Committee moves OBDD budget (HB 5,024) to full Ways and Means despite some dissent

The Ways and Means Transportation and Economic Development Subcommittee voted Tuesday to move House Bill 5,024, the Oregon Business Development Department (OBDD) budget, to the full Ways and Means committee with a due-pass recommendation.

The Legislative Fiscal Office recommended a 2025–27 total-funds budget for OBDD of $1,801,284,094 with 200 positions and 196.13 full-time equivalent employees, a change the LFO described as a 20.8% decrease from the legislatively approved budget (driven by phase-out of one-time funding) and a 56.5% increase from the 2025 current service level. "The legislative fiscal office is recommending a 25-27 total funds budget for OBDD of $1,801,284,094.200 total funds 200 positions and 196.13 FTE," stated Ms. Dysart of the Legislative Fiscal Office during the work session.

Why it matters: The recommendation reauthorizes a mix of carryover and ongoing spending that funds broadband grants, housing infrastructure projects and other economic development programs. Several members expressed concern about adding ongoing positions and expanding programs at a time of uncertain future revenues.

Key budget components and proposals

- Operations division: The LFO recommended an operations budget that includes additional central-services positions tied to federal Infrastructure Investment and Jobs Act disbursements and funding for an agency economic development modernization IT…