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Dear OSCC Members & Colleagues –
We are now at an interesting point in the session where everything is in play. It is a time of extreme chaos and stress as there are now about 3,350 individual pieces of legislation all in play at the same time. The sheer volume of legislation is the highest in 25 years.
The next major deadline, March 21st, is the policy committee work session posting deadline. Bills not scheduled for a work session by then are likely not moving forward this session. In a typical session, this would eliminate about 10% to 20% of bills in play. We expect that number to be higher this session as a major portion of the bills sitting in committee are “placeholder” bills that don’t contain meaningful subject matter.
As we discussed last week, the Oregon Office of Economic Analysis issued the quarterly economic forecast. This is an important first signal for leaders and budget writers as they begin their process for setting the budget blueprint for the upcoming 2025-27 biennium. The final forecast comes in late May which will determine the final resources available for the 25-27 budget.
But the bottom line is that for now, state economists estimate that available resources will be 6% higher than the 2023-25 biennium overall – about $350 million overall. However, hanging over this report, are cost-cutting activities at the federal level that could significantly impact the state budget. We have yet to understand how this will play out.
The biggest political item of the past week was the legislature’s “re-balance” of the current 2023-25 budget. On Friday, budget writers passed an additional $450 million in spending authorization – mostly to accommodate unanticipated health care costs - to bring the current 2023-25 budget into balance as the fiscal biennium comes to a close on June 30th.
MAJOR BILL THIS WEEK:
Farm Workforce Standards Board. (HB 2548) OSCC is very concerned about an emerging trend that would establish new industry regulatory boards that would determine wage and hour law for specific industries. In particular, HB 2548 would end “employment at will” for farm labor.
This is a grave threat to employers as this “Standards Board” concept can be applied to any industry. OSCC is OPPOSING this legislation with a coalition of agriculture and small business organizations.
The first public hearing for HB 2548 is in the House Committee on Labor on Wednesday, March 12th, at 3pm. OSCC members are encouraged to sign up to testify here; or can submit written comment here.
Recap of Key OSCC Bills – GOOD BILLS:
We wanted to take the opportunity this week to recap the bills of major significance to our local business communities that OSCC is currently engaging in:
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Liability Waivers. (House Bill 3140). HB 3140 restores the validity of liability waivers for Oregon companies that engage in outdoor sporting, recreation, health and fitness. OSCC testified in SUPPORT. We are unsure the prospects of this bill.
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CAT Tax Exemptions for Medicaid Service Providers. (Senate Bill 125) OSCC testified in SUPPORT of this bill, which addresses the fact that Medicaid medical service providers are reimbursed at ‘below cost’ rates, have no ability to recoup CAT tax payments due to contracted Medicaid rates, yet are still subject to the CAT tax.
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Increasing the Estate Tax Exemption (HB 2301; SB 124) There are several bill in the 2025 session designed to give family businesses some tax relief upon the death of an owner. OSCC Supports these bills as Oregon currently has the most punitive ‘death tax’ law in the entire United States, taxing estates at a rate of 10% starting after the first $1 million in value.
Recap of Key OSCC Bills – BAD BILLS:
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Workplace Marijuana Accommodation. (Senate Bill 176 ) OSCC is very concerned about SB 176, which would force Oregon employers to accommodate medical marijuana use among its workers in Sections 34-35 of the bill. OSCC testified in OPPOSITION to this bill. As of now, we don’t believe this bill will advance.
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Decriminalized Theft. (HB 2640) OSCC was prepared to testify in OPPOSITION to HB 2640, but the bill was pulled from the committee agenda at the last minute. We don’t expect to see this bill again in 2025.
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Unemployment Benefits for Striking Workers. (Senate Bill 916) This bill has dominated the early labor policy landscape in 2025 with several public hearings. OSCC is OPPOSED to this bill. The bill has since been slightly amended to provide that striking workers must wait one week to start collecting benefits.
SB 916 passed out of the Senate Labor and Business Committee on a 3-2 vote this past Thursday.
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‘Bad Faith’ Insurance Lawsuits. (SB 174) SB 174 received its first public hearing last week in the Senate Judiciary Committee. OSCC is OPPOSING SB 174 – as it will undoubtedly drive up insurance premiums for commercial property and casualty policies.
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Age Discrimination Lawsuits. (HB 3187) OSCC is OPPOSING this legislation that would expand the scope of Oregon’s age discrimination laws to create new claims for older workers by allowing salary, experience, and retirement status to serve as “proxies” for age discrimination.
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Job Posting Requirements. (HB 2746) OSCC is OPPOSING this legislation to dictate what information an employer must include in a job posting. Proponents want to use the bill to compel employers to disclose precise salary and benefit information in job postings.
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