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NEWS UPDATE FROM STATE REPRESENTATIVE DAVID GOMBERG: Big Bills in the March to Adjournment

Posted on March 3, 2026 by Editor

By Representative David Gomberg, House District 10

3/2/2026

Dear Friends and Neighbors,

With one week to go before adjournment, we’ve formally entered the final stretch of this “short” legislative session, triggering special rules that speed up the process and limit new activity. It is a difficult time in which big bills are moving, floor debates take up more time, and tensions are running high. Most committees have wrapped up their work, and we are on the House floor morning, afternoon, and often in the evening. Almost every day, it has been my honor and responsibility to preside over those floor sessions, to listen to every word, respond to every motion, and to try and keep temperatures down and things moving.

Most remaining issues are heading to the Joint Committee on Ways and Means.

All eyes are on the Joint Committee on Ways & Means this week, as we start to see which bills and projects are being funded. That committee and seven sub-committees are tasked with rebalancing the state budget in response to federal tax changes and shifts in the Oregon economy since our two-year budget was approved in June. We began the session looking at a $700 million shortfall. Ways and Means has also proposed reducing the Department of Transportation (ODOT) budget by nearly $300 million after plans to increase gas taxes were referred to the ballot. And of course, every legislator has proposals for spending of limited bond dollars for local projects. All those decisions will be announced later this week and will affect every Oregonian.

Major measures were advanced this past week, and I will detail several in this report. A few, like campaign finance reform and whether to fund improvements to the Moda Center in Portland, are still being negotiated. And perhaps the most contentious question of the session – whether you will vote in November or May on that gas tax referral – is scheduled for today. I have been assigned the dubious honor of leading the debate on SB 1599.

Here is a “Reader’s Digest” summary of some of the big and often divisive bills we’ve advanced this week.

Increasing Local Control Over Tourism Revenue: Tourism is an economic blessing to our region. But tourism comes with added costs for water and sewer, road wear-and-tear, and public safety, like police and fire. We collect taxes from visitors when they stay overnight. But local government is required to use most of that revenue for advertising.

HB 4148, the Local Opportunities for Community Advancement and Livability Act (LOCAL), updates how cities and counties can use transient lodging tax (TLT) revenue, changing the current 70/30 split to at least 50 percent for tourism promotion and up to 50 percent to general funds. This gives local communities more flexibility to invest in the services and infrastructure that residents and visitors rely on every day.

Cities are free to spend more on advertising if they wish. The “LOCAL Act” also allows cities and counties to offer grants to small restaurants and lodging businesses for building improvements and upgrades. These investments help keep local businesses safe, accessible, and competitive. HB 4148 strikes a balance: it continues to fund tourism promotion while giving communities the tools they need to thrive year-round. It’s about making sure tourism growth benefits both visitors and the people who live here.

The measure passed in the House Wednesday and is now scheduled in the Senate Finance and Revenue Committee this week.

Watch the debate on the lodging tax bill here.

New Lodging Tax for Wildlife: In addition to local lodging taxes, the state also collects a 1.25% tax for state promotion. HB 4134 raises our state’s transient lodging tax by another 1.25% to help protect and preserve the wildlife that draws so many visitors to Oregon.

Last week, the House passed this bipartisan legislation that takes a significant step forward in securing sustainable funding for Oregon’s fish, wildlife and natural habitats. The bill would also help prevent the spread of harmful invasive species, reduce poaching crimes, alleviate wildfire risks, reduce conflicts with wildlife, and invest in workforce development and natural resource livelihoods, increasing resilience for both wildlife and communities across the state.

Though this tax is primarily paid by visitors, Oregon would still maintain the third-lowest state transient lodging tax rate in the nation. The measure passed the House Tuesday, was approved in the Senate Committee, and is now headed to the Senate floor.

Federal Tax Disconnect Bill: Who should decide what taxes Oregonians pay? Congress and the President, or the Oregon Legislature?

SB 1507 responds to the loss of hundreds of millions of dollars in Oregon funding that resulted from federal tax changes last year, closing several tax loopholes primarily used by large corporations and wealthy individuals, and redirecting those resources toward working families and essential state services.

The legislation delivers on several key fronts:

  • Largest EITC expansion in Oregon history: More than 500,000 Oregonians, half of them children, will see more money in their pockets through the largest-ever increase to the state Earned Income Tax Credit.
  • A new $25 million Jobs Tax Credit: Oregon businesses that create good-paying jobs right here in our state will be rewarded, spurring local economic growth and keeping Oregon competitive.
  • $311 million preserved for critical services: Funding for health care, public safety, and education is protected, funding that federal policy had stripped away.
  • No taxes on tips or overtime: The bill reaffirms that neither tips nor overtime pay will be subject to Oregon income tax.

