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Prevailing‑wage exemptions for affordable housing divide testimony at Senate hearing
Summary
Hundreds of pages of testimony and more than a dozen in-person witnesses split the Senate committee on SB 1566: developers, cities and housing groups support narrow exemptions and clarity to avoid late-stage prevailing‑wage hits; labor unions strongly oppose, saying exemptions would erode wages, training and safety.
The Senate Committee on Labor and Business heard hours of public testimony on SB 1566 on Feb. 9, 2026, a bill that would clarify when prevailing‑wage requirements apply to affordable‑housing and certain privately financed projects. Witnesses were sharply divided: building trades and unions opposed the bill; local governments, nonprofit housing developers, chambers of commerce and some building industry groups supported it.
Sponsor Senator Anderson described SB 1566 as a set of targeted clarifications designed to restore predictability for affordable housing exemptions without undermining worker protections. He said ambiguity in administrative interpretations and recent determinations have scared away lenders and stalled projects, citing Oregon’s drop in housing permits…
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