site fabrication described in the bill as “bespoke.” Supporters said the change closes a loophole that lets parts of publicly funded projects escape prevailing‑wage protections; opponents said the bill will raise costs, harm in‑state manufacturers and could be legally difficult to enforce across state lines.

Supporters and critics offered sharply different examples and policy goals, leaving the House to push the bill forward despite clear objections from multiple rural and manufacturing‑heavy districts. Representative Hudson, closing for the proponents, said the bill’s term was narrowed from an earlier draft and that rulemaking at the Bureau of Labor and Industries will clarify which projects are covered: “As explained previously in committee, bespoke means individually tailored for one project at a time,” she said.

Why it matters: The legislation changes how prevailing wage law applies to off‑site work on public projects — for example, components made in a permanent manufacturing facility rather than assembled on a construction site. Supporters frame the bill as protecting worker pay and preventing projects from moving work off site to avoid wage rules; opponents say it reaches far beyond prior practice and risks driving manufacturers out of Oregon by increasing costs and compliance burdens.

On the floor, several lawmakers with manufacturing backgrounds described technical and operational hurdles. “There is no way to enforce this on out‑of‑state or out‑of‑country companies,” Representative Edwards told colleagues, saying the bill “incentivizes outsourcing to companies outside of our state.” Representative Bossard Davis, who said he helped open a cross‑laminated timber facility in his district, warned the measure would saddle permanent manufacturers with construction‑style wage compliance and “make it harder for businesses like TimberLab to thrive.” Representative Evans, a supporter, urged lawmakers to view the bill as a tool to align public spending with wage standards and to reduce loopholes that can undercut local workers.

Key clarifications and concerns raised on the floor: opponents and some members of committee staff told the Ways and Means committee that enforcing Oregon prevailing‑wage rules on work performed outside Oregon raises legal and practical issues; legislative council told members it was “potentially difficult” to determine which prevailing wage rates would apply to out‑of‑state fabrication. One manufacturing witness cited an internal estimate that the bill could add roughly $90,000 to the cost of a modular classroom produced off‑site.

What the bill does and next steps: The legislation extends prevailing‑wage coverage to certain off‑site fabrication that meets the bill’s “bespoke” standard and authorizes BOLI rulemaking to provide examples and exemptions (the bill specifically exempts standard inventory items per sponsor remarks). The sponsor and BOLI told lawmakers that enforcement outside Oregon is limited absent interagency or interstate agreements and that any cross‑border enforcement is likely to be limited in practice.

Outcome: House bill 26 88 B received the constitutional majority and was declared passed on the House floor. The record shows fund and enforcement questions remain unresolved; sponsors and opponents said they expect rulemaking and possible future litigation to shape how the law is applied.

Votes at a glance: The clerk declared House Bill 26 88 having received the constitutional majority and passed; the transcript does not include a complete roll‑call tally in the floor excerpt.

Ending: With the bill passed, BOLI rulemaking and implementation guidance will be the primary next steps cited by the sponsor. Lawmakers on both sides said they expect further debate in the coming months over scope and enforcement.