Ways and Means subcommittee advances DLCD budget bill SB 5528, seeks interim oversight of housing office

The Ways and Means Subcommittee on Natural Resources on June 9, 2025, voted to move Senate Bill 5528 — the budget for the Department of Land Conservation and Development (DLCD) — to the full Ways and Means Committee with a due-pass recommendation. The Legislative Fiscal Office recommended $44,426,500 in general fund, $12,891,944 in other funds and $9,641,022 in federal funds for a total of 105 full‑time‑equivalent positions.

The budget matters because it funds DLCD’s statewide land‑use planning work and several housing and coastal programs that lawmakers said merit continued oversight. Haley Morse Miller of the Legislative Fiscal Office summarized the proposal: “SB 5,528, which is being developed for the Department of Land Conservation and Development. DLCD administers Oregon's statewide land use planning program and Oregon's federally approved coastal management program.”

The subcommittee discussion focused on housing‑related policy option packages and staffing. Major inclusions in the recommendation are: a $3,500,000 general‑fund grant program to help local governments align housing code with state housing policies (policy package 501); $1,700,000 in package 503, split into $1,500,000 for housing planning grants and $200,000 to continue capacity and urbanization rulemaking; $500,000 for local wetland inventories (package 504); and $300,000 for a consultant to collect housing production data (package 506). The LFO materials also note a net phase‑out of one‑time grant funding and a reappropriation of $398,000 general fund for an offshore wind roadmap.

Committee members asked about the duration and funding stability of grant‑funded positions tied to FEMA grants and other sources. Miller explained that two positions would be converted from part‑time to full‑time and two grant‑funded positions would continue, one limited duration and one made permanent. Miller told the panel that the FEMA funding is a “pretty stable source” and that if the grant funding ended a position would be abolished.

Members pressed DLCD on key performance measure (KPM) No. 9, which reports the percentage of land added to urban growth boundaries that is not farm or forest land. Senator Anderson said the measure lists a 65 percent reported result and a 55 percent target but does not state acreage, asking how meaningful the percentage is without acreage context. Brenda Bateman, director of the Department of Land Conservation and Development, told the committee, “we have specifically said we intend to take another look at this,” and said DLCD plans to revisit multiple KPMs over the next biennium.

Representative Breece Iverson formally moved the LFO recommendation on SB 5528 and later moved adoption of the dash‑4 amendment. After the subcommittee adopted the dash‑4 amendment, Iverson moved that the bill, as amended, be sent to the full committee with a due‑pass recommendation; the motion carried with no objections recorded. Iverson moved, “the LFO recommendation to Senate Bill 5,528.” Senator Frederick, co‑chair, emphasized continued legislative attention: “we're gonna look at this during the interim and keep those eyeballs on this and make sure it's what we think it is.”

Lawmakers asked for earlier and ongoing reporting on the Housing Accountability and Production Office (HAPO). The committee noted a budget note requiring a DLCD report due at the end of the month; members discussed carrying or extending reporting requirements or scheduling interim meetings so legislators can review implementation before the next biennium.

The subcommittee’s action was procedural: it approved the LFO recommendation, adopted a dash‑4 amendment that incorporates the stated totals and program changes, and moved SB 5528 as amended to the full Ways and Means Committee. The committee noted remaining follow‑up for oversight and asked staff and DLCD to return with revised KPM wording and reporting where appropriate. The subcommittee adjourned after confirming a next meeting time.