Committee approves transfer path for Rose Quarter surplus property to Albina Vision Trust, lawmakers press for third-party valuation

The joint committee on transportation voted to advance Senate Bill 1182 as amended, a measure that would let the Oregon Department of Transportation (ODOT) sell or lease surplus property created by the Interstate 5 Rose Quarter Project to Albina Vision Trust Inc., and extends a statutory sunset to Jan. 2, 2040.

The bill's dash-4 amendment narrows permissible transfers to sale or lease for consideration, removes a specific reference to the U.S. Department of Transportation's Reconnecting Communities pilot program and lengthens the sunset from Jan. 2, 2030, to Jan. 2, 2040. The committee adopted the amendment and then moved the bill, as amended, to the floor with a due-pass recommendation.

Why it matters: The Rose Quarter Project integrates highway work and a proposed cap ("the cap") intended to reconnect neighborhoods long divided by freeway construction. Giving a named community partner a statutory right to acquire surplus project property raises questions about transparency, fair market value and precedent for other projects.

ODOT Director Chris Strickler told the committee the bill would create, in practice, "a first right of refusal on property that would be surplus property associated with the project." He said ODOT maintains qualified right-of-way staff who perform value assessments but that the agency will sometimes authorize a third-party appraisal when workload or counterpart requests make one appropriate.

Several legislators pressed for stronger safeguards. Representative Evans said, "I still have grave concerns about this project, but I'm gonna likely be yes tonight," and urged that the Oregon Transportation Commission (OTC) publicly commit to a third-party appraisal and to post the valuation publicly so "there's no doubt there's no sneaky stuff going on." Senator Meek and other members suggested adding mandatory third-party appraisal language to statute or, alternatively, placing a budget note or other legislative direction requiring it.

Representative Mannix noted subsection 3 of section 1 requires the Oregon Department of Administrative Services (DAS) to help ODOT "take any actions necessary to assist" with any sale or lease under the section; committee discussion characterized DAS as experienced in property sales and leases.

Committee members and ODOT staff discussed project cost context during the hearing. Strickler said an earlier post-session estimate was roughly $795 million, while the panel heard a current high-range estimate for the full project of roughly $1.9 billion to $2.08 billion. Senator Pham referenced an OTC comment that tariffs and other factors could push the project higher, citing an estimate of roughly $2.5 billion, all figures discussed by witnesses and legislators during the session.

Lawmakers repeatedly stressed the tradeoff at the heart of the project: without the cap and related community investments the Rose Quarter proposal would likely face much greater public opposition and might not proceed. Several senators and representatives said Albina Vision Trust and community advocacy helped secure a $450 million federal Reconnecting Communities grant for the cap.

Formal actions: The committee adopted the dash-4 amendment dated 05/19/2025 (roll-call recorded in committee transcript) and then passed SB 1182 as amended to the floor with a due-pass recommendation. The transcript records the final roll call on the motion to move the bill as amended (ayes: Representative Gamba, Representative Mannix, Representative Nathanson, Senator Meek, Senator Pham, Senator Weber, Co-Chair McLean, Co-Chair Gorsek; noes: Representative Helfrich, Co-Vice Chair Bossard Davis, Co-Vice Chair Star). The committee recorded earlier votes on the dash-4 amendment (aye/no) before the final floor motion.

Discussion vs. decision: The committee's votes advanced the bill but did not change the statutory language beyond the amendment that was adopted. Several members asked ODOT to seek OTC assurance on third-party valuation or to accept a formal budget note or statutory language; those requests are directions and expectations expressed in committee but not formal amendments placed in the bill beyond the dash-4 language.

Next steps: The bill will move to the full chamber floor as the committee's carrier(s) indicated. Committee members said they will pursue additional oversight language or a budget note during the remainder of the session and asked ODOT to bring valuation and cost clarifications forward before the floor vote.