Deschutes County outlines 2026 legislative priorities as state budget uncertainty grows

Deschutes County commissioners and staff spent the bulk of their Sept. 24 meeting reviewing priorities to press with the Central Oregon legislative delegation ahead of the 2026 short session, scheduled Feb. 2–March 9, 2026. County staff urged focusing on community corrections funding tied to the long‑overdue state cost study, behavioral health workforce and service‑delivery fixes, transportation funding and public‑health modernization.

The county’s strategic initiatives manager, Jen Patterson, and legislative liaison Doug Riggs summarized conversations with Central Oregon legislators and county department heads. Riggs said the state is working with a sharply reduced revenue forecast — an $800 million downward revision since March, with some analysts forecasting a $1.2–1.5 billion shortfall for the next biennium — and that legislators are prioritizing behavioral health, community corrections and transportation in early planning. Riggs noted limits in the short session (two bills per legislator, five per committee) that will force tighter prioritization.

Why it matters: county leaders said accelerating demand for behavioral health care, rising costs in community corrections and an uncertain transportation package could directly affect local budgets and services. County staff asked the board to authorize ongoing outreach to the delegation and to coordinate regionally with neighboring counties on shared asks, particularly for community corrections and safety improvements on Highway 97.

Key details from the discussion: - Community corrections: County staff and Justice System managers reported a gap between the state’s funding level and the cited cost of “doing it right.” Staff said the state funds adult supervision at roughly $15 per supervised person per day while program accounting estimates the cost of adequate daily supervision at about $18.18; that mismatch is projected to create roughly a $1 million shortfall for the county by the end of the fiscal year. Staff reported 5.75 existing vacant community‑corrections positions eliminated and another 1–3 positions at risk if funding is not improved, increasing caseloads and supervisory pressure. County lobbyists and other counties are collaborating to quantify downstream costs from underfunding to present to Ways and Means. (Evidence: county staff comments and figures during the legislative priorities presentation.) - Behavioral health: County health staff and behavioral health partners described continuing concerns about access to high‑acuity youth psychiatric beds, administrative burden in getting state money promptly to counties, and workforce shortages. Holly Harris, interim health director, said the county is negotiating a new financial assistance agreement with the Oregon Health Authority (OHA) and has sought a short contract extension while local plans are finalized (see separate article on the OHA amendment). Staff emphasized the need for faster state timelines for releasing funds and clearer accountability to get grants and provider payments into local systems quickly. - Transportation: Riggs briefed commissioners on the recent special session activity and the transportation package. He said the Senate vote on the package had been delayed for medical reasons but was expected to proceed; commissioners were warned the package could face a citizen referral and that certain local capital projects (for example, safety projects along Highway 97 and a La Pine overpass) will not be covered by the short bill unless the next transport conversation explicitly includes those mega‑projects. County leaders discussed coordinating a regional Highway 97 coalition with Jefferson and Klamath counties to jointly pursue future capital funding. - Workforce and training: Commissioners and staff flagged workforce development as a cross‑cutting need — behavioral health workforce, technical trades programs such as welding and construction pathways in local schools, and re‑training tied to anticipated industry layoffs. - Shelter funding and safe‑parking: County staff and community partners described state recognition of safe parking as an eligible shelter category but noted the state’s initial operations funding will prioritize existing, formerly state‑funded shelters; safe parking programs may therefore be overlooked unless the county pursues separate funding or advocacy at Salem. County staff also reported interest in managed camps and long‑term visitor area models as lower‑cost shelter options and noted coordination with city partners on an RFP for an operator for managed‑camp operations.

Funding and timing notes: Riggs reminded the board that legislative concept drafts are due Nov. 21, 2025, and that the short session’s limited bill slots intensify competition. He also warned that federal budget stalemates and potential federal program adjustments (Medicaid/SNAP) could further constrain state revenue and program funding.

What’s next: Commissioners asked staff to continue meeting with the Central Oregon delegation, coordinate with neighboring counties in regional caucuses and work with the Association of Oregon Counties on a shared agenda. The board directed staff to present specifics at upcoming district and AOC meetings and to return with suggested priorities for any formal county positions or letters.

Ending: Commissioners said they supported continuing the outreach and requested staff return with costed requests where possible so legislators can see local fiscal impacts and potential return on investment.