NEWS UPDATE FROM STATE REPRESENTATIVE DAVID GOMBERG: Next Steps as the Legislature Prepares for January

Presiding in 2022. Photo by Amanda Loman for YachatsNews.

I have also been asked to continue as chair of the Coastal Caucus – the group of Senators and Representatives from coastal districts. Senator David Brock Smith of Port Orford will be Vice Chair.

There were a number of legislative leadership changes following the November election. If this kind of thing interests you, I encourage you to read more here and here.

Accurately estimating the health of the economy two years in advance is a necessary but almost impossible job in the face of pandemics, wildfires, global conflicts and supply chain challenges. Estimate too high and we don’t have the money to pay state bills. Estimate too low and money we might have used on pressing needs is returned to taxpayers.

The report released last week was both interesting and encouraging.

In his first quarterly revenue forecast, newly hired State Economist Carl Riccadonna predicted the state would receive nearly $950 million more in the current two-year budget period than previously estimated. As a result, taxpayers are now expected to receive nearly $1.8 billion back in early 2026 under the state’s unique “kicker” tax rebate — up from a projected $1 billion three months ago. Riccadonna and his team also told lawmakers to expect an extra $1.3 billion in the 2025-27 budget cycle, as well.

The estimate has little to do with sudden economic improvements playing out in Oregon. Instead, Riccadonna told reporters Tuesday he had incorporated a more optimistic view of the nation’s economic future into the forecast, and adjusted a predictive model used by his predecessor that was overly pessimistic.

The previous model has resulted in forecasts that repeatedly underestimated how much personal income tax the state would receive, and led to a series of escalating kicker tax refunds for the last decade. The hope is that the new model will be – in simple terms – more accurate.

Not everyone was cheering, though. Senate Republicans released a statement that signaled worry that future forecasts, by being more accurate, would reduce or eliminate the kicker rebates that have sent more than $11 billion back to taxpayers in the last decade.

Read more here.

Here are some other takeaways from the housing report:

• Oregon saw a 21% population growth between 2004 and 2023, equaling more than 753,000 people. To keep pace with the growth, the state must add about 500,000 housing units in the next two decades.
• For every extra $1 Oregonians earned, the median sales price of a home increased by $7.10.
• Both renters and homeowners are significantly cost-burdened, and more than half of renters and one-third of homeowners spend more than 30% of their income on housing.
• The state is approximately 128,000 affordable housing units short right now for people who are considered extremely low-income or very low-income.
• Many of the fastest-growing occupations in the state do not pay high enough wages for people to afford a one-bedroom apartment.
• Evictions are going up; the number of eviction cases filed in 2023 was the highest Oregon has seen since 2011.
• Oregon ranks third in the nation for people experiencing homelessness and first in the nation for unsheltered homelessness among families with children (when adjusted for population size).
• More than 20,000 people were experiencing homelessness in Oregon, with three in 10 considered chronically homeless as of 2023.
• Oregonians are facing the least affordable housing market since the pandemic began in 2020.

The Cascadia Innovation Corridor Conference in Portland on November 18 and 19 brought leaders from Oregon, Washington and British Columbia together to discuss the affordability crisis in the entire mega-region dubbed Cascadia.

One report presented at the conference was titled “Build, Baby, Build: Unlocking 1.4 Million New Homes in Cascadia.” The report called for rezoning commercial districts to allow high-density housing to replace underused shopping centers, retail malls and other commercial buildings. “Communities grappling with a lack of affordable housing are also plagued by a surplus of vacant, underused retail spaces,” reads the report. “Zoned solely for commercial use, these spaces are left blighted and wasted as consumer habits shift away from brick-and-mortar retail, accelerated by the Great Recession and COVID pandemic.”

That raises the question of living wages.

The living wage is the hourly rate that an individual in a household must earn to support themselves and/or their family, working full-time, or 2080 hours per year. The tables below provide living wage estimates for individuals and households in Lincoln County with one or two working adults and zero to three children. In households with two working adults, all hourly values reflect what one working adult requires to earn to meet their family’s basic needs, assuming the other adult also earns the same.

One approach to this challenge is the ongoing pressure to increase minimum wages. And of course, that possible change would ripple through the local economy driving up prices and the cost of living we all worry about.

Another approach is to create better jobs for people to shift into. Too often the work we often thought of as first jobs have become career jobs that just don’t pay the bills.