When we make sure our tax code reflects Oregon priorities instead of federal priorities, we strengthen Oregon communities’ ability to manage the challenges ahead. Opponents of the bill argued that reversing tax deductions is the same as a tax increase. But overall, this measure retained more than 75 tax changes from the federal government and removed only three while increasing benefits to lower-income working families and small businesses. 1507 passed in the Senate on February 16 and the House on Wednesday. It is on its way to the Governor for signature.

Support for Veterans: Coming from a military family, supporting Oregon’s veterans is personal to me. I was glad to shepherd this measure through my subcommittee and vote yes on HB 4132 Friday in the Ways and Means Committee, particularly for its focus on suicide prevention. Oregon’s veteran suicide rate is significantly higher than the national average, and one in four veterans reports difficulty accessing mental health or substance use care. This bill directs real resources toward closing those gaps.

  • Suicide prevention grants: The Oregon Department of Veterans Affairs (ODVA) will develop a suicide prevention program and award grants to organizations pairing suicide prevention with workplace training, with priority given to those serving veterans in their local communities.
  • Veterans Treatment Court access: Studies methods for making treatment court available to veterans in every county and judicial district.
  • Bridge Grant expansion: Raises the individual grant cap for veterans experiencing financial hardship.
  • VSO program updates: Modifies the Veteran Service Officer program in Oregon counties to better serve veterans.
  • Administrative updates: Modernizes DD214 form records access and hiring criteria for ODVA leadership.

The bill now proceeds to both the House and Senate, where passage is all but assured.

The veterans support bill was approved in my subcommittee on Transportation and Economic Development.

Making Sure Worker Complaints are Addressed: The Bureau of Labor and Industries (BOLI) enforces our laws regarding discrimination in the workplace, wage theft, labor rights, and workforce development.

BOLI’s webpage reports, “Due to a large increase and a significant backlog of claims, the Bureau of Labor and Industries currently does not have the resources to investigate all complaints.” They now estimate that some current complaints may not be heard until 2029.

To create a stable funding stream and hire more investigators, HB 4027 amends the Workers’ Benefit Fund assessment statute to direct the Department of Consumer and Business Services to set an additional assessment rate in order to deposit dollars in a new BOLI Expenses Fund.

According to an audit by the Oregon Secretary of State’s Office, a pattern of ill-advised management decisions reflecting “strategic neglect” and an ongoing lack of resources has fueled the backlog of thousands of worker complaints made to Oregon’s top labor rights enforcement agency. As HB 4027 passed through my sub-committee this week, I opined that with this funding commitment, we were providing the Bureau a “bus ticket to the land of no more excuses”. The measure passed in the House on Friday and is scheduled in the Senate.

Fixing the Firearms Initiative: Wednesday the Oregon House advanced HB 4145 to clarify implementation of Measure 114. In 2022, Oregonians voters circulated petitions and passed this initiative to require safety training and permits to purchase firearms, close background check loopholes, and restrict large-capacity magazines.

Measure 114 was narrowly approved by 50.65% of voters in 2022, but has since been embroiled in legal challenges over its constitutionality in both state and federal courts which has delayed implementation. Questions remain about how the permit system would function in practice, how long approvals may take, how records are handled, and how the large-capacity magazine ban should operate during and after litigation.

HB 4145 responds to unresolved legal and implementation issues by clarifying statutory language, adjusting timelines and procedures, and delaying the permit-to-purchase requirement to allow for orderly implementation once court proceedings conclude.

“This bill turns the commitment Oregon voters made to their communities into a policy that works in the real world,” said Rep. Sarah Finger McDonald (D-Corvallis). “HB 4145 ensures Measure 114 is implemented in a clear and effective way that prioritizes public safety and respects due process.”

Opponents argued that the bill expanded the ballot measure, lengthening waiting periods, increasing fees, and remains an infringement upon Second Amendment gun rights.

The measure is now being reviewed in a Senate committee.

Responding to ICE and Immigration Enforcement: Several bills are advancing that address the argument that federal immigration enforcement is inconsistent with Oregon values and statutes.

