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Central Oregon transit provider seeks county’s backing to receive state payroll‑tax transit funds directly

2703511 · March 19, 2025
AI-Generated Content: All content on this page was generated by AI to highlight key points from the meeting. For complete details and context, we recommend watching the full video. so we can fix them.

Summary

COIC representatives asked Jefferson County to support an edit to House Bill 2795 that would let counties designate a public transportation service provider as a qualified entity so producer/transit funds flow directly to the provider, reducing administrative duplication.

Representatives from the Central Oregon Intergovernmental Council (COIC) asked the Jefferson County Board of Commissioners on March 19 to approve an edit to House Bill 2795 that would allow counties or federally recognized tribes to designate a public transportation service provider as the “qualified entity” that receives payroll-tax transit dollars under state law.

Under current practice COIC staff said the payroll-tax transit funds flow to counties, which then execute contracts and send funds to transit providers; COIC and local officials said that adds administrative steps and costs and often requires duplicate federal and state reporting. COIC asked the commission to add language to HB 2795 (or similar transportation legislation) clarifying that a county “may designate” a public transportation service provider as the qualified entity while preserving county oversight and final public approvals for how funds are spent.

The commission approved a letter of support for that language and asked staff to transmit the letter to bill sponsors and the legislative committee. COIC representatives said the proposed wording keeps control with the county — a county could decline to designate a provider — while removing redundant paperwork that the transit provider and county currently exchange with ODOT.

Why it matters: if passed, the change would shorten the administrative path for producer-funded transit dollars in the Tri-County region (Deschutes, Jefferson, Crook), and would let a public transit provider receive and manage funds directly if the county chooses. County staff and COIC said program rules would still require public review and local board approvals of funding decisions.

Attributions: summary is based on the COIC presentation and the board’s recorded motion and vote on March 19; direct phrasing about ‘‘qualified entity’’ and administrative duplication reflects COIC’s testimony recorded in the transcript.