Over the last few legislative sessions, I’ve been working to expand our arts, maritime, aquaculture, healthcare, and academic sectors here on the Coast and the Coast Range, as well as continuing to partner with our local Small Business Development Centers to ensure entrepreneurs have the resources they need to thrive and compete.

That included $8 million for the Center for Trades Education at our Community College, $10 million for seafood and meat producers, and $2 million for maritime workforce training.

I plan to carry this work into the 2025 session and beyond.

I’m also working hard to deliver more infrastructure dollars to our region to ensure we can continue building workforce housing to accommodate our labor needs, but there will of course be many pieces to this puzzle.

In the time since the Statewide Integrated Water Resources Strategy was initially adopted in 2012, the state has been increasing attention to critical water priorities, but the Legislature still does not have a comprehensive inventory of water investment needs.

In an effort to fill that gap, the Oregon Legislative Water Caucus invites water managers, users, stewards, advocates and members of the public to submit investment comments by December 15 via a statewide survey: https://bit.ly/2024waterinvestmentsurvey.

By doing so, Oregonians can help the Water Caucus understand investment-ready water projects that benefit the environment, communities, and economy. The survey is for informational and planning purposes only and does not guarantee funding.

As federal officials look to shift America’s electricity grid away from fossil fuels, they are seeking alternatives to solar and wind, which can only deliver energy when the sun shines or the wind blows. Waves — constant and full of untapped energy — have emerged as a promising option. And because wave energy projects are relatively unobtrusive, they’re far less controversial than offshore wind.

PacWave South will be the first pre-permitted, utility-scale, grid-connected wave energy test site in the United States. The project, intended to accommodate testing by as many as four wave-energy companies at any given time, is supported by grants from the U.S. Department of Energy, the state of Oregon and other public and private utilities.

The buoy-like contraptions will deliver up to 20 megawatts of energy — enough to power thousands of homes and businesses.

“As winter storms and extreme weather events impact communities, Oregon residents are reminded to be prepared for potential power outages,” a release from the OEM said. “Heavy snow, ice and high winds can damage power lines and disrupt electricity, sometimes leading to extended outages.”

In response, the OEM suggests home and business owners prepare in advance for a scenario where power is lost.

• Be two weeks ready: Gather food, medical supplies, batteries, pet supplies and other essentials needed by family members during an outage or evacuation for up to two weeks.
• Register for a Medical Certificate: If you have a medical condition that requires power, contact your electricity service provider in advance to register a Medical Certificate. This certification provides added benefits and helps ensure your needs are met during an outage.
• Update your contact information: Ensure your utility service provider has your current contact information to receive notifications. If uncertain which electric utility serves your area, visit Find Your Utility.
• Charge your devices: Keep cell phones fully charged in anticipation of an outage. Consider a car charger for phones and other electronic devices.
• Plan for livestock and well water needs: Ensure you have a plan for providing water in case well pumps lose power.
• Consider alternative power sources: If possible, invest in a backup generator or identify an alternative location to meet power needs.
• Documentation back-up: Capture clear images of vital papers and send them to your email, organizing them in a dedicated folder for quick access during emergencies (passport, driver’s license, car title, rental agreements, insurance policies, property titles, wills or power of attorney documents).

Read more on Navigating a Winter Power Outage and Essential Steps to Stay Safe and Warm here.

When the legislature convenes in January, I will be introducing legislation to provide tax benefits for homeowners and businesses that invest in generators and other emergency response equipment.

Reliable broadband in our communities isn’t a luxury—it’s a lifeline. It powers education, fuels local businesses, and connects families to the opportunities they need and deserve. In this era of remote work, distance learning, and telemedicine, high-speed internet access is absolutely vital.

Funding will be awarded through the Oregon Broadband Office’s Broadband Deployment Program (BDP) – nearly $133 million will be awarded across the State to provide and enhance internet access in over 12,000 locations. This investment follows the roughly $700 million in high-speed internet funding allocated to Oregon by the National Telecommunications Information Administration in 2023.

All awarded funds from the BDP must be utilized, and projects must be operational by December 2026.

The predicted “cyclone bomb” turned out to be little more than just another November week at the coast. Let’s be grateful for that and many other things. I hope most of you have plans to gather with family and friends to savor all that makes our special part of Oregon, well, special.

Please do so safely and with care for others in our community.

phone: 503-986-1410

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

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