  • HB 4079: Safeguarding Students and Families: Directs schools to adopt policies that address how they will respond when a federal immigration authority enters school property. Passed the House February 17 and is proceeding to the Senate floor.
  • HB 4111: Anti-Discrimination Protections for Immigrant Workers: Provides that evidence of a party’s or a witness’s immigration status is not admissible as evidence in a civil proceeding. Passed the House February 19 and is proceeding to the Senate floor.
  • HB 4114: Protect Your Door Act: Strengthens Fourth Amendment protections. If anyone enters your home illegally, you can sue them personally for damages. Passed the House February 18 and is proceeding to the Senate floor.
  • HB 4138: Law Enforcement Accountability and Visibility Act (LEAVA): Requires law enforcement agencies to enact policies concerning identifying information on law enforcement uniforms. Passed the House February 24 and is proceeding to the Senate floor.
  • HB4143: Reciprocal Enforcement of Claims on Unpaid or Reduced State Entitlements) Act (RECOURSE): Authorizes the Governor to direct state agencies to withhold moneys owed to the federal government if federal funds are being withheld from the state in contravention of a valid court order. Passed the House February 19 and is proceeding to the Senate floor.

I presided over most floor sessions this last week. On Wednesday, the House was in session for more than five hours.

There is no way to put it lightly. There are incredibly difficult decisions to be made in the coming week.

HB 4075 is one example of the challenge at hand. The Bay Area Hospital, a rural hospital in Coos Bay, has operated at a loss in recent years because it fell out of compliance with a previous loan. The hospital is struggling to stay afloat without dipping into its cash reserves or downgrading to a Type B hospital, which would lead to a severe cut to staff, beds, and services. HB 4075, if passed, would direct the State Treasurer to provide a stabilization loan to prevent these inevitable, devastating consequences and maintain essential services to the area of Coos Bay.

But this directive does not come without consequences. HB 4075 is a creative precedent, using interest from the Unclaimed Property and Estates Fund as a band-aid for local funding challenges. That money normally supports the Common School Fund. Oregon schools cannot afford such a hit, as essential programming and services are already in jeopardy due to proposed budget cuts.

I note that while the median family income in Coos County is similar to Lincoln County and actually higher than Tillamook County, Central Coast residents pay taxes to support our local hospital districts, while Coos County does not. I have a problem with this bill. All our rural hospitals are facing financial challenges. But Oregonians deserve better than choosing between healthcare and education.

Meanwhile, Oregon lawmakers fretting over the Trail Blazers’ future in Portland have slapped a price tag on their effort to ensure the team stays put: $365 million. That’s the pile of cash the Legislature is signaling it could borrow in the coming years to pay for major renovations to the Moda Center, the 30-year-old Portland arena that some have deemed unfit for a modern NBA team.

Losing the Trail Blazers would be a major blow to Oregon’s prestige and Portland’s comeback. But I worry we have a lot of other pressing needs in Oregon. SB 1501, a bill laying out the structure of a possible funding deal, cleared the Senate Rules Committee in a 4-1 vote and is now in Ways and Means.

How to manage campaign finance reform is still festering. Two years ago, we approved major changes in how much candidates can accept in campaign contributions. But the Elections Division says they need more time and money to get the computer software right. A new proposal in HB 4018 would limit political contributions before the next general election as planned, but give the Secretary of State more time to launch a required system to track spending. That has good government advocates accusing state leaders of trying to skirt the intent of the original legislation.

And finally, later today, Monday, I’ll carry SB 1599 to the House floor, which would change the date of the gas tax referral to May instead of November. The measure is fraught with political and election consequences, which should have little to do with proper policymaking. Opponents, who have delayed the measure with walkouts, procedural motions, and strategic demands, argue that 250,000 Oregonians signed petitions calling for a November vote. They add that those delays have successfully made a May election unworkable.

Supporters of the bill point out that nearly 20% of ODOT’s workforce has resigned in the past six months, and more are leaving every day. The agency needs certainty to provide critical maintenance and road repair services. Local governments that rely on State Highway Fund gas tax revenue need an earlier decision to make their own budget decisions this summer. And Oregonians, of course, need the vote they demanded. The question is whether they demanded it sooner or later.

In my speech today, I will urge legislators to recognize our commonalities as well as our differences. I believe the sooner we resolve this question, the better it will be for Oregon.

Because I’m anxious to get back to work, together, to balance a large, complex, and critically important budget. I’m anxious for us to work, together, on how we pay for roads and highways and bridges. And I’m anxious for us to work, together, to create safe and drivable roads for our communities, our neighbors, and our kids.

That’s the government we want. That’s the government that Oregonians deserve. I remain hopeful that while we may not get everything we want, we will be able to put aside our differences and come together to make meaningful progress for you – for Oregonians.

email: Rep.DavidGomberg@oregonlegislature.gov

phone: 503-986-1410

address: 900 Court St NE, H-480, Salem, OR, 97301

website: http://www.oregonlegislature.gov/gomberg

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