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After a turbulent session, county officials watch for special session on transportation funding

5386773 · July 15, 2025
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Summary

County legislative staff briefed the committee on the session’s outcomes, including the failure of a major transportation package (HB 2025) and the likely possibility of a special session to address gas tax funding.

Washington County Coordinating Committee staff on July 14 summarized outcomes from the 2025 Oregon legislative session and outlined likely next steps for statewide transportation funding.

Carly (county legislative staff) told the committee the session produced a record number of bill introductions and that major transportation proposals, including HB 2025, were heavily amended (Carly said HB 2025 was amended 28 times during session) but ultimately failed to clear both chambers before Sine Die. A separate effort, HB 3402, was amended late in the session to propose a 3% gas tax increase for ODOT but failed on a procedural vote in the House when members did not suspend the three‑day reading rule.

Carly said there are media reports and stakeholder signals that the governor is weighing a limited special session before Labor Day that might advance a stopgap gas‑tax increase (reported proposals included a 6‑cent per gallon increase circulated in press accounts) and possibly a 50/30/20 distribution model for funds. Staff cautioned that even a small stopgap bill would not substitute for the more comprehensive funding package many jurisdictions seek and said counties and cities should remain prepared to engage as conversations continue.

Carly also summarized other legislative outcomes of interest to local governments: an initial $10 million appropriation in HB 3031 for housing infrastructure investments tied to qualifying affordable housing, statutory changes to improve notice and preservation tools for expiring federally‑regulated affordable housing, and an expansion of prevailing‑wage provisions to certain off‑site fabricated materials (HB 2688). She noted a $50 million TB Highway funding request was not funded but that coalitions may pursue funding again in 2027.

Staff urged jurisdictions to track developments, as some legislative items may return in future sessions or in a special session the governor could call.