The Oregon Parks and Recreation Department is in a serious budget crisis, which will escalate into full-blown inability to meet daily operational expenses in the 27-29 biennium if it is not addressed now. The initial gap between revenue and expenses was about $36 million in this 25-27 biennium, which Parks has been working to reduce down to $20 million or so — still far too large to close easily. How did this happen? Inflation and labor costs, partly; but also the trigger in the 2010 Lottery re-authorization that mandated a doubling in local government grants when dedicated lottery revenue grew 50% higher than its level in 2009-2011. This has simply meant that lottery funds that would go to state park operations, maintenance and acquisitions go instead to the grant program. But OPRD has no new revenue sources adequate to fill this gap, and the agency is teetering on the brink.
The current 25-27 Parks budget contains no new spending, in order to keep this revenue-expenditure gap as small as possible. Parks is also asking the Legislature to (a) refrain from adding any new unfunded programs (these increase expenditures); and (b) refrain adding new discount programs (these reduce revenue) to OPRD this biennium. These actions will assist the department in narrowing the gap, and avoid dipping too far into its emergency reserves. Parks is trying to find ways of increasing revenue in the 25-27 biennium with that goal in mind.
But this does not solve the looming crisis, which will get much worse in the next biennium, 27-29, if it is not addressed in this biennium. Simply speaking: OPRD needs a new, stable revenue source to provide it with adequate operational monies in the future, and maintain its emergency reserves. Because the Legislature has made Parks use the lottery revenues as their principal revenue source — combined with the mandated expansion of the local government grant program — the current funding is not enough. It is essential to have the unpopular conversation about new funding sources now, before the crisis hits. Simply raising park fees cannot be the solution, as it places parks out of reach of many potential visitors.
Concern about OPRD’s problems is spreading. The Audits Division of the Secretary of State’s office released its Audits Plan for 2025-26. The Parks Department is targeted for an audit looking at “OPRD governance and strategic objectives, goals…assessing the ability of OPRD to meet its mission considering its current funding…and identifying a funding model that might be suitable for Oregon.” ORCA hopes this audit will highlight Parks’ problems and lead the way towards finding a longterm, stable funding source that will keep our cherished parks system in good health for decades to come. One only wishes the agency had signaled their deep financial troubles earlier, so there would be less of a crisis, and more time to research alternatives.
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