Oregon Senate Convenes Special Session on Transportation Funding; Rules Vote Postponed to Sept. 1

The Oregon Senate convened a special session called by Governor Tina Kotek to consider legislation limited to funding transportation after the Oregon Department of Transportation announced a multi‑hundred‑million‑dollar shortfall and planned workforce reductions. The governor’s proclamation, read to the chamber, set a special‑session date of Aug. 29, 2025, and invoked Article 5, Section 12 of the Oregon Constitution.

Why it matters: Lawmakers must decide whether to deploy new revenues or reallocate existing funds to prevent immediate cuts to transportation services the state and local governments rely on. Senators sharply disagreed over whether the special session’s procedural rules would allow adequate budgetary review by Ways and Means and other fiscal experts.

Senator Jama moved to adopt the special session rules distributed to members, but the motion failed to receive the constitutional majority required after a roll call vote. Senator Gerard said the package “needs to go to Ways and Means” because it concerns “billions of dollars,” and he announced he would vote no. Senator Bonham criticized the rules as concentrating power in the majority and warned the chamber against treating transportation funding as a silo, noting a recent revenue forecast showing a roughly $800,000,000 shortfall for the general fund. “We came into this legislative session saying, we need a new tax for transportation,” Bonham said, adding that an advertised $3,000,000,000 request contrasts with a maintenance and operations gap he described as $350,000,000.

The Senate also responded to gubernatorial vetoes. The clerk announced vetoes of Senate Bill 976 and Senate Bill 1047; Senator Johnna moved to lay the vetoed bills and the governor’s messages on the table, a non‑debatable motion the chamber carried.

Following the failed rules vote, Senator Jama successfully moved to reconsider, and members then voted to postpone adoption of the special session rules to the Monday, Sept. 1 calendar at 2 p.m. The presiding officer announced committee appointments for a Joint Special Session Committee on Transportation Funding, naming Senator Rob Wagner as co‑chair and Senator Daniel Bonham as co‑vice chair, along with Senators Khan Pham, Bruce Starr and Winsve Campos.

What was argued: Opponents of the expedited rules said the process would bypass Ways and Means and exclude budget experts from crucial deliberations; supporters argued a focused, time‑limited session is needed to prevent immediate layoffs and service reductions at ODOT. Senator Brock Smith warned proposed tax increases — including higher gas, registration and payroll taxes — would fall disproportionately on rural residents who travel long distances and rely on older vehicles.

Next steps: The Senate adjourned and will reconvene at 2 p.m. on Monday, Sept. 1, when members are scheduled to revisit and vote on the special session rules and continue work on measures related to transportation funding.

Quotes used in this story are drawn from Senate floor remarks during the special